HOUSTON – (Realty News Report) – Kajani Capital Group has acquired a 13.25-acre tract in North Houston where it will develop a multifamily project.
Apartment construction is strong in Houston. The Houston metro area is set to complete 15,760 new apartment units this year – 12 percent more than in 2020, says RentCafé, a nationwide apartment search website.
Kajani Capital Group plans to develop a Class A 336-unit garden-style apartment community on the North Houston site, located near FM 1960 and TC Jester.
Kristen McDade and Matthew Davis of Cushman & Wakefield represented the seller of the land.
“Located immediately north of FM 1960/Cypress Creek Parkway and next to the brand-new School of Science and Technology charter school, the multifamily project will provide top tier housing for an underserved market,” Davis said.
The Houston apartment market rebounded rapidly from the pandemic era with a 5 percent gain in rents and the highest occupancy rate in two years, according to a recent report by ApartmentData.com, a Houston-based multifamily consultancy.
With economic growth in Texas pushing the recovery ahead, empty apartments are being filled. In June, absorption of Houston apartment remained above 5,000 units for the third month in a row, according to a report by ApartmentData.com.
The Houston area apartment occupancy rate jumped to 90.7 percent in June, up from 88.4 percent in June of 2020. Some 59 apartment complexes are under construction and will bring 15,981 new units to the market pretty soon, ApartmentData.com reports. That comes on top of 86 communities with 23,431 units that were added to the Houston inventory in the last 12 months.
The in-migration to Houston is driving the housing expansion. Houston ranks alongside Dallas and Phoenix as the top markets for population gain through relocation, Zonda reports.
Houston single-family sales have been strong and inventory of homes is tight, providing an additional lift for the multifamily market.
Sept. 15, 2021 Realty News Report Copyright 2021
For more about Texas real estate, check out the book Houston 2020: America’s Boom Town – An Extreme Close Up by Ralph Bivins. Available on Amazon http://tiny.cc/4a2g6y
Houston 2020 Ebook version https://tinyurl.com/4xm7z8b5
Image: Courtesy Kajani Capital Group
File: Kajani Developing Houston Apartments near FM 1960. Kristen McDade and Matthew Davis of Cushman & Wakefield.