The U.S. Commerce Department reported Thursday that construction was started on 1.353 million new homes and apartments last year, down 24.8 percent from 2006. It was the second biggest annual decline on record, exceeded only by a 26 percent plunge in 1980, a period when the Federal Reserve was pushing interest rates to post-World War II records in an effort to combat an entrenched inflation problem.
Many economists believe that the current slump in housing will rival the dive in the late 1970s and early 1980s, when housing construction fell for four straight years before beginning to recover after the severe 1981-82 recession. For December, construction fell by a bigger-than-expected 14.2 percent.
In Conroe, where new home construction can be seen in numerous areas around the city, building permits for 2007 were down 29 percent from 2006. The total permits for 2006 was 854, while 607 permits were issued for 2007, according to data provided by the city's Community Development department.
The lower numbers are in fact part of the seasonal ebb and flow of home construction, according to a city official.
"Homebuilders will tell you there's a downward trend," Guy Andrews, director of community development said. "What impacts that is speculative. It's stronger than in other parts of the country. We've seen a drop in the number of permits since July, but it's cyclical. The housing market is so seasonal.
"I think it's coming back once people figure out we're not the rest of the country. Houston is still the number one economic market in the nation."
The construction ills in the rest of the country haven't spread to Montgomery, where real estate values are holding strong and construction continues without interruption.
"There's no housing glut in the area," said Norm Frank, president of the Montgomery Industrial Development Corporation. "We anticipate a good year ahead."
Hillary Dumas, vice president of LeFco, the developer of Buffalo Springs, agreed.
"Texas won't be impacted the way areas on the coasts will," she said, referring to the faltering housing market. "This area has very little of the sub-prime, lower end housing that is causing surplus inventory and a glut in other markets."
Indeed, Buffalo Springs has no inventory of finished homes available at the moment. Three houses were available a few months ago, but all sold within 60 days. Several firms are active in the community building houses, but all are custom homes for landowners, according to Dumas.
"There has been a lot of speculative building in other areas of the country which contributes to an oversupply," she said. "That is not an issue here."
The drop in construction in December was bigger than economists had been expecting and reflected weakness in all parts of the country. Housing construction fell by 30.8 percent in the Midwest and was down 25.8 percent in the Northeast and 19.6 percent in the West. The decline in the South was a smaller 3.3 percent.
Economists said the weakness showed that the housing correction was getting worse since the turmoil in financial markets hit in August.
"Builders have finally thrown in the towel," said Ian Shepherdson, chief U.S. economist at High Frequency Economics. "This is a precondition for recovery as it will eventually reduce the inventory overhang. But there is a long way to go."
For December, housing starts totaled 1.006 million units at an annual rate. In an ominous sign for the future, applications for building permits fell by 8.1 percent to an annual rate of 1.068 million units. That marked the seventh consecutive monthly decline and reflected the fact that builders have been slashing production plans in an effort to deal with a glut of unsold homes.
Many economists believe the housing sector will remain weak through this year before starting to stage a rebound in 2009.
Brad Meyer can be reached at bmeyer@hcnonline.com.
Monday, January 21, 2008
Montgomery County Home Building Still Strong
600,000 SF Retail Center Coming to Conroe
Teas Crossing
Once built, Teas Crossing will encompass 58 acres and more than 600,000 square feet of shopping space at Interstate 45 and FM 3083. One half-million square feet of the retail space will be located at the northwest corner of the intersection, with the remaining 100,000 square feet to be built on a 9-acre site just north of Conroe Marketplace.
While Read King of Houston will oversee construction and leasing of the $82 million project, the Conroe firm of Angel McIver Interests LP - the original landowner - was responsible for establishing the joint venture, said Jeff Read, company co-principle.
"We've had a relationship with them (Angel McIver) for several years," he said. "This is our first joint venture with them. I anticipate we'll be working with them on several projects after this, including a couple in Montgomery County."
Read King developed the Research Plaza shopping center in The Woodlands, but Teas Crossing will be the largest multi-tenant retail development in the company's 15-year history, Read said. With the presence of the Conroe Marketplace, which opened earlier this year, the I-45 and FM 3083 location will feature more than one million square feet of retail space, rivaling the amount of retail square footage in The Woodlands Mall.
"It will become one of the most powerful regional intersections in Montgomery County," Read said. "We're looking forward to working with the Conroe community and developing a quality project that is indicative of the Conroe market."
Although Read King has not submitted its development plans with the city of Conroe or has yet to sign a lease agreement with any retailers, Jeff Read anticipates tenants will start to occupy the center sometime during the first quarter of 2008. He said the company is in negotiations with Dallas-based JC Penney to anchor the development by moving into a 103,500 square foot building.
"We hope to have an agreement very soon," he said.
Read said Angel McIver initially offered his company to participate in the Conroe Marketplace project in 2004. But Read King passed on the joint venture that eventually involved Gulf Coast Commercial of Houston.
Read King got a second chance with Teas Crossing, "and that's when we pounced on it," Read said.
"We had evaluated the market for some time, but we thought there wasn't enough retail demand," he said. "What Gulf Coast did with Conroe Marketplace convinced us Conroe and the areas north, west and east of the city are viable retail areas."
Michael McIver said Read King's decision to pass on the first project did not disqualify the company for getting another opportunity.
"We watched them and liked the way they work," McIver said. "We do not like to make hasty moves. We wanted to get the (Conroe) Marketplace up and we wanted to see the response of retail tenants."
That response, McIver said, has been "considerably better" than anticipated.
"We understand Ross (a Marketplace tenant) broke sales records," he said. "The advent of connecting FM 3083 across I-45 to (Texas) 105 has completely revamped that corridor. That lends itself to a better traffic situation."
McIver said Bleyl and Associates will serve as the project engineer, while Randy Roan Construction has been hired to complete the initial landing clearing.
"We told Read King to use local people for obvious reasons," Iver said. "As fine as the people are in Houston, you've got good, experienced companies in the Conroe area."
In addition to Teas Crossing, McIver said his company will continue to develop the 152 acres it owns between I-45 and North Frazier and south of FM 3083. Plans could include more retail, some medical and some high-end multi-family development, he said.
Conroe City Administrator Jerry McGuire termed the Teas Crossing project as "outstanding" and added that it "validates the growth trend" in Conroe, particularly on the city's north side. Montgomery County Judge Alan B. Sadler said the construction of one million square feet of retail space essentially creates a shift in which "central Conroe" moves to the FM 3083/I-45 intersection.
"I think it's one of the most exciting projects to ever hit Conroe," he said.
Howard Roden can be reached at hroden@hcnonline.com.
More High Paying Jobs for Conroe
Grant Prideco Inc is in the process of consolidating four of its U.S. drill bit manufacturing facilities into a new facility in Conroe, Texas.
Read full story ...
Search for Jobs at Grant Prideco
Conroe Tops 50,000 Residents
The fourth annual Conroe "State of the City Report" in today's Courier outlines the accomplishments of the city in 2007 and the optimistic outlook council members and city employees have for 2008.
It lists the new businesses and opportunities expected to arrive in town this year and gives numbers on the city's budget and tax revenues.
"This report shows that we are a very transparent city and we want every citizen to know where the tax dollars are going," Mayor Tommy Metcalf said. "We're growing at an average of 10 percent a year and, at the same time, we are reducing taxes."
According to the report, 46 new subdivisions were started in the past four years, contributing to the unofficial population of more than 50,000. If the rate of growth continues, by 2010 more than 60,000 people may call Conroe home.
Even though more people moving to the area, crime has dropped the past two years. Robberies decreased by 54 percent, assaults went down 34 percent, larcenies dropped 19 percent and burglaries declined 14 percent, Metcalf states in the report.
As the population grew, so did the city's budget and the quality of life - except, of course, when it comes to traffic, City Administrator Jerry McGuire said.
"Growth often puts a strain on our roadway system, but everyone has to put up with it and the end result is better," McGuire said. "With more outside companies choosing to make Conroe their headquarters, more jobs are created, which brings new families, which means more homes are built and more retail businesses come, giving residents more choices."
During the last two years in the Conroe Industrial Park, more than 120 acres have been sold to companies that have brought 1, 483 additional jobs and made $456 million taxable improvements, according to the Greater Conroe Economic Development Council.
Commercial tax has contributed to the city's growing tax revenue. Between 2005 and 2007, tax revenues increased by $5.6 million. During that time, however, the property tax rate was reduced each year, McGuire said.
"We have every intention, if the revenues continue to increase, to reduce the property taxes for homeowners this year," Metcalf said.
While city officials focus on growth, they are also concentrating efforts on restoring downtown Conroe and making it a center for entertainment.
"I think a viable downtown gives people a sense of community and a gathering place," McGuire said. "We want to celebrate the history of our area."
Upcoming projects that city officials are looking forward to this year include the addition of Teas Crossing, a retail center that will include a J. C. Penney anchor store; the opening of ReedHycalog, which will employ more than 500 employees; and the completion of the renovated Del Lago resort, which is expected to attract thousands of visitors.
The Owen Theater is expected to open in downtown Conroe and will be home to The Crighton Players.
"We're very excited about where Conroe is going and the vision the mayor and council have for the city 20 to 25 years down the road," McGuire said.
For information about future Conroe plans, visit the city's website, www.cityofconroe.org, and check out the comprehensive plan, available under the Community Development section.
Lucretia Fernandez can be reached at lfernandez@hcnonline.com
Wednesday, December 19, 2007
Houston - Average and median single-family home sales prices are on the rise
November 2007 Sales
November Housing Numbers Show Houston Largely Resistant To National Effects Of Market Downturn
Average and median single-family home sales prices are on the rise
HOUSTON — (December 18, 2007) — While much of the nation wrestles with the persistent effects of the real estate market downturn, Houston continues to hold its own when it comes to home sales and prices as the end of 2007 nears. The latest monthly housing figures compiled by the Houston Association of REALTORS® (HAR) reflect comparative stability, with area sales and pricing performance still outpacing that recorded in 2005.
Total property sales for November registered 5,772, representing a modest 10.2 percent decline compared to November 2006. Properties sold during the month totaled $1.1 billion, a 4.7 percent decrease compared to last year’s $1.2 billion in November sales. Additionally, the average single-family home price for November rose 6.4 percent from last November to $205,815, while the median home price for a single-family home increased 1.7 percent to $150,000.
“The drop in property sales, while disappointing, is not unusual at this time of year and is far from the loud thud being heard in markets outside Texas,” said Rob Cook, HAR Chairman and broker/owner of Robert D. Cook Properties. “We’re encouraged by the ongoing increase in average and median home prices, which demonstrates that Houston’s real estate market has staying power through the subprime debacle and continues to offer a sound investment opportunity as we head into 2008.”
November Monthly Market Comparison All listing categories combined, Houston’s overall housing market in November saw continued mixed results. While there were increases in both average and median sales prices on a year-over-year basis, both total property sales and total dollar volume declined. Total year-to-date property sales were down 3.9 percent.
The number of available homes (active listings) at the end of November was 52,217 properties, which was an increase of 13.3 percent versus last November and the 17th month with a year-over-year increase, after 10 consecutive previous declines. The figure was a decrease of 1,190 properties from last month, reflecting a continued slowdown in the pace of new listings. This is a positive indicator for the market, as lower inventories generally support pricing levels.
Month-end pending sales – those listings expected to close within the next 30 days – reached 4,159, which was down 5.7 percent from last year and signals another likely decline in sales next month after recent volatility in sales figures. The month’s inventory of single-family homes for November came in at 6.1 months, a slight decline from October’s 6.2-month figure and the lowest level Houston recorded since May. This compares to the November 2006 single-family homes inventory of 5.3 months.
ALL CATEGORIES
NOVEMBER 2006
NOVEMBER 2007
PERCENT CHANGE
Total property sales
6,428
5,772
-10.2%
Total dollar volume
$1,201,441,692
$1,145,032,526
-4.7%
Average single-family sales price
$193,504
$205,815
+6.4%
Median single-family sales price
$147,500
$150,000
+1.7%
Total active listings
46,071
52,217
+13.3%
Total pending sales
4,412
4,159
-5.7%
Months inventory*
5.3
6.1
+14.5%
* Months inventory estimates the number of months it will take to deplete current active inventory based on the prior 12 months sales activity. This figure is representative of the single-family homes market.
Single family Homes UpdateThe overall median price of single-family homes in November was $150,000, an increase of 1.7 percent compared to November 2006. The figure represents the eighth increase of the year and follows two consecutive flat months. The average sales price for single-family homes was $205,815 during November, up 6.4 percent versus the same period last year and the eleventh consecutive increase of 2007. It was the highest figure since August.
Houston’s current median price of $150,000 is 27.1 percent less than the national median price, which reached $205,700 in October, according to statistics released by the National Association of REALTORS®. These data continue to demonstrate the higher value and lower cost of living afforded to Houstonians.
Additionally, total sales of single-family homes in Houston in November came in at 4,863, which was 9.0 percent lower than November 2006 and the second biggest decline of 2007, though significantly less than the 16.4 percent drop observed between September 2006 and September 2007. Year-to-date sales of single-family homes remain negative this month, down 3.0 percent versus the first 11 months of 2006. The National Association of REALTORS® currently forecasts a 12.5 percent year-over-year decline in national home sales, however the Houston market is expected to fare much better.
HAR also reports existing home statistics for the single-family home segment of the real estate market. In November 2007, existing single-family home sales totaled 3,965, which was a 9.4 percent decrease from November 2006. The median sales price for existing homes in the Houston area was $139,900, up 2.0 percent compared to the same period last year. The average sales price of $191,173 for the month represented an increase of 5.7 percent from last year’s level.
The Days on Market statistic for November held steady at 81, which was higher than the 76 days in November 2006, but remains historically low and indicates that the homes that are selling are doing so fairly quickly.
Townhouse/Condo UpdateAt $131,290, the median price in the townhouse/condominium segment in Houston rose 8.1 percent from November 2006 to 2007 and remained relatively flat compared to October 2007. The average sales price for which a townhouse or condominium sold in the greater Houston area was $162,371 last month, which was a 3.6 percent year-over-year increase.
Additionally, there was a slight downturn in the number of townhouses and condominiums that sold in November. In the greater Houston area, 489 units were sold last month versus 548 properties in November 2006, translating to a 10.8 percent decrease in year-over-year sales.
Houston Real Estate Milestones in November
On pace for second best year on record;
Second best November ever for single-family home sales;
Highest average single-family sales price for month of November.
The computerized Multiple Listing Service of the Houston Association of Realtors® includes residential properties and new homes listed by 26,000 Realtors throughout Harris, Fort Bend and Montgomery counties, as well as parts of Brazoria, Galveston, Waller and Wharton counties. Residential home sales statistics as well as listing information for more than 53,000 properties may be found on the Internet at http://www.har.com.The information published and disseminated to the HAR Multiple Listing Services is communicated verbatim, without change by Multiple Listing Services, as filed by MLS participants.The MLS does not verify the information provided and disclaims any responsibility for its accuracy. All data is preliminary and subject to change. Monthly sales figures reported since November 1998 includes a statistical estimation to account for late entries. Twelve-month totals may vary from actual end-of-year figures. (Single-family detached homes were broken out separately in monthly figures beginning February 1988.)Founded in 1918, the Houston Association of Realtors® (HAR) is a 27,000-member organization of real estate professionals engaged in every aspect of the industry, including residential and commercial sales and leasing, appraisal, property management and counseling. It is the largest individual membership trade association in Houston, as well as the second largest local association/board of Realtors® in the United States.
Tuesday, December 11, 2007
VillaSport Athletic Sport and Spa comes to The Woodlands
Here it comes: A 87,000-square-foot sports behemoth. On more than 12 acres. A gym, aquatic and athletic center, kiddie playground, and spa, all wrapped into one . . . membership fee. The Wal-Mart of health clubs — without the low prices, of course.
Read full story here: http://swamplot.com/spa-fitness-category-killer-stalks-the-woodlands/2007-11-13/
Sunday, September 16, 2007
RECON
RECON
Real Estate Center Online News
September 14, 2007
Copyright 2007. All rights reserved.
Material herein is published according to the fair-use doctrine of U.S. copyright laws related to non-profit, educational institutions. Items attributed to sources other than the Real Estate Center at Texas A&M University should not be reprinted without permission of the original source.
HELP FOR VETERANS
SAN ANTONIO (San Antonio Express-News) – The Veterans Affairs Department will build a new "polytrauma" rehabilitation center on the Audie Murphy VA Hospital campus.
The $67 million center is one of five nationwide designed to provide extensive rehabilitative care to veterans treated for severe injuries to more than one organ system.
The new center at Audie Murphy will work with Brooke Army Medical Center, Wilford Hall Medical Center, University Hospital, the University of Texas Health Science Center and the U.S. Army Institute of Surgical Research.
Texas is home to 1.7 million military veterans, with 180,000 veterans living in the area, according to VA statistics.
Construction on the new center is expected to begin in fiscal year 2008, which begins Oct. 1.
H-E-B REMODELING OLD ALBERTSON'S
AUSTIN (Austin American-Statesman) – H.E. Butt Grocery Company (H-E-B) will remodel three Albertson's grocery stores, adding new departments and services and up to 150 jobs.
In early November, San Antonio–based H-E-B will begin renovating the stores on Gattis School Road in Round Rock, in West Lake Hills and on Research Boulevard and Spicewood Springs Road in northwest Austin.
The West Lake Hills store will be gutted and reopened with a sushi bar, an area for cooking demonstrations and a Central Market Cafe on the Run, which offers prepared meals to go.
With the new stores, H-E-B will have 45 stores in Central Texas, about 8,000 employees and an annual payroll of about $250 million.
H-E-B expects to offer jobs to many of the 350 Albertson's employees and plans to hire another 100 to 150 people to staff the three converted stores.
H-E-B has about 60 percent of Central Texas' grocery market, followed by Wal-Mart with 23 percent and Randalls with 7 percent.
FOR MANSFIELD'S AMUSEMENT
MANSFIELD (Dallas Business Journal) – Harvest Family Entertainment has begun construction on Hawaiian Falls/Mansfield, a 14-acre water park at Heritage Parkway and SH 360.
The $10 million water park, which includes 12 waterslides, a football field–sized wavepool and a "lazy river," is a joint venture between Hawaiian Falls, the Mansfield Park Facilities Development Corp. and the city.
The city will own the park and Hawaiian Falls will operate it under a 40-year lease. The park will employ about 200 people. It is expected to attract about 150,000 guests per year and increase the local economy by about $5 million annually.
Harvest Family Entertainment has codeveloped and managed 17 water and amusement parks in Arizona, California, Hawaii, Missouri, Mississippi and Texas.
Hawaiian Falls/Mansfield is expected to open next Memorial Day.
MOTORCADE BEGINS
PHARR (McAllen Monitor) – Frank Smith Motors, including McAllen’s flagship Toyota dealership, will begin relocating to a 19-acre facility on Expressway 83 next month.
The company’s old headquarters on Second Street in McAllen will host an expanded used car selection as well as its Isuzu dealership, said company president Roland Smith. The entire Toyota/Scion dealership will be at the new location by years’ end.
The new facility will follow the new Toyota dealership design and will include a La Palatera restaurant.
COME CHAT WITH GAINES
COLLEGE STATION (Real Estate Center) – If you plan to attend the Austin Realty Roundup next Wednesday, stop by the Real Estate Center’s booth (number 726) between 11 a.m. and noon to visit with Dr. James Gaines, research economist with the Center.
Gaines will also be a keynote speaker at the conference.
SOMERSET SOLD
TEXAS CITY (Reliant Property Group) – Reliant Property Group has purchased the 200-unit Somerset Place Apartments from Continental Somerset Corporation.
Reliant plans to renovate and reposition the 23-year-old complex.
Houston Income Properties Inc. represented the Houston buyer. Redstone Bank provided financing. Continental Somerset was represented in-house.
KBS GOES CORPORATE
PLANO (McDaniel & Co.) – KBS Real Estate Investment Trust (KBS REIT) has purchased Plano Corporate Center I and II from Lincoln Property Company.
The two-building, more than 308,000-square-foot, Class-A office complex at 2201 and 2301 West Plano Parkway is 87 percent leased.
The more than 153,000-square-foot Plano Corporate Center I was built in 1999, and the almost 155,000-square-foot Plano Corporate Center II was built in 2001. Each three-story building is on a ten-acre site. Major tenants are FedEx Kinko’s and UnitedHealthcare.
KBS Capital Advisors, which oversees KBS REIT, was self-represented. Jones Lang LaSalle of Dallas represented the seller. Transwestern Commercial Services will handle leasing, while PM Realty Group will manage the property. Both companies are based in Dallas.
PARK CENTER II PROGRESSING
PLANO (Dallas Morning News) – Construction is about to begin on Park Center II, a 196,000-square-foot office building being developed by Heady Investments.
Designed by ANPH Architects, Park Center II will be built on about eight acres between the Dallas North Tollway and Parkwood Boulevard. Offices will lease for around $25 per square foot.
Crow Financial Partners LP arranged construction financing for the project with Stillwater National Bank. Henry Building Inc. is the general contractor.
The building is scheduled to open in October 2008.
METROPLEX APARTMENT BOOM
DALLAS (Dallas Morning News) – Since the beginning of the year, developers have obtained permits to bring almost 7,000 apartments to the Metroplex. Among those projects:
* Houston-based Hanover Co. has two apartment towers totaling almost 500 units under construction in Uptown.
* Wood Partners has begun work on Alta Lake Shore Lofts, a 341-unit complex at 800 Lake Carolyn Pkwy. in Las Colinas.
* Construction begins Monday on Wood Partners’ Block 1500, a 309-unit, four-story complex west of the Victory complex on Stemmons Freeway.
* Wood Partners plans to break ground in January on a 340-unit complex near Eldorado Parkway and the Dallas North Tollway in Frisco.
PANHANDLE'S LUXURY LIVING
LUBBOCK (Lubbock Avalanche-Journal) – A $60 million luxury hotel and conference center received the go-ahead from the city council earlier this week.
The complex will be built at Sixth Street and Avenue X. The developer is Garfield Traub Corp., a hotel developer based in Dallas and managed by Gal-Tex Hotel Corp.
At 15 stories and 306 rooms, the hotel will be the city’s largest. It will include laboratory and classroom space for Texas Tech’s restaurant, hotel and institution management program. The conference center will contain 50,000 square feet.
The city is pitching in $11.4 million collected from the hotel's property taxes, hotel-motel tax and 1 percent of gross room revenues. About $11 million in grants also has been collected to pay for the center, and Plains Capital Bank is providing $30 million financing.
Groundbreaking is scheduled for Sept. 26.
BELTWAY LAKES CONSTRUCTION BEGINS
HOUSTON (Realty News Report) – Construction has begun on the first phase of Beltway Lakes, a LEED-certified office project along SH 249 and Beltway 8.
The first phase, which includes a 165,000-square-foot, six-story building and a parking garage, is part of a six-building, master-planned office complex owned and developed by Radler Enterprises Inc.
Yancey-Hausman Interests is codeveloping and marketing the first building of Beltway Lakes, which was designed by Morris Architects and is being built by D.E. Harvey Builders. Construction financing was provided by Sterling Bank.
ELLMAN PURCHASES ONE SUGAR CREEK
SUGAR LAND (globest.com) – Ellman Cos. has paid Unilev Capital Corp. $60.5 million for the almost 529,000-square-foot, Class-A One Sugar Creek Place.
Ellman plans to renovate the 25-year-old office building at 14141 Southwest Frwy. Work is slated to begin in early 2008 and take about 18 months to complete.
The Unocal Building, as it is known locally, is leased entirely to Houston-based Chevron Corp. through March 2010.
The California-based seller was represented by M.M. Stapper Co. Commercial & Investment Real Estate and International Realty Concepts Inc., both of Houston. Phoenix-based Ellman was represented by Amcal Southwest LLC, also of Arizona. Ellman will assume leasing and management duties.
DIVCOWEST BUYS FULLY LEASED AMD
AUSTIN (globest.com) – DivcoWest has purchased the 215,500-square-foot AMD 312 Building from Washington-based Burleson Investments LLC.
The two-story, Class-B-plus office building is on nearly 19 acres of Lockheed Martin Corp.'s former one million-square-foot campus at 6800 Burleson Rd.
AMD 312 is leased to Advanced Micro Devices until May. Once the lease lets up, DivcoWest will upgrade the 25-year-old building.
DivcoWest was self-represented in the transaction.
HEAVY LIFTING FOR ABC&P
HOUSTON (Yancey Hausman) – ABC&P LLC has purchased a 110,000-square-foot manufacturing facility from Petrosin Properties Belmas Inc.
The property, a heavy manufacturing facility with various overhead cranes ranging in capacity from 20 to 250 tons, is on more than 12 acres at 122221 Almeda Rd.
Yancey Hausman represented, the buyer, while Colliers International represented the seller.
Tuesday, August 21, 2007
RECON August 21, 2007
TEXAS FORECLOSURE RATES DOWN
COLLEGE STATION (Real Estate Center, RealtyTrac Inc.) – Foreclosure rates may be on the rise, but recent information from RealtyTrac Inc. shows Texas MSAs were not among the top ten foreclosure areas in the United States for the first half of 2007. Among the other findings:
- Fort Worth–Arlington ranked 13th and Dallas ranked 17th among the top 100 MSAs by number of foreclosure filings.
- Texas foreclosure filings were down more than 13 percent compared with the first half of last year, as were all of the major Texas MSAs except Fort Worth–Arlington, which was up 5 percent.
- The number of properties filed upon statewide was down 8 percent from the first half of 2006.
- Houston–Baytown–Sugar Land was the only Texas MSA to register an increase in the number of properties filed upon, and that increase was 1 percent.
“The decline in filings and properties with filings reflects the continued steady increase in Texas residential property values, the continued stable economy and employment and the fact that Texas did not rely on extreme, exotic loan terms to the same extent as other, higher-priced markets,” said Dr. Jim Gaines, research economist with the Real Estate Center at Texas A&M University.
Gaines says a great deal of the national foreclosure market is concentrated in a handful of states, primarily the previously hot markets in California, Florida, Nevada and Arizona, as well as as Michigan, Ohio and Indiana, where the pullback in the automotive industry has resulted in job losses.
TELL US WHAT YOU THINK
COLLEGE STATION (Real Estate Center) – The Real Estate Center's website received more than 1.8 million hits last month, a clear indicator that more people than ever are turning to the Center for real estate news and data.
To help make sure the time you spend on the Center's site in the future will be time well spent, please take a few minutes to complete our website feedback survey.
MOSAIC'S SECOND TOWER
HOUSTON (Houston Business Journal) – With the first tower now more than 50 percent sold, Phillips Development & Realty LLC of Tampa, Fla., has broken ground on the second Mosaic residential tower near the Museum District.
Each 33-story building at 5925 Almeda Rd. will have 394 condominiums on top of seven stories that include lobbies, parking garages and retail space.
The average unit size is 980 square feet, and the average price is $350 per square foot with a maintenance fee averaging 39 cents per square foot. The penthouse costs $500,000, and the least expensive unit is $165,000. The combined sales value of all units is estimated at more than $300 million.
Development for both towers will cost $203 million. Phillips secured a $141 million loan from Chicago-based Corus Bankshares Inc.
Atlanta-based Wood Partners was a development partner on the first tower. Miami-based Developer Sales Group is handling Mosaic's condo sales. Adam Brackman of Wulfe & Co. is handling retail space leasing in Mosaic. Retail tenants in tower one include Unity Bank and a Yapa prepared food store. Fit Gym of Houston will operate Mosaic's fitness center.
Tower one will be ready for occupancy this fall. Move-in for tower two will be during the spring of 2009.
VISTA'S SUPERCENTER
FORT WORTH (Dallas Business Journal) – More than 23 acres in the Vista Crossroads will be sold to Wal-Mart.
The retail giant will anchor the retail project with a 175,000-square-foot supercenter, according to Peter Aberg, a partner with the seller, Legacy Capital Co.
Legacy will build a new exit ramp and service road at US 287 and Avondale-Haslet Road as part of the sale.
Dallas-based Legacy is selling the remaining acreage to Hunter Equities, a Dallas developer.
FRONT DOOR ACREAGE SOLD
FORT WORTH (Star-Telegram) – Hunter Equity has purchased 150 acres at the front door of the 9,000-home Sendera Ranch subdivision.
The land is adjacent to the 23 acres that Wal-Mart is purchasing from the same seller, Legacy Capital Co.
Company officials plan to hold the property at US 287 and Avondale Haslet Road until they decide how best to develop it. One of Hunter’s most recent projects is the 91-acre Hunter Plaza on I-635 in Irving. It includes a 24-Hour Fitness, Best Buy and homes.
Legacy Capital Co.'s focus is building infrastructure and then selling the site-ready land to a developer, said Steve Saxon, a Legacy Capital partner.
The I-35W corridor of far north Fort Worth is the Metroplex's fastest-growing area of residential development. The area is also near the fast-growing neighborhoods east of Eagle Mountain Lake.
HOUSTON HOUSING MARKET HOLDING UP
HOUSTON (Houston Association of Realtors) – Despite reports of difficulties facing mortgage companies across the country, the greater Houston existing real estate market held up in July.
- Home sales rebounded from two consecutive months of declining sales, with signs of moderate weakness turning up only on home sales in the $80,000 to $150,000 range.
- Total property sales for the month increased 1.1 percent over July 2006 to 8,114.
- Nearly $1.7 billion in properties were sold, a 5.3 percent increase over last year’s nearly $1.6 billion.
- The median price for a single-family home was $155,100 (a 0.5 percent decrease), and the average single-family home price came in at $209,339 (a 1.8 percent increase).
- Almost 53,000 homes were available at the end of July, a 16.1 percent increase over the same month last year and the 13th month with a year-over-year increase.
- Month-end pending sales increased 8.1 percent to 5,520.
- Total sales for single-family homes were at 6,856, 1.6 percent higher than July 2006.
- Homes were on the market in Houston an average of 76 days.
- The overall median price in the townhouse-condo segment in Houston was up 1.2 percent for July, with the median sales price for the month being $122,000. The average sales price for which a townhouse or condo sold in the greater Houston area was $159,401 in July 2007, 8.2 percent more than the same month last year.
- In the greater Houston area, 660 townhouse and condo units were sold last month, versus 681 properties in July 2006, or a 3.1 percent decrease in year-over-year sales.
RREEF-ER MADNESS
AUSTIN (REBusinessOnline) – The Villas on Guadalupe, one block north of the University of Texas campus, has been purchased by RREEF on behalf of an institutional client.
The 150-unit student housing complex is at Guadalupe Street and Hemphill Park. Amenities include a courtyard pool and hot tub, a fitness center, a clubhouse and access–controlled parking.
Part of Deutsche Bank’s Asset Management division, RREEF, which was represented by CB Richard Ellis, purchased the property from Principal Enterprise Capital.
ALLSTATE RATES RISING
HOUSTON (Houston Chronicle) – Allstate Texas Lloyds is raising home insurance rates 5.9 percent statewide, and some coastal residents, including those in Harris and Montgomery Counties, will see an additional average 2 percent raise.
According to company officials, the increase is to help cover the cost of reinsurance, which is insurance the company buys for itself to help pay for claims in the event of a catastrophe.
Because Allstate dropped windstorm coverage in counties that touch coastal waters last year, residents of Galveston County and a portion of Harris County will not be hit with the extra 2 percent increase.
The rates will change on policies as they come up for renewal, Allstate said. Rising construction costs also contributed to the rate increase.
About 700,000 of Allstate's 917,000 Texas policyholders are insured by Allstate Texas Lloyds.
BLACKROCK'S GOLD STAR
DALLAS (globest.com) – New York City–based BlackRock Inc. has purchased the 490-unit Jefferson at Park Central from Irving-based JPI.
The 95 percent leased, seven-year-old complex near the Medical City of Dallas features a parking garage and 13,000 square feet of retail leased to Luna de Noche restaurant and FedEx/Kinko.
The Class-A complex is a mix of townhouses, apartments and flats consisting of one-, two- and three-bedroom floor plans in midrise buildings. Units range from 592 to 1,596 square feet with monthly rents ranging from $850 to just over $1,600.
According to tax rolls, the 39-building complex on almost 14 acres at 7927 Forest Ln. is assessed at roughly $42.3 million.
Apartment Realty Advisors of Dallas brokered the sale.
CYPRESSWOOD SOLD TO SOLID GOODS
HOUSTON (globest.com) – Solid Goods Corp. has purchased the 270-unit Villas at Cypresswood from Georgia-based Davis Development.
The three-year-old, 96 percent occupied Class-A complex at 9844 Cypresswood Dr. has a mix of one-, two- and three-bedroom units. Rents range from $819 to $1,539 per month.
Johnson Capital Partners of Arizona LLC secured a $22.4 million Freddie Mac loan for California-based Solid Goods, which will self-manage the property.
LANCASTER DISTRIBUTION CENTER PLANNED
LANCASTER (Dallas Morning News, globest.com) – A joint venture will build a 776,000-square-foot bulk distribution center on 47 acres it recently purchased from Irving Klein Trust.
The project at I-35E and West Street marks the second joint-venture spec in North Texas for Atlanta-based companies Cousins Properties Inc. and Seefried Properties Inc.
Alliance Architects Inc. of Dallas is the project’s designer, Pacheco-Koch is the civil engineer and La Terra Studio Inc. is the landscape architect. Seefried will develop, manage and lease the distribution center.
PORTFOLIO SALE INCLUDES TEXAS
HOUSTON, ABILENE AND CORSICANA (REBusinessOnline) – A joint venture between KBS Real Estate Investment Trust (KBS), Hackman Capital Partners and Calare Properties has purchased an 11.4 million-square-foot industrial portfolio for $516 million.
The three Texas buildings in the 24-property portfolio include a more than 245,000-square-foot light manufacturing facility in Houston, a just over 728,000-square-foot property in Abilene and a 1.4 million-square-foot warehouse property in Corsicana.
The portfolio was sold by Equity Industrial Partners Corp.
HINES EYES LAKE TRAVIS
LAGO VISTA (Austin Business Journal) – Hines Interests LP, a Houston-based international real estate firm, has purchased 875 acres in Lago Vista from a group of families in the Rogers Ranch Group.
According to Lago Vista City Manager Bill Angelo, the plan is to turn the property into an upscale residential development that could include about 2,000 homes. The acreage is located between FM 1431 and Lake Travis, outside the city limits.
CARMEL'S MAMMOTH PURCHASE
HOUSTON (Houston Chronicle) – Carmel Village Retirement Residences has purchased four six-story office buildings totaling more than 378,000 square feet for $31.6 million from Mammoth Equities.
The four buildings, part of a six-building office park on more than 12 acres, range from 81,000 to more than 108,000 square feet. The two other buildings are separately owned.
The buildings at 2600, 2616, 2626 and 2656 South Loop West near Reliant Park were renovated in 2003.
Mammoth was represented by Voit Commercial Brokerage's Irvine office along with Grubb & Ellis. Voit also represented Carmel.
PHOENIX, BALCH SPRINGS EXCHANGE
BALCH SPRINGS (globest.com) – Using a 1031 exchange, an Oregon-based private investor has purchased the 296-unit Stoneleigh on Cartwright for $22.5 million.
After selling a multifamily property in Phoenix, Dr. M.T. Aliniazee bought the 93 percent leased complex on more than 30 acres at 500 W. Cartwright Rd. using 80 percent loan-to-value financing. New York–based Arbor Commercial Mortgage LLC funded the ten-year, 6 percent fixed-interest Fannie Mae loan.
The seller, Dallas-based developer Seneca Investments Inc., developed the Class-A Stoneleigh on Cartwright in 2003. The 21-building complex has one-, two- and three-bedroom units ranging from 615 to 1,234 square feet. Monthly rents range from $680 to $1,200.
Hendricks & Partners' Dallas office represented the seller. Woodmark Real Estate Services Inc., with headquarters in Dallas and Washington, D.C., will lease and manage the complex
DALLAS BUYER LANDS PARCELS
BRAZORIA COUNTY (Houston Chronicle) – Approximately 1,000 acres stretching 2.5 miles on the west line of Texas 288 to the northwest corner of 288 and County Road 51 has been sold.
The land at the southwest corner of Texas 288 and FM 1462 includes parcels from The Hamill Foundation, Edwin Roark and BMW Group
Land Advisors Organization Houston represented the buyer, a Dallas-based investment group.
The Woodlands E-Neighbor - August 21, 2007
 |
| 
| |||||
| Reproduction or use without written permission on pictorial content in any manner is prohibited. All rights reserved. To Subscribe, Click Here | Click to Unsubscribe txrex.txmarket@blogger.com from this list | Printer Friendly Version | Forward to a Friend | ||||||
THE WOODLANDS COUNTRY CLUB OPENS NEW EAST COURSE CLUBHOUSE - The Woodlands Country Club's East Course Clubhouse has reopened to rave reviews. The entire building has been renovated, with a new main dining area with unique bar and fireplace and three large flat screen TVs. Knickers restaurant now offers picturesque views of the 18 th green and driving range, opening to a new outdoor deck that features comfortable lounging areas along with table seating. Other highlights include luxurious men's and ladies' locker rooms, a new pro shop and beautifully appointed seating areas throughout the club. The public is welcome to take a tour of the newly renovated clubhouse. For more information about memberships at The Woodlands Country Club, call Wanda Murphy at 281-863-1433. 
FIRE DEPARTMENT BREAKS GROUND FOR NEW FACILITY - Firefighters and community leaders gathered last week to officially break ground for The Woodlands Fire Station No. 6, to be located at 1100 Windsor Lakes Blvd., and the Emergency Training Center, to be located at 16135 I45 South. The joint groundbreaking marked the beginning of a year-long construction project which will sustain fire/rescue response time in the College Park area and provide a training facility to meet emergency preparedness and development needs in the region. Funding for the facilities is provided through a partnership between the Town Center Improvement District (TCID), The Woodlands Fire Department and the Community Associations of The Woodlands, forming Economic Development Zone No. 4 to construct and equip a fire station and emergency training center. 
THE WOODLANDS WILDFLOWER FESTIVAL POSTER CONTEST UNDERWAY - Attention all artists! Entries are now being accepted for The Woodlands Wildflower Festival Poster Contest. The contest is held annually in conjunction with The Woodlands Wildflower Festival, a popular community tradition that will be celebrated on Saturday, October 27, 2007 from 10 am - 2 pm at Cochran's Crossing Shopping Center. The deadline for poster contest entries is Friday, September 28, 2007, and winners will be notified by Wednesday, October 3, 2007. 
ST. LUKE'S EXPANDING ITS PRESENCE IN THE WOODLANDS - St. Luke's has two new projects underway in The Woodlands - a new 12,000-square-foot medical center for minor emergencies, located in The Woodlands Crossing Shopping Center, and a new 91-bed patient tower at St. Luke's Community Medical Center-The Woodlands. The $10 million minor emergency center is slated to open this fall and will be staffed by two board-certified, fellowship-trained emergency medicine physicians. It will be open 24 hours a day, 7 days a week for minor emergencies such as sprains, strains, suspected broken bones, minor burns, nose bleeds, influenza, severe chest pain and upper respiratory problems. "We wanted to offer another avenue that will help expedite care for less serious emergencies," said Debra Sukin CEO of St. Luke's. The peak wait time at St. Luke's CMC-The Woodlands is currently 2-5 hours. 
AUTUMN GROVE COTTAGE NOW OPEN FOR ALZHEIMER'S CARE - AutumnGrove Cottage recently opened a 16-private bed Alzheimer's and dementia care residence at 5000 Alden Bridge Drive, located across the street from Buckalew Elementary School. The one-story cottage is designed to have the look and feel of a residence rather than a medical facility. The cottage provides an alternative to traditional institutional care by offering residents the benefits of customized care plans in a smaller, more intimate homelike setting. Other features include home-style meals served in a spacious dining room, a scenic outdoor courtyard and a living room. For more information, call 713-870-1393 or visit 
THE BRACELET OF BORDEAUX LAUNCHES FIRST-EVER BOOK-DVD - The Bracelet of Bordeaux, a children's mystery adventure, will soon become a new breed of entertainment product with its launch at Barnes & Noble and Borders bookstores across south Texas late this month. For the first time in the history of the film and book industries, a full-length feature film and novel will be packaged together, debuting simultaneously as a Book-DVD combo. The movie was filmed on location primarily in The Woodlands. The Bracelet Magical Mystery Bookstore Tour will begin with a kick-off event on August 25, from 1-5 pm at Barnes & Noble in The Woodlands Mall. Some of the main cast members and book author will sign autographs, and the movie's star dog, Rufus, will "sign" books with his paw print stamp. For more information, visit 
LAURA WILKINSON EARNS TWO NATIONAL TITLES - Diver Laura Wilkinson of The Woodlands, 2000 Olympic Gold Medalist, is again racking up titles in her quest for the 2008 Summer Olympics in Beijing. She recently won two national titles off the platform at the Senior National Diving Championships in Stanford, California. She took the women's platform with 422.3 points, 79.35 ahead of second-place Cassandra Cardinell of Bloomington, Indiana. She also paired with teammate Jessica Livingston to win in synchronized platform diving. Way to go, Laura! 
CHAMBER ANNOUNCES NEW VICE PRESIDENTS FOR 2007-2008 FISCAL YEAR - The South Montgomery County Woodlands Chamber of Commerce has announced its Vice Presidents and their responsibilities for the new fiscal year which begins August 27th. 
Pictured from left to right are: First row, Karen Hoylman, Chamber President and CEO and Bev Earl, Chairman of the Board; Second row, Debbie Buckalew Campbell, VP & Treasurer and Karen Smith, VP Business Opportunities; Third row, Amy Milstead-Ellzey, VP Committed & Motivated Volunteers and James Stilwell, VP Government Affairs; Fourth row, Lou Ann Tiger, VP Financial Viability and Ray Sanders, VP Chairman's Appointment; Fifth row, Bret Strong, VP Legendary Leadership and Ron Bourbeau, CEO, Economic Development Partnership; and Sixth row, Kenny Speight, Immediate Past Chairman and Gary Gelfman, VP Visibility & Image. In the inset photo is Bruce Tough, VP Economic Development. 
CINDY AVANTS JOINS LIFESTYLE FITNESS CENTER - Cindy Avants has joined the team of fitness professionals at Lifestyle Fitness Center, a private membership fitness facility exclusively for adults, located at 9110 Forest Crossing Drive. Avants has a rich background of experience and training in personal wellness. Her studies blend the disciplines of Physical Fitness, Nursing, Human Services and Christian Spirituality to benefit the overall wellness of her clients, according to Scott Bauer, principal of Lifestyle Fitness Center. She is a certified personal trainer and group fitness instructor and enjoys teaching a variety of group fitness classes. Her specialty is yoga, having received 150 hours of instruction from YogaFit Training Systems Worldwide. For more information, call 281-292-4883 or visit 
Friday, August 17, 2007
RECON August 17, 2007
HOME CONSTRUCTION RECORDS DROP
WASHINGTON (U.S. Census Bureau, foxnews.com) – The Commerce Department’s New Residential Construction Index for July reported that construction of new homes and apartments dropped 6.1 percent last month to a seasonally adjusted annual rate of nearly 1.4 million units.
This number is down 20.9 percent from the pace of activity a year ago and represented the slowest pace since January 1997.
The July drop in housing construction followed a 2.1 percent rise in June, driven primarily by apartment construction.
Applications for building permits, considered a good barometer of future activity, fell by 2.8 percent in July to an annual rate of almost 1.4 million units.
Housing construction fell in all parts of the country except the Midwest, which posted a 2.6 percent increase in July. Construction starts were down 11 percent in the South, 3.7 percent in the West and 1.3 percent in the Northeast.
TRAINING, SEMINAR REGISTRATION OPEN
COLLEGE STATION (Real Estate Center) – Fall means the start of classes, even for real estate professionals. Registration is open for an array of upcoming training sessions and seminars from the Real Estate Center at Texas A&M University.
- The 21st Annual Legal Seminar on Ad Valorem Taxation will be held Aug. 29–31 at the Hyatt Regency in San Antonio. The seminar, which will provide a wealth of information on a variety of legal topics influencing ad valorem taxation, is being presented in cooperation with the State Bar of Texas Property Tax Committee. The cost is $385.
- The Commercial Real Estate Summit will be held in Fort Worth Sept. 26–27. This 15-hour MCE program will cover current commercial real estate issues including an economic forecast, public policy, impact fees, demographics, water issues, urban/public land oil and gas activity, and Fort Worth development. Also included are the required MCE legal update and ethics courses. The early registration fee is $175 for SCR members or $200 for non-SCR members.
- Instructor training for Legal Update and Ethics MCE courses will be conducted in Grapevine on Nov. 1, El Paso on Nov. 9, Austin on Nov. 19, Houston on Dec. 3, San Antonio on Dec. 17 and College Station on Jan. 8. These sessions will certify instructors to teach the new courses, which go into effect Jan. 1, 2008. The early registration fee is $75 per course.
- An Educators Conference will be held in College Station on Jan. 7, the day before the instructor training for the Legal Update and Ethics MCE courses. Center researchers will be on hand to update core and MCE instructors. The early registration fee is $20.
Information on each of these courses is available on the Center’s website.
RENAMING, RENOVATING BEAL CENTER
DALLAS (Dallas Morning News) – Granite Properties will spend $6 million renovating the former Beal Bank Center on the Dallas North Tollway.
The 1980s-era complex includes 12- and 13-story brick and glass office towers and a two-story building. The buildings total more than 342,000 square feet.
Locally based architecture firm Omniplan designed the renovations, which include new metal roofs for the towers and a redesign of the ground floor porte cocheres.
The currently 65 percent leased center will be renamed Tollway Towers.
COLE CREEK'S NEW TRIO
HOUSTON (Trammell Crow Company) – Work has begun on three new distribution facilities in the Cole Creek Business Park, bringing almost 427,000 square feet to Trammel Crow Company’s park.
The 252,000-, 80,000- and 94,930-square-foot buildings make up phase three of the Cole Creek development at the northwest corner of West Little York and Fairbanks North Houston. Completion is scheduled for March 2008.
The new buildings are owned by Trammell Crow Company and ING Clarion. The development team includes Powers Brown Architects; Cobb Fendley Associates; Haynes Whaley Associates; Redding, Linden, Burr; Rosenberger Construction; and Wong & Associates.
CB Richard Ellis will handle leasing.
ADAM'S MARK REBRANDED
DALLAS (Dallas Business Journal) – Two months after Oxford Lodging Advisory & Investment Group announced it was buying downtown’s Adam’s Mark Hotel, the hotel is being rebranded as a Sheraton Hotel.
Starwood Hotels and Resorts Worldwide, which owns Sheraton Hotels & Resorts, will oversee the hotel's management and branding.
The Adam's Mark Dallas, located on Olive Street near Pearl Street, boasts 1,840 rooms and 240,000 square feet of convention space.
NORTH TEXAS HOSPITAL BOOM
DALLAS (Dallas Morning News) – To serve fast-growing southern Denton County, North Texas’ largest hospital system plans to build a $160 million, 130-bed hospital in Flower Mound, Lewisville or Coppell.
Texas Health Resources’ (THR) new hospital is just part of more than $2.5 billion worth of hospital construction and expansion that has been announced in North Texas by various companies, said Nancy Williams, president of the Health Industry Council of the Dallas–Fort Worth Region.
THR's hospital, a joint venture with 100 local physicians, will be called Presbyterian Hospital of (the chosen city). According to Will Behrmann, THR's director of planning and business development, the physicians' preferences will determine the location.
The full-service hospital will complement the 255-bed Presbyterian Hospital of Denton, in which THR currently holds a 20 percent interest.
COPPERFIELD'S COPPER LAKES
HOUSTON (globest.com) – Construction has begun on the 374-unit Falls at Copper Lakes Apartments in the city’s far northwest.
Austin-based Duval Copperfield Partners Ltd. is developing the $35 million, Class-A complex on almost 22 acres at Hwy. 6 and Huffmeister Road.
The complex will have 48 three-bedroom units ranging from 1,282 to 1,426 square feet. The remaining will be two-bedroom (1,082 square feet) and one-bedroom (856 square feet) units. All units will have attached garages.
Live Oak Capital Ltd. arranged the 94 percent loan-to-cost financing of $33.4 million. Amegy Bank of Texas provided $28.5 million of the total funding in a three-year senior loan at a variable rate of 200 basis points above LIBOR. KeyBank Real Estate Capital supplied the three-year mezzanine of $4.95 million.
Blazer Residential Inc. is the general contractor. The project’s architect is Mucasey & Associates. Both are from Houston.
AUSTRALIAN TRUST'S INDUSTRIAL PICKUP
SAN ANTONIO (San Antonio Express-News) – Locally based Santa Barbara Development Services has sold 11 industrial buildings totaling just over one million square feet to DB RREEF, an Australian real estate trust. The two companies will partner to develop new buildings throughout the city.
DB RREEF Trust bought the buildings, which are located in various industrial parks, including Cornerstone Industrial Park (near I-10 and Loop 410), Alamo Downs Business Park (near Loop 410 and Culebra Road), Interchange Park (near Loop 410 and I-35) and Tri-County Business Park in Schertz.
Also included was a 360,000-square-foot rail-served warehouse that is under construction at the East Kelly Rail Port at Port San Antonio. Santa Barbara Development has additional ground leases at this location, where, on Oct. 1, the partnership will break ground on the first of two 270,000-square-foot warehouses.
The partnership also has 14 buildings planned on the industrial park land and plans to break ground on the first three next month.
All buildings will be built on a speculative basis.
Santa Barbara Development partnered with New Mexico–based Titan Industrial Development to develop the properties bought by DB RREEF.
VERDE BUILDING BEGINS
PFLUGERVILLE (Austin American-Statesman) – Verde Corporate Realty Services, based in El Paso, is developing a one-story, 144,000-square-foot, Class-A industrial building in the $50 million Verde Springbrook Corporate Center industrial park.
The Austin office of Verde is handling the marketing and leasing. The building is projected to be completed by year’s end.
The 63-acre park is in the new Texas 45 North corridor. It will total one million square feet at buildout.
METRO HOME PRICES IMPROVE
WASHINGTON (National Association of Realtors) – Home price trends are improving in metropolitan areas, but existing-home sales during the second quarter were below a year ago in most states, according to the latest quarterly survey by the National Association of Realtors.
In the second quarter, 97 out of 149 metropolitan statistical areas show year-over-year increases in median existing single-family home prices, including nine areas with double-digit annual gains. Fifty had price declines, and two were unchanged.
Total state existing-home sales, including single-family and condo, were at a seasonally adjusted annual rate of 5.9 million units in the second quarter, down 10.8 percent from a 6.6 million-unit pace in second quarter 2006.
The national median existing single-family home price was $223,800 in the second quarter, down 1.5 percent from second quarter 2006, when the median price was $227,100.
Total existing-home sales in the South were at an annual rate of 2.3 million units in the second quarter, down 10.7 percent from the second quarter of 2006. The median existing single-family home price in the South was $185,000 in the second quarter, 1.6 percent below a year earlier.
The strongest price increase in the South was in the Beaumont–Port Arthur area, at $127,700, up 11.8 percent from a year ago.
MORTGAGE RATES INCREASE
NEW YORK (CNNMoney.com, Real Estate Center) – Mortgage rates rose for the first time in four weeks, Freddie Mac reported yesterday.
The government-sponsored loan buyer said the average rate on a 30-year fixed-rate loan increased from 6.59 percent to 6.62 percent for the week ending August 16. Last year at this time, 30-year mortgage rates averaged 6.52 percent.
Five-year adjustable-rate mortgages (ARMs) averaged 6.35 percent this week, up from 6.33 percent last week and 6.18 percent a year ago.
One-year ARMs averaged 5.67 percent this week, up from 5.65 percent last week, the same level they were at this time last year.
Because mortgage rates have fluctuated slightly in recent months, Dr. Jim Gaines, research economist with the Real Estate Center at Texas A&M University, does not think the increase establishes a definite trend. However, he says the Federal Reserve's decision to cut discount rates on loans to banks by half a percentage point could portend a future decline if it lowers its federal funds rate at its September meeting.
IT TAKES A BAYLOR VILLAGE
WACO (Waco Tribune-Herald) – Nearly 700 Baylor students are moving into the new Brooks Village, which replaced the old, demolished Brooks Hall.
The $43 million complex is just over 252,000 square feet, with 370 students in the dormitory-style Brooks College and 312 sophomores, juniors and seniors in the apartment-style Brooks Flats.
Brooks College houses the new Robbins Chapel. Both have state-of-the art classrooms. Also included in the village are faculty offices and a faculty apartment, giving students more daily interaction with their professors.
The furnished Brooks Flats have complete kitchens and are single- or double-occupancy bedrooms in apartments housing between two and four people.
Brooks College will cost between $535 and $624 per month. It costs between $395 and $522 per month to live in one of Baylor’s other dormitories. Brook Flats will cost between $677 and $763 monthly.
Currently, 39 percent of Baylor students live on campus, compared to 29 percent in 2001.
Tuesday, August 14, 2007
RECON August 14, 2007
BRIDWELL RISING
WICHITA FALLS (Wichita Falls Times Record News) – Crews have begun preparing the site for Bridwell Tower, United Regional Health Care System’s 179,000-square-foot expansion project that will begin construction later this month.
The tower, the first part of a three-phase consolidation plan, will stand across from the current 11th Street campus. It will house a floor for surgery, as well as areas for pediatrics, obstetrics and outpatient services.
The city/county hospital board has approved a budget of $70.4 million to build, furnish and equip Bridwell Tower. All three phases are being funded largely by $60 million of proceeds from a United Regional bond.
The board also approved a contract with McCarthy Building Companies of Dallas, with roughly $45.3 million of the Bridwell Tower budget set aside for construction. The hospital expects local subcontractors to pick up about 40 percent of the construction work.
Construction on Bridwell Tower should take about two years.
TRADING TRACES
HOUSTON (svn.com) – Traces Loft Apartments, a 256-unit apartment community near Beltway 8 at 5110 Azalea Trace, has been sold to California-based Smoketree Apts LLC.
Built in 1983 on almost nine acres, the 18-building complex near Sam Houston Race Park, Willowbrook Mall and the HP offices was more than 90 percent occupied. The one-bedroom, one-bathroom units have monthly rents ranging from $550 to $600. The property closed at a 7.5 percent cap rate.
Sperry Van Ness in Houston represented Smoketree. The seller, New York–based TLA Partner LP, represented itself.
GROUNDBREAKING AT ALMEDA
HOUSTON (globest.com) – Local developer Michael Stevens Interest Inc. is breaking ground on a 252-unit apartment complex on just over ten acres at 9000 Almeda Rd.
The complex is in the Texas Medical Center, near downtown on Loop 610. The estimated total development cost is $25 million.
Cushman & Wakefield of Texas Inc. represented the seller, Carolyn Rosenstock Ellis of Houston.
RADISSON SPA TREATMENT
SAN ANTONIO (San Antonio Business Journal) – A joint venture between Seattle-based Dow Hotel Co. and Prudential Insurance Co. of America purchased the Radisson Hill Country Resort and Spa from FFI Real Estate USA LLC.
Built in 2002, the 227-room hotel at 9800 Westover Hills Blvd. features three swimming pools, four food and beverage outlets, two retail shops and a 6,000-square-foot day spa.
Dow Hotel will manage the property.
H-E-B TO ANCHOR VILLAGE
MISSOURI CITY (Houston Chronicle) – Weaver Davis & Jacob Realty Group has purchased 28 acres at the entrance to Sienna Plantation and sold a 16-acre portion to H-E-B.
H-E-B plans to build a more than 113,000-square-foot store anchoring the planned Sienna Village center.
The land was purchased from Sienna/Johnson, developer of the master-planned Sienna Village, which includes 90,000 square feet of retail space on 12 acres. Construction of the retail center is set to begin this fall with grand opening slated for late next summer.
MAKING USE OF LAND
KATY (globest.com) – Local developer Simpkins Group has purchased 213 acres surrounding the 1.3 million-square-foot Katy Mills Mall from Maryland-based Mills Corp.
Simpkins Group plans to develop the infrastructure-ready acreage at I-10 and Katy Fort Bend Road into pad sites. CB Richard Ellis' Houston office will market the pads, which will be sold for a mix of commercial and retail uses.
Chicago-based Wrightwood Capital Corp. provided $22.5 million in financing. Live Oak Capital Ltd. in Houston arranged the 36-month loan.
FROM DETROIT TO DALLAS
DALLAS (Dallas Business Journal) – Comerica Inc., currently based in Detroit, will lease the first five floors of the 60-story Bank One Center building at 1717 Main St. for its new corporate headquarters.
The building, completed in 1987 for Mercantile National bank, will be renamed Comerica Bank Tower. Some Detroit employees will begin relocating to the building next month.
The lease on Comerica's current Texas headquarters — Thanksgiving Tower at 1601 Elm St. — expires in mid-2008.
CB Richard Ellis Inc. and the Staubach Co. advised Comerica on the lease transaction.
SEAHOLM PROJECT GROUNDWORK BEGINS
AUSTIN (Austin Business Journal) – Construction has begun in the Seaholm District — the old power plant's site — to transform the area into a mixed-use development.
Improvements initially will include the realignment of Sandra Muraida Way and the addition of a traffic circle, water and wastewater lines and a water quality biofiltration meadow.
CROSSWELL BUYS LAND
BAYTOWN (Houston Chronicle) – Crosswell Development has purchased more than 34 acres at North Main and Archer in Baytown from Jack R. Lee, trustee.
Claire Sinclair Properties represented the seller. Crosswell Development was self-represented.
INDUSTRIAL ENERGY
DALLAS (Dallas Morning News) – Siemens Energy has leased 162,500 square feet of industrial space at 1011 N. 28th St. at Dallas–Fort Worth International Airport.
CB Richard Ellis negotiated the lease.
ACUTE CARE PURCHASED
HOUSTON (Houston Business Journal) – Hospital Partners of America Inc. has sold two local acute-care facilities to Medical Properties Trust Inc. for $100 million.
The campuses are part of Twelve Oaks Medical Center and are licensed for a total of 524 beds.
- The River Oaks campus consists of an eight-story, 199,000-square-foot structure and an under-construction five-story, 110,000-square-foot building to be called River Oaks Physician Plaza.
- The Sharpstown campus is a four-story, 156,000-square-foot facility.
North Carolina–based Hospital Partners of America will lease back the buildings, becoming Alabama-based Medical Properties Trust’s third-largest tenant.
BEHRINGER SQUARED
FRISCO (PRNewswire) – Behringer Harvard has entered into a joint venture with Fairway Equities to purchase and develop an approximate 48-acre portion of Frisco Square, a master-planned development in the city's town center.
Included in the purchase is 43,500 square feet of office space, 114 high-end multifamily units and 57,000 square feet of retail and restaurant space, as well as a 16,000-square-foot retail building and a 48,000-square-foot office building, both of which are under construction.
The purchase includes entitlements for a total of 1.6 million square feet of office space, 560,000 square feet of retail, 300 high-end multifamily units and 800 hotel rooms.
In 2007, Forbes named Frisco, which is about 25 miles north of Dallas, the seventh-fastest-growing suburb in the United States, with population expected to more than triple to nearly 230,000 by 2030.
The Woodlands E-Neighbor - August 14, 2007
 |
| 
| |||||
| Reproduction or use without written permission on pictorial content in any manner is prohibited. All rights reserved. To Subscribe, Click Here | Click to Unsubscribe txrex.txmarket@blogger.com from this list | Printer Friendly Version | Forward to a Friend | ||||||
24 WATERWAY AVENUE TOPPED OUT - A "topping out" ceremony was held on Thursday, August 9, 2007 at 24 Waterway Avenue (pictured), a new 308,206-square-foot mixed-use building on Waterway Square in The Woodlands Town Center, according to Dan Leverett, vice president of commercial for The Woodlands Development Company. 
HUBBEL AND HUDSON, HMT AND GPM, INC. PLAN MOVE TO 24 WATERWAY AVENUE - Several new tenants including Hubbell and Hudson, HMT, and GPM, Inc. have already announced plans to occupy 49,000 square feet in 24 Waterway Avenue (rendering pictured), a mixed-use building on Waterway Square in The Woodlands Town Center when it is completed early next year, according to Dan Leverett, vice president of commercial for The Woodlands Development Company. Additional leasing is underway, and the building is 60% committed, Leverett said. 
GPM, Inc., the asset management company for George P. Mitchell (pictured), is moving its corporate headquarters to 12,416-square-foot offices at 24 Waterway Avenue. George P. Mitchell is the founder of The Woodlands, and GPM, Inc. has been located in The Woodlands since 1984. In addition to the GPM, Inc. corporate offices, the space will also serve as the headquarters for the Cynthia and George Mitchell Foundation and other Mitchell affiliated companies. The firm expects to move to 24 Waterway in early 2008. 
FRIDAY DEADLINE FOR HOMETOWN HEROES NOMINATION - The deadline for nominating 2007 Hometown Heroes is Friday, August 17, 2007. The honor will be bestowed upon individuals and businesses or institutions that serve as outstanding role models for volunteerism and dedication to The Woodlands community, according to Susan Vreeland-Wendt, director of marketing for The Woodlands Development Company. 
THE WOODLANDS SYMPHONY ORCHESTRA PREPARES FOR 15TH SEASON - David Chan (pictured), Concertmaster of the Metropolitan Opera Orchestra, will launch The Woodlands Symphony Orchestra's year-long celebration of its fifteenth season as guest performer and violin solo artist for their opening performance, October 6, 2007 at the Nancy Bock Performing Arts Center at the McCullough Junior High School campus. 
...AND SPEAKING OF MUSIC, THE WOODLANDS CONCERT BAND NEEDS YOU - Rehearsals for new and returning band members will begin on Thursday, August 16, 2007 for The Woodlands Concert Band (WCB) with the first performance scheduled for mid-October. The WCB does not require auditions to join. The WCB accepts members who play everyday to performers who haven't picked up their instrument in 30-years. For more information, visit 
