In June 2013, Greg Williams, national leader of KPMG LLP’s real estate division, predicted North Texas would be a major target for real estate investors due to the projected growth in the area. Almost a year later, that prediction seems to have been prophetic. According to Marcus & Millichap’s 2014 Annual Report, the multifamily market has shown a 40 percent increase in transaction velocity. The Q4 2013 report compiled by CBRE showed a 92% occupancy rate for existing multifamily units in the DFW Metroplex. With the projected job market growth in the area, which already posts a 5.5% unemployment rate (meaning new employees will relocate to the area), the multifamily housing market is ripe for investors.

The newest multifamily projects aren’t just apartments and condos. The latest trend is to incorporate retail and service space into the buildings to capitalize on tenants’ needs as well as to draw non-tenant customers. Trinity Groves, which has been a hotbed of development in the recent past, has announced a multifamily/retail project in West Dallas. This project joins several other multifamily housing developments in West Dallas. The rents at Trinity Groves, Cliff View, Alta West Commerce, and other properties are expected to be lower than nearby Downtown units, while still offering all the amenities of a Downtown property.

Lennar Multifamily Investors LLC has also announced projects in the Metroplex; they are planning to invest $1 billion in the Las Colinas, Lakewood, and Park Central districts. At the end of March, almost 27,000 units were still under construction in the Metroplex. So, if you are looking to invest a couple million in commercial real estate and hotels don’t appeal to you, multifamily housing is a very viable alternative!