HOUSTON – (Realty News Report) – Magnolia JV acquired 873 acres in Montgomery County, demonstrating a widespread trend for rising demand for suburban and exurban housing.
The buyer of the land is planning single-family residential development on the property, including larger lots to meet the increasing demand for new housing in the Magnolia area.
“With its location on FM 149, its proximity to the SH 249 Highway, The City of Magnolia, and being located in Magnolia ISD, this property is in an ideal location for new residential development,” said Duane Heckmann of Land Advisors Organization’s Houston team. “The SH 249 extension will greatly increase mobility to the property and will considerably shorten drive times for large numbers of homebuyers moving away from urban areas to more suburban communities.”
SH 249 is currently under construction and it is anticipated to be completed in 2023. The SH 249 extension is approximately 24 miles of new roadway from Farm-to-Market (FM) 1774 in Pinehurst, Montgomery County, to SH 105 near Navasota.
The property is a 25 minute drive from The Woodlands Mall.
Exurban and Suburban Land Acquired for Residential Development
Suburban land suitable for residential is in high demand, says Houston broker Reed Vestal of Lee & Associates – Houston.. (Vestal was a recent guest on The Ralph Bivins Project for a podcast discussion of Houston’s land market.)
Sixty percent of the nation’s land brokers rated their markets as “hot or on-fire” in the second quarter, according to a survey by John Burns Real Estate Consulting. Home builders and developers are staking out positions because housing is stronger.
Recently, Century Communities, a national builder, purchased land in Katy and Tomball for two projects that will create a total of 700 single-family lots.Despite the pandemic, Houston area housing starts are expected to be up in 2020, Metrostudy reports.
Mortgage rates are expected to remain around 3 percent for a long time.
A lot of the housing boom will be happening in the suburbs, due to pandemic factors: commuting will be easier and urban densification (crowded elevators, multifamily and transit) and the entire work-from-home trend.
The desire for bigger houses, and new houses with home offices will drive home-builder action, too.
All of this spells suburban growth. New retail and restaurants will be needed. Also, ecommerce and last-mile warehousing will emerge.
Millennials will be part of the new housing boom. They are finally growing up and buying houses.
Vacation homes and second homes within driving distance of metros both sizzle – side effects of the work from home thing.
Houston’s existing home sales totaled 9,195 in August – a 6 percent increase and the best August ever, according to the Houston Association of Realtors.
Sept. 22. 2020 Realty News Report Copyright 2020
File: Suburban Land Acquired for Residential