I attended CBRE’s Second Quarter 2012 Press Luncheon last Thursday. These events are always informative, but this one offered some exceptional insights into the Houston multifamily market. Ryan Epstein is CBRE’s multifamily guru, and his comments about this red-hot market are worth repeating:
* Houston is seeing a stable, healthy volume of apartment sales transactions.
* Multifamily debt financing for new construction in Houston is readily available at rates under 4 percent for a ten-year term.
* Annual rent increases of 7 to 8 percent are not unusual for Class-A units, with some submarkets seeing more than 10 percent increases.
* Citywide multifamily occupancy increased 100 basis points to 89.4 percent and should reach 90 percent by year-end, a rare event in Houston’s multifamily sector.
Read more...Houston Multifamily Market is On Fire | the Blog of the Real Estate Center