Austin Multifamily Booms
SkyHouse Austin celebrated its grand opening last week, the latest in a wave of new multifamily delivering in Austin. (And believe it or not, it’s a necessary wave.)
Here are Simpson Housing SVP Ginney Harvey and regional marketing director Jennifer Roberts with Skyhouse Austin leasing consultant Brandi Harrington at Thursday’s unveiling party. Simpson teamed up with Novare Group, Batson-Cook Development, and Andrews Urban to develop the 320-unit luxury community. 108 units have already leased.
HFF senior managing director Sean Sorrell and director Matt Pohl (who just joined the firm) tell us new properties like SkyHouse Austin will benefit from the metro’s above-average population of young professionals (the same way used record stores and fair trade clothing shops benefit from that population). They're prime renters, and 30% of Austin’s population is between 25 and 34 years old, compared to 21% nationwide. Because of this, Sean and Matt doubt we’ll see much dip in occupancy as more than 12,000 units deliver this year. We’ve also got some wiggle room—the duo tells us occupancy over 94% suggests it’s time to add some product, and Austin’s posting over 95%.
Perhaps the most exciting trend in Austin multifamily today is the increase in institutional and international investment. (If they had the chance to enjoy this view from SkyHouse Austin’s pool deck, every investor would want in.) Sean tells us we’ve enjoyed national attention for years, but activity from all over the globe—Canada’s particularly lovestruck—is new.