Just the Facts: Dallas Continuing to Grow

Dallas-Area Home Price Still Racing Up

9.8% Increase in January; Economists Predicted 3-4% Increase for DFW

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Dallas-area home prices rose by almost 9.8 percent in January, continuing to grow faster than nationwide rates.   The analysts had predicted the DFW area would slow to a 3% to 4% increase in 2016, but are now revising – there is simply too many jobs coming to North Texas.  Analysts expect that North Texas’ near double-digit home price gains will continue as long as employment growth in the area remains strong.  CoreLogic said Tuesday that U.S. home prices were 6.9 percent higher in January than they were at the start of 2015.  “Heading into the spring buying season, home prices continue to rise across much of the country,” said Anand Nallathambi, president and CEO of CoreLogic. “With rates staying low for now and continued solid job and income growth, the spring buying season is shaping up to be a good one.”  CoreLogic is forecasting that nationwide home prices will rise by 5.5 percent in the year ahead.

–          Dallas Morning News, March 1, 2016 (excerpt of article)

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Castle Hills Developer Has Bought Singer Ranch; Negotiating with Clem Ranch.

Will Be Larger Than Valley Ranch

About 3,400 houses have been completed in the Castle Hills community.    Another 1,500 lots are in development.  Now Chris bright has announced the purchase of the Singer Ranch (Old Denton Rd, just south of Windhaven) and negotiations underway for the Clem Ranch (Josey at Parker Rd)

Bright Realty just acquired the next door Singer Ranch, a more than 100-acre property on Old Denton Road.  The former horse boarding and riding facility is surrounded to the east on three sides by Castle Hills.  Bright Realty CEO Chris Bright said the purchase will give Castle Hills land for more than 300 additional homebuilding sites.  “We moved fast to buy it,” Bright said. “We knew the way things are working right now in single-family home development that it would sell fast.  Bright Realty is already working with the City of Carrollton to plan and zone the property – much of which is located in a floodplain and is wooded creek area.

Bright said he’s working with the Clem family, which owns about 140 acres north of Castle Hills to expand the project further.   “That family has owned that property since 1860,” he said. “We are doing a joint venture with them that will give us another 400 to 500 lots north of Parker Road.”

More than 12,000 people now live in Castle Hills.  In addition to the custom home communities, Bright Realty is building shopping apartments and an office park to complement the residential neighborhoods.

–          Dallas Morning News, March 2, 2016 (excerpts)

 

 No Dallas Bubble Most Housing Analysts Say in New Poll

North Texas were up 11 percent on 2015.  With a year of double-digit home price gains, concerns about housing costs in North Texas are growing.   Most housing experts polled for the study by Zillow said Dallas has no significant risk of a housing bubble in the next five years.  The rest said Dallas is either already in a bubble or will be in the next few years.    That is a better forecast than almost any other major city.    “It is very clear that nationally we are not seeing a return of the conditions that caused the last national bubble,” Gudell said. “Tighter lending restrictions today mean we aren’t seeing buyers get loans they realistically can’t pay back, like we did in years past.  “It’s significant that some experts are starting to worry about bubble conditions, but in my opinion, there’s no real danger of a severe crash like the one we all remember from the last decade.”  But continued employment gains and population increases will keep housing demands strong in Dallas.  Some 20 of the analysts saw no risk for Dallas in for more than five years.

–          Dallas Morning News, December 9, 2016 (excerpts)


Two Things You Don’t Need to Hear from Your Listing Agent

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You’ve decided to sell your house. You begin to interview potential real estate agents to help you through the process. You need someone you trust enough to:

  1. Set the market value on possibly the largest asset your family owns (your home)
  2. Set the time schedule for the successful liquidation of that asset
  3. Set the fee for the services required to liquidate that asset

An agent must be concerned first and foremost about you and your family in order to garner that degree of trust.  Make sure this is the case.

Be careful if the agent you are interviewing begins the interview by:

  • Bragging about their success
  • Bragging about their company’s success

An agent’s success and the success of their company can be important considerations when deciding on the right real estate professional to represent you in the sale of the house. However, you first need to know they care about what you need and what you expect from the sale. If the agent is not interested in first establishing your needs, how successful they may seem is much less important.

Look for someone with the ‘heart of a teacher’ who comes in prepared well enough to explain the current real estate market and patient enough to take the time to show how it may impact the sale of your home. Not someone only interested in trying to sell you on how great they are.

You have many agents from which to choose. Pick someone who truly cares.

Keeping Current Matters, September 16, 2014


Dallas-Area Home Appreciation in 2015 to be Twice the National Average

Dallas-Area Home Prices Reach Record

Prices of preowned homes in the Dallas area were up 7.4 percent in the latest Standard & Poor’s/Case-Shiller Home Price Index.  The gain in September from a year ago was the fourth highest in the country – significantly ahead of the 4.9 percent nationwide increase.  Home price increases nationwide have slowed in recent months, but in the Dallas area, the year-over-year price increases have remained steady.  Charlotte, North Carolina and Dallas continue to have price increases considerably above the national average.   Dallas-area home prices are now 12 percent higher than they were before the recession and at record level in the Case-Shiller index.

  • Dallas Morning News, November 26, 2014

 

Dallas-Area Home Appreciation in 2015 to be Twice the National Average

Get ready for 2015!  “I expect the appreciation to stay in the high single digits,” said David brown in the Dallas office of housing analyst Metrostudy Inc.   “Our forecast is for homes to appreciate in the 7 percent to 8 percent range in 2015.”  “This is still about double the long-term average rate of increase.”  It is also about double what is expected around the country.

  • Dallas Morning News, November 26, 2014

prosper the name says it all

Prosper: The Name Says it All

Prosper got its start as a railway whistle-stop is on the verge of a building boom that will forever change the once rural community.  Homebuilders are plowing up thousands of acres of former farmland to create housing to serve growing employment centers to the south in Frisco and West Plano.   And on the south edge of Prosper along U.S. Highway 380, surveyors are laying out sites for new shopping centers, office buildings and medical complexes.

 

“It’s been a whirlwind summer,” said Robert Winningham, who heads the Prosper Economic Development Corp. “We have 15,000 residents and are getting ready to double to 30,000.  We will hit close to 500 new homes this year,” Winningham said.

With Frisco’s neighborhoods quickly filling up with new homeowners, Prosper is next in line to benefit from North Texas’ need for more housing. It’s already the second-fastest-growing community in the Dallas-Fort Worth area, according to recent census reports.  The town couldn’t be in a better location, straddling Preston Road and the route of the Dallas North Tollway.  Prosper stretches about 9 miles east to west and 3 miles north from U.S. 380 to the Celina city limits.  “We’re like a big net catching everything that comes up from Frisco,” said Winningham, who came to Prosper about two years ago after a stint as Allen’s top economic officer. “As Frisco fills up along the tollway, that leaves us next.”

 

Two major residential projects in the works in Prosper will eventually add more than 15,000 residents.  The 2,000-acre Windsong Ranch community on the west side of Prosper opened this summer and has seen sales of dozens of new houses. The development by Terra Verde Group will eventually have about 3,000 homes.

  • Dallas Morning News, November 21, 2014

DFW Area on Track for 2015

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DFW Area on Track for Increased Homebuilding in 2015

The Dallas-Fort Worth area should be the second busiest homebuilding market in the country in 2015, according to a new forecast.  MetroStudy Inc predicts that only Houston will have more single-family home starts next year in a comparison of the country’s top building markets.  D-FW home starts are forecast to top 28,000 units next year, compared with the Houston area’s more than 37,000 starts.

“Most of the other starts leaders in 2015 will be markets where builders can secure the raw material—labor, land, and materials—to start new projects,” MetroStudy reports. “Builders in Dallas are pushing their capacity as well, as they assemble more lots and struggle to find enough skilled workers to keep up with demand.”

  • Dallas Morning News, November 10, 2014

Texas the Best State for Future Job Growth, Forbes says

Texas is the top state for its current economic climate and future job growth in Forbes’ annual Best States for Business study released this week.  Texas has added 2.1 million jobs since 2000, more than twice as many as any other state, Forbes reports. Moody’s Analytics expects Texas to have an annual job growth rate of 2.7 percent over the next five years — the fastest in the nation — ranking it No. 1 on Forbes’ “Best States for Job Growth” list.  Naturally, Forbes cites Texas’ pro-business environment and the energy industry for its impressive job growth.  “Texas has done well primarily because it is an energy center. You really can’t get around that,” Edward Friedman, an economist who tracks Texas for Moody’s Analytics, told Forbes. “Every major energy and oil company has realized over the last 15 years that the only place to be is Houston.”   Outside of Houston, Forbes cites Toyota Motor Corp.’s (NYSE: TM) new campus in Plano, Charles Schwab Corp. (NYSE: SCHW) moving jobs to Austin and El Paso, and Apple Inc.’s (Nasdaq: AAPL) expansion in Austin as other examples of the massive business investments in Texas.  In addition to Texas’ impressive job growth, it also is expected to have the second-fastest economic growth rate over the next five years: 4.1 percent annually.  However, the education rate of Texas’ workforce hurts it in the overall ranking. It has the second-lowest percentage of adults with a high school degree: 82 percent.

  • Forbes, November 14, 2014

 


Dallas Midtown (currently Valley View Mall and surrounding area)

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Could the 70 acres at Valley View Mall be the new Dallas Midtown?   This is the proposal that is scheduled to go before the Dallas City Council with construction beginning in 2016.   The same architectural firm responsible for NorthPark Center, Highland Park Village and the Galleria — has done the rendering that is part of the proposal being shopped to prospective tenants.  The extreme makeover for the 70-acre area bound by Preston Road, LBJ Freeway, Montfort Drive and Alpha Road will include 285,000 square feet of retail; 2,440 residential rental units; 250 condos; a 500-room hotel; 1,497,000 square feet worth of office space and a sprawling park (billed in the look book as the “Largest Programmed Dallas City Park”) that will link Midtown with the Galleria.  The architectural plans are done; now it’s time to fill the expansive space with tenants, including, as you can see in one of the renderings included here, a grocery.

  • Dallas Morning News, November 13, 2014

 

 


Nebraska Furniture Mart “Grandscape” – Restaurants/Hotels

Nebraska Furniture Mart

Nebraska Furniture Mart Inc. officially has made its foray into the development world, signing hotels and restaurants to its $1.5 billion, 433-acre Grandscape project — even as it stocks shelves with furniture, appliances and electronics.  This is the first time the 77-year-old Omaha, Nebraska-based furniture retailer has developed its 1.9 million-square-foot furniture showroom and distribution center as well as the entire “entertainment destination” surrounding the furniture store at the southeast corner of the Sam Rayburn Tollway and Plano Parkway in The Colony.  “We had a chance to be thoughtful in how we recruited tenants for that area and how we will continue to recruit tenants,” Jeff Lind, chief strategy and development officer with Nebraska Furniture Mart and president of Grandscape told the Dallas Business JournalLind and other city officials held a press conference on Tuesday to announce the new retail tenants of Grandscape, which include Hampton Inn & Suites, Homewood Suites, Cheddar’s Casual Cafe, Hard Eight BBQ, Mi Cocina and Rock & Brews.  The Nebraska Furniture Mart is expected to be one of the largest grossing retail stores on the planet, which is why the developer is being particular when selecting tenants for Grandscape.  Construction is underway on the infrastructure that will support Grandscape’s new tenants. Cheddar’s and Rock & Brews plans to open in summer of 2015, with Hampton Inn, Hard Eight and Mi Cocina following in the fall. Homewood Suites plans to open in late 2016The Nebraska Furniture Mart showroom and distribution center is on pace to open in spring 2015.

  • Dallas Business Journal, October 28, 2014

FedEx Office Kicks Off New Headquarters at Legacy West

Fed Ex and Legacy West in Plano

 

Dallas-based development firm KDC kicked off its second major corporate campus Monday afternoon — the first double-header groundbreaking in company history, located at Sam Rayburn Tollway (121) and Legacy Pkwy.  “This is a huge consolidation of FedEx Office’s corporate offices,” Toby Grove, president of KDC, told the Dallas Business Journal.“Right now, they are located in several facilities and this will help them in creating a corporate culture.”  FedEx Office and KDC executives officially broke ground on the 21-acre corporate campus site, formerly owned by Plano-based retailer J.C. Penney Co.   FedEx Office’s corporate campus and Toyota’s corporate campus will have a lot in common. The two headquarters will feature a tie into the $2 billion Legacy West project, which will be an extension of the Shops at Legacy and the development to the east side of the Dallas North Tollway.  “The idea is to incorporate the corporate campuses into a cohesive development with retail and multi-family components,” Grove told me. “This will all be tied together in a walkable community. … It will be developed to the highest of standards.”

      –      Dallas Business Journal, July 21, 2014