Multifamily Monday: Why Jobs Matter
As long as job creation remains strong in DFW, multifamily properties will continue to shine. People love coming to Texas (not just for the Dr. Pepper and State Fair corn dogs. The Cantrell Co partner Sam Pettigrew gives us his take on the market.
Sam (pictured between daughter Haileigh, wife Natalie, and younger daughter Hannah) says more jobs are expected this year, which will bring job-seekers who need a place to live. (It isn't easy to commute from Louisiana.) Apartment occupancy—at 95%—is the highest it’s been in 12 years. The growth of service jobs fuels much of the residency in the Class-B and C apartments, which are Sam’s sweet spot. He has 164 units under contract and another 606 units in contract negotiation. Last week, he landed an assignment to sell (along with colleague Thomas Hooke) the 200-unit Eagles Landing Apartments at 238 E Oates Rd in Garland.
Sam is also selling the 164-unit Lexington at 201 W Tarrant Rd in Grand Prairie. That deal should close later this month. (He'd also repped the sale of this site in 2012 in an off-market deal to the current seller.) Another in contract negotiation: the 606-unit Spring Hill Apartments at 13652 Maham Rd in Dallas. Sellers know it’s a good time to sell, Sam says. Rent growth and occupancy will mitigate any increase in interest rates and cap rates, he says. Congrats to Sam for being The Cantrell Co's top producer for 2013.
