Texas development is continuing to surge, and Houston is no exception. As discussed in our blog ‘The Need for Construction Risk Management in Texas’, Texas construction is seeing a significant increase in population and, in turn, a significant amount of money being fed into construction development ($535 billion to be exact). Along with more construction, however, comes the need for more construction risk management. It is important to have someone on your side that can manage these risks. With years of experience in the Texas market, Moran Consultants has multiple projects in the Houston area ranging from multifamily properties to warehouse facilities. We utilize our extensive project database to complete accurate comparisons regarding project cost, time, and project team experience based on geographic region and specific project type. In a time when the Houston market is on a rise, specifically multifamily properties, you want to be sure you have all the tools you need to mitigate construction risk.
The Reason for Houston’s Rapid Multifamily Development
According to the latest report by StorageCafe, Metro Houston is the 2nd most active real estate market across the commercial and residential sectors over the last decade. Logging 170,817 multifamily and 392,136 single-family permits, many attribute this development to newcomers moving into Texas, especially from California, who find Houston’s lower home prices, tax rates, and cheaper land more desirable. With the cost of living in Houston being 31% less expensive than in Los Angeles, the desirability is no wonder. This appeal does not seem to be going anywhere anytime soon and reports are showing a successful year ahead for multifamily development in Houston.
A report put together by RealPage shows Houston’s population has grown by more than 1 million residents in the past decade, making their total population a staggering 7.1 million people. To meet the demand for housing, Houston is planning to construct 17,052 multifamily units before the end of the year, increasing its apartment inventory by 2.4%. This increase alone puts Houston in the top 10 largest apartment markets. With large companies such as JLL, Google, and Exxon Mobile announcing offices in the Houston area it would be of no surprise to see this multifamily inventory grow even more as these businesses bring more jobs to the area. Now, more than ever, it is important to manage the risk involved in your investment as this market continues to grow.
How Moran Consultants Can Help Mitigate Construction Risk in Houston
Moran Consultants has long-standing expertise in assisting lenders, syndicators, and investors in mitigating construction risk. Our 50 years of industry experience have afforded us an incredible range of projects priced from several hundred thousand dollars to several hundred million dollars and within diverse sectors including high rise, retail, office, entertainment, education, multifamily, and residential. With multiple projects in the Houston market, we have a unique perspective on local market trends based on our extensive database of project information, allowing us to make accurate and timely comparisons. Our dedicated and responsive team consistently meets national customer demands, with local market knowledge.
Want to learn more about how Moran Consultants can help mitigate construction risk on your next project? Call us at 866-545-3350 or contact us online to learn more about our construction loan monitoring services. Experience peace of mind knowing that your investment is protected.
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