HOUSTON—Damage from Harvey to 200,000 homes across the region as well as infrastructure and commercial properties will create significant short-term hurdles, but Houston is uniquely positioned for recovery, according to a recent report from Marcus & Millichap. Apartment demand is likely to surge and the significant multifamily construction of recent years will be quickly absorbed. The recovery process will bolster the Houston employment market, creating a short-term surge in hiring and economic growth, GlobeSt.com learns.

This year is expected to end on a high note for hotels. Some of the damage has a silver lining in terms of displaced residents seeking shelter in Texas hotels. These hotels will support short-term housing needs, with occupancies rising significantly as displaced households fill rooms.

Nearly all the major state metros, with the exception of San Antonio, registered a decrease in occupancy, average daily rate and RevPAR during the last 12 months. The San Antonio metro posted healthy improvements among hotel demand drivers as rising room nights and limited completions fueled an increase in occupancy. As hotels filled rooms, ADR and RevPAR registered steady growth year over year. By year-end, Texas will register gains in occupancy and revenue metrics as rebuilding efforts continue in the Houston metro.