Houston's housing market is claiming the spotlight with a dozen master-planned communities (MPCs) topping national sales lists, according to a new report by RCLCO. The consulting firm's 2023 roundup placed 12 Houston-area MPCs among the 50 best-sellers nationwide, accounting for nearly 8,300 home sales last year. Aimed at addressing the demand for affordably priced homes, builders in the region have sweetened the deal with incentives such as mortgage rate buydowns and closing cost contributions.
Cameron Pawelek, a principal at RCLCO, highlighted the strength of the new housing market in Houston, "fueled by robust economic growth and favorable demographic tailwinds." Despite challenges in the existing home sales market, which has been hamstrung by low inventory levels, new homebuilders have been able to capitalize on opportunities, releasing housing inventory for the first time in years, the Houston Chronicle reported. Developers aren't resting on their laurels, however, as they continue to pour investments into community amenities and infrastructure to attract more buyers.
One standout community is the Sunterra development in Katy, which jumped to the third spot nationally with a year-over-year increase in sales by a considerable 63%, selling a total of 1,293 homes in 2023. The Bridgeland community in Cypress also made headlines after experiencing a surge of 74% in sales from the previous year. Click2Houston notes the substantial growth, reflecting a strong appeal for master-planned living in the region.
In the business sector, energy firm New Dawn Energy has set its sights on a larger office in the Energy Corridor, purchasing a 103,332-square-foot building and planning to move its headquarters after February, Ehsan Bayat, executive vice president of New Dawn, told the Houston Chronicle. The company intends to occupy about 30,000 square feet of the space and lease out the remaining 20,000. They also plan to add a movie theater and renovate common areas, in hopes of creating an environment where staff can enjoy their work and take breaks from the daily grind.
On the commercial front, Novel Office from Dallas acquired a 1980s-era office tower near Greenway Plaza with intentions to pump $4 million into renovations this year. The tower, which was 70.8% occupied at the time of purchase, will see Transwestern handle leasing. Abhishek Kumar of Novel Office expressed confidence in the local market and the specific industry needs that drive demand for office space in the area, despite some market challenges, as reported by the Houston Chronicle.
