Investors are scooping up properties all over North Texas in a real estate trend that shows no sign of slowing.
Dallas-based Cross Development and Kalterra Capital Partners built the McKinney-based apartment complex in 2020. Located at 1760 N. Ridge Road in McKinney, the property contains rental units ranging from 597 to 1,260 square feet. Jones Lang LaSalle, a commercial real estate services and property investment company, marketed the real estate sale.
Other features include one- and two-bedroom designs complete with in-unit washers and dryers, air conditioning, patios, and a fitness center and swimming pool.
Besides the recent McKinney-based purchase, Magellan Investment’s portfolio includes the Gateway Crossings apartments in Plano and rental units in the Austin and Houston areas.
It is not just rental communities in North Texas that investors are flocking to. Dallas-Fort Worth home investment activity has seen a dramatic increase in the past 18 months, according to data from the real estate research firm CoreLogic. The firm found nearly one of every three homes sold in August (throughout 21 DFW zip codes) was bought by an investor.
From January to October, nearly $33 billion worth of Dallas-area property sales were recorded, representing a 10% annual increase, according to the latest data from MSCI Real Assets. Nationwide, investment real estate transactions on a year-to-year basis were down 21% during the same period.
“Dallas’ status as the top market is not a function of megadeal activity but rather the nearly 900 transactions that took place during the first nine months of 2022,” said MSCI Real Assets in a recent report.
Despite an environment of higher interest rates and a decelerating number of investment transactions nationwide, MSCI analysts found that “the count of transactions in Dallas is nearly 20% above the average number seen in the five years prior to the pandemic.”