One of the main factors that made the Dallas-Fort Worth area an economic powerhouse was low housing prices.
But is the region losing its advantage? Sriram Villupuram, associate professor of finance and real estate at the University of Texas at Arlington College of Business, asked the audience at a symposium hosted by the school on March 20.
“Metroplex attractions include affordable real estate and a highly educated workforce provided by several public and private universities,” Villepuram said at the “DFW Real Estate – The Next Decade” event. mentioned in.
Villupram noted that home prices have more than doubled in 10 years, from a median listing price of $170,000 in 2012 to about $425,000 in 2022.
With residential real estate no longer the most affordable in the country, Villepuram said if Dallas-Fort Worth begins to lose its residential value proposition, how will the region grow in business and job growth over the next decade? I asked him if he would like to attract more people. Many believe Austin has already lost its edge, he says.
More homebuyers moved to Austin than moved there in the third quarter of 2023, according to a report from real estate brokerage Redfin. This is the first time since the company began tracking the data.
“We have to increase the supply of housing,” says Villupuram. “In the next 10 years, the population[of Dallas-Fort Worth]will be 9 million people. The question is, where are they going to live?”
San Francisco was once in a similar situation to today's Dallas-Fort Worth area, creating many jobs.
“But they didn't build a proportionate amount of housing,” he says. “The next thing you know, the price was exorbitant.”
According to the National Association of Realtors, the Dallas-Fort Worth market ranks second as the market with the highest pent-up demand for housing.
Inventories have been steadily increasing over the past few months, to 2.5 months in Fort Worth and 2.4 months in Tarrant County. At the same time, the Greater Fort Worth Realtors Association is seeing a decline in the length of stays for homes in the Fort Worth market, meaning demand remains high.
“With more options becoming available for the spring market, homebuyers want to be prepared to make an offer if a home catches their eye,” said Blake Barry, the association's 2024 president. Probably.''
Mike Rosa, executive vice president of economic development for the Dallas Regional Chamber, said it's not just home prices that affect growth.
“If you look at the edges of our region, think Decatur and Bridgeport, we're growing in every direction,” he said. “We may have housing, but when we grow to that extent, how do we provide the infrastructure, the roads, the hospitals? That puts a lot of stress on the infrastructure.”
CosMc's has landed in Fort Worth
CosMc's, a new McDonald's concept, is coming to Fort Worth. (Photo provided by McDonald's)
CosMc's, fast food giant McDonald's small beverage-driven concept, officially landed in Texas with the opening of its Dallas location on March 19th. CosMc's is a beverage-focused store that targets competitors such as Starbucks, Dutch Bros, and his Fort Worth-based HTeaO.
Nine of the stores are planned to open in Texas, including one under construction at 5341 McPherson Ave. in southwest Fort Worth. A McDonald's spokesperson said an opening date for the restaurant has not been determined.
The restaurant's menu includes teas, lemonades, coffees, slushes, frappes, and fruit drinks. There are also foods such as spicy queso sandwiches, pretzel bites, and several items from McDonald's breakfast menu.
real estate transactions
CIM Group announced the sale of its recently completed 139,502 square foot cold storage warehouse at 6900 AWG Way in south Fort Worth. The warehouse is located on approximately 14.42 acres and was purchased by CIM in 2020 as part of its acquisition of the adjacent 1.1 million square foot Junction 20/35 distribution center. CIM will continue to own and operate the distribution center.
Rise48 Equity, a leading multifamily investment group, has acquired Copperfield Apartments, located at 6051 S. Hulen St. in Fort Worth. The 323-unit complex marks his 49th acquisition for the company since 2019 and his ninth in the Dallas-Fort Worth market.
Rise48 Equity plans to invest more than $9 million in the revitalization of Copperfield Apartments, which will be rebranded as Rise Spring Pointe. Property renovations include interior and exterior upgrades.
JLL Capital Markets has completed the sale of Lake Worth Marketplace, a 197,553 square foot retail power center based at Kohl's located at 6034 Azure Avenue in Lake Worth.
JLL represented the seller in the transaction. Dallas-based Vista Property Company acquired the property.
Have something for a Bob on Business column? Email Bob Francis at bob.francis@fortworthreport.org. Bob Francis is the Fort Worth Report's business editor. Please contact bob.francis@fortworthreport.org. At The Fort Worth Report, news decisions are made independent of board members and financial supporters.Read more about our editorial independence policy here.