Austin Office Market Report Q1 2022

Austin continues to lead the US in office job growth and provide a glimpse of the tech market’s return to office strategy post-pandemic. Job growth has surged to all-time highs, with 60,000 new office jobs added since February 2020 while leasing activity continues to be driven by the tech industry.

Under construction
Over 5.0 msf of office product is currently under development while availability, particularly within the CBD, dwindles which is sparking new groundbreaking announcements as landlords work to keep up with demand.

Net absorption
Overall net absorption remained positive, but relatively limited as many of the large tech leasing deals signed in recent months have yet to commence.

Net absorption
Overall net absorption remained positive, but relatively limited as many of the large tech leasing deals signed in recent months have yet to commence.

Click here to download the report and read more at www.avisonyoung.us.

CBRE Arranges $62.1 Million in Refinance Loans for Six Multifamily Properties Within the Sunbelt

The 1,632-unit portfolio consists of:

Deer Run at 8755 Jenny Lind St., Charleston
Middleton Cove at 2274 Ashley River Road, Charleston
Canyon Point at 16550 Henderson Pass, San Antonio
Oak Springs at 3919 Perrin Central Boulevard, San Antonio
Deer Oaks at 7230 Wurzbach Road, San Antonio
Churchill Crossing at 14100 Thermal Drive, Austin

“After owning these properties within their portfolio for over 25 years, Churchill Forge chose an early portfolio refinance of these assets to take advantage of the current low-interest-rate environment,” said Kristen Reilley, Director at CBRE in Charlotte. “These properties not only fit well within the mission-driven charter that Fannie Mae looks for in their loans, but also provides housing in these markets that are much needed.”

The Federal Housing Finance Agency (FHFA) established a 2022 multifamily volume cap of $78 billion, of which 50% must be mission-driven, focused on certain affordable and underserved market segments, and 25% affordable to residents earning 60% or less of area median income. Fannie Mae Multifamily provided liquidity for approximately 136,000 units of multifamily housing in Q1 of 2022; almost 95% of the units potentially eligible for housing goals credit were affordable to families earning at or below 120% of area median income, providing support for both workforce and affordable housing.

RREAF Communities Announces Master Planned Community Between Austin and San Antonio

DALLAS, April 28, 2022 /PRNewswire/ — RREAF Communities, a division of RREAF Holdings focused on acquiring, developing, and delivering highly-amenitized, large-scale master-planned communities, today announced the closing on a 3,173-acre mixed-use development between Austin and San Antonio in Caldwell County.

“RREAF Communities’ master plan proposes a wide variety of land uses,” said Kip Sowden, Chairman and CEO of RREAF Holdings. “Our current plans build on the exciting economic momentum in Texas. We have seen tremendous interest in commercial opportunities, and this property is ideally situated to become a commercial and industrial hub.”

The community is anticipated to include thousands of residential homes, abundant retail, restaurants, hotels, offices, healthcare, and light industrial sites, as well as future school sites. The property is located at the intersection of State Highways 130 and 80, a 30-minute commute to Austin and 40-minute commute to San Antonio. Its location offers convenient access to two major Texas markets. Click to read more at www.prnewswire.com.

North Austin Hotel Secures Acquisition Financing

JLL Capital Markets has arranged acquisition financing for La Quinta Inn & Suites by Wyndham, a 75-key hotel in Cedar Park, Texas.

JLL worked on behalf of the borrower, Door Capital Partners, to secure the five-year, fixed-rate loan through Alliance Bank Central Texas.

Completed in 2009, La Quinta Inn & Suites comprises a mix of traditional guest rooms and suites. The hotel amenities include a fitness center, laundry facilities, indoor pool, mobile check-in, sundries/mart, complimentary breakfast and 625 square feet of meeting space.

La Quinta Inn & Suites is positioned on 4.02 acres at 1010 E. Whitestone Boulevard. Located 22 miles north of Austin, just off Highway 183 and Interstate 35, guests have convenient access to local shopping and entertainment as well as Lake Travis and the trails at Brushy Creek Lake Park, in addition to all that downtown Austin has to offer, including, Blanton Museum of Art, Austin Zoo, Lakeline Mall, the Arboretum and more.

The JLL Capital Markets Debt Advisory team representing the borrower was led by Senior Director CW Sheehan and Analysts Matt Ctvrtlik and Hunt Wood.

Council Starts Process to Charge Park Fees for Office Buildings

City Council unanimously approved a resolution Thursday directing city staff to bring back amendments to the city’s parkland dedication ordinance that would require new office, commercial and industrial developments to provide parkland or pay into the city’s parkland dedication fund. Currently, only new residential developments are required to pay such fees.

Mayor Pro Tem Alison Alter sponsored the resolution, which gathered six co-sponsors. Mayor Steve Adler, one of the original co-sponsors, added language stressing the need for staff to “establish the legally required nexus” between the need for parkland and establishment of fees for individual properties.

Randy Scott, park development coordinator for the Parks and Recreation Department, told the Austin Monitor that staff members would provide information to show that there was an appropriate connection between the proposed fees for commercial property development and the need for new parkland.

Alter pointed out that workers taking their lunch breaks often use parks and trails close to their offices and other workplaces. She said growth in the commercial and industrial segments of the community has fueled the need for additional parkland. Click to read more at www.austinmonitor.com.

Diversified & In-Demand: South Texas EDCs Advocate for Community, Region

South Texas is a region as diverse in industry as the people who make up its population. Stretching from San Antonio to Brownsville and Corpus Christi to Del Rio, South Texas encompasses nearly 30 counties, covers roughly 37,800 square miles and is home to millions.

“The movement to South Texas is happening faster than the developers can keep up,” says Gene Lindgren, President and CEO of the Laredo Economic Development Corporation.

He notes that Laredo is catching up by developing thousands of acres in first class industrial parks. But commercial development overall is booming. In 2021, Lindgren says Laredo issued $543 million in new construction permits, $55 million of that in the commercial space.

“What is happening now is a significant jump due to the impact of global supply chain issues and companies deciding they need to be in North America as opposed to Asia,” says Lindgren. “The near-shoring dynamic already has our daily truck numbers up with some days hitting projections for 2030.” Click to read more at www.rednews.com.