Multifamily Monday: Houston's Most Active Submarkets
Multifamily has been booming across town for the past few years (ARA's land team, below, has brokered more than 70 new multifamily development deals in this cycle), but two submarkets have the lion’s share of today’s development. (Just don't let this go to your head.)
Midtown
ARA’s Clark Dalton, David Marshall, Tim Dosch, and Tom Dosch (who graciously got up early to meet us at Le Peep) tell us they’ve handled nine new apartment development deals in Midtown and the immediate area in the last 15 months. Two of the big ones are Morgan’s building on Smith and a redevelopment site on Main. The latter—right on the rail line a few blocks south of the Superblock—is proposed to be the first high-rise in the submarket.
Here's Hines' proposed high-rise on Southmore. David says Midtown has changed a lot in the last few years and it’s about to change significantly again in the next few. Gentrification in the area has increased due to the influx of some of the city's best restaurants and the ease of travel down into the Med Center. He says it's also benefiting from its position between two of the largest employment centers in the city (CBD and TMC). And as office development continues nearby, Midtown will continue its progression into a top place to live for young pros who want a vibrant nightlife. The land team is bringing two more sites to market there now—one at West Dallas and 45 and the other cattycorner to the Superblock (it might go high-rise as well).
The Woodlands
The ARA gents have done 11 multifamily deals in The Woodlands in the last 18 months. Near Exxon and the Grand Parkway is particularly hot, and Tom tells us their team recently closed on sites with TCR, Mill Creek, and Oden Hughes near the future intersection of Kuykendahl and the Grand Parkway. Two more deals in that immediate area are set to close in coming months. They're also closing two more sales this week that will be very similar to a 10-acre deal ARA handled with Alliance Residential last September: Pictured here, that deal is in Sierra Pines near Grogans Mill. It's solidly underway now, and Tom believes its location will make it do very well.
