Houston’s 575,000 Multifamily Units are Expanding by 170
The Houston multifamily market is bolstered by strong metro area fundamentals, with a broadened economic base going into 2020 and beyond that will continue to drive demand for the sector.
HOUSTON—Houston’s ever-diversifying economic engine continues to hum along, precipitating the need for more multifamily housing. In response, Hunington Properties is moving forward on the development of a 126,500-square-foot mixed-use multifamily project located on 1.38 acres at 1107 Shepherd Dr. in the Montrose/River Oaks submarket. The six-story apartment building will include 168 residential units, more than 20,475 square feet of ground-level retail space and an above-grade parking structure with 305 spaces.
Construction has now commenced with anticipated completion for mid-2021. Parkview Financial provided a $38 million construction loan to Hunington Properties for the project. Project financing was arranged by Greystone Capital Advisors.
“This project promises to be highly competitive and successful as it will offer best-in-class amenities to prospective tenants at a lower per-unit rental rate compared to other nearby communities, due to the smaller floor plan design,” said Paul Rahimian, CEO of Parkview Financial.
The tenant amenities will include a rooftop deck, pool, outdoor kitchen, fitness center, clubhouse, business center, dog park, outdoor space with stadium seating and a leasing office. Each unit will include a full stainless-steel appliance package in the kitchen, and a washer and dryer in the unit. Select units will feature balconies or private patios.
The Houston area is home to 20 Fortune 500 headquarters, while many other Fortune 500 companies maintain administrative headquarters here. The city’s multifamily market is comprised of 574,739 units in 23 geographic concentrations ranging in size from the 55,527-unit Montrose/River Oaks submarket to the Baytown/San Jacinto River East submarket, which accounts for 8,174 units, GlobeSt.com learns.
“The Houston apartment market is bolstered by strong metro area fundamentals,” Rahimian tells GlobeSt.com. “We see a broadened economic base going into 2020 and beyond that will continue to drive demand for this sector here.”