Cypress Ridge Apartments is in close proximity to major employers such as the Medical Center.
HOUSTON—The previous owners of Cypress Ridge Apartments located at 2331 Bammelwood Dr. made a number of capital improvements to the exterior of the complex, indicating to investors that the property was one for possible consideration. Indeed, with a decrease of 0.9% in the median asking price per unit for multifamily properties compared to the prior three months, value-add properties are finding new ownership. According to LoopNet, this is an overall increase of a staggering 58.4% compared to last year's prices. And, the current median price is $75,763 per unit for multifamily properties in the metro, GlobeSt.com learns.
The new owner, The PPA Group, has plans to delve into unit interiors for upgrading. All of the apartments will get new appliances, paint, flooring, lighting, fixtures, hardware, and cabinet and counter resurfacing.
“We like the diversity of the economy in Houston and think it is a great time to invest there,” says CIO John A. Latham. “It's an underappreciated market. Lots of national investors are shying away from Houston because of the downturn in the oil industry, which creates a great opportunity for us. We have great, supportive equity partners who have allocated significant funds to us and we are going to continue to look at Houston to build a great portfolio.”
This location is close to major employers such as Houston Northwest Medical Center, HD Supply Facilities Maintenance, Red Bull, Cambria, Cisco, Alfa Laval and Grocers Supply Co. ExxonMobil's new world headquarters is less than 10 miles from Cypress Ridge. The complex is also in close proximity to a wide selection of shops, schools, restaurants, commuter-friendly freeways and entertainment destinations. Current features of the units include hardwood floors, wood-burning fireplaces, walk-in closets and private balconies.
“We want to create a community where not only residents can get to work quickly, but they can have quick access to quality healthcare,” Jessica Lee-Wen, PPA marketing director, tells GlobeSt.com, “and the location of Cypress Ridge Apartments has close proximity to major employers like the Medical Center.”
In researching resident interests during the renovation process, the inclusion of a soccer field was indicated as a priority. In response, the complex is soon to include a soccer field that will be located on the southwest side of the property near Bammel Village Drive. The PPA Group also plans to add play structures and a fitness center. Cypress Ridge is the first major purchase for The PPA Group in Houston and there is interest to acquire more properties within the metro.
Steady gains in the US economy have resulted in net positives for the multifamily sector—will this wave continue for the foreseeable future? What's driving development and capital flows? Join us at RealShare Apartments on October 19 & 20 for impactful information from the leaders in the National multifamily space. Learn more.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Lisa Brown
Lisa Brown is an editor for the south and west regions of GlobeSt.com. She has 25-plus years of real estate experience, with a regional PR role at Grubb & Ellis and a national communications position at MMI. Brown also spent 10 years as executive director at NAIOP San Francisco Bay Area chapter, where she led the organization to achieving its first national award honors and recognition on Capitol Hill. She has written extensively on commercial real estate topics and edited numerous pieces on the subject.
