Conroe's growth spurs multifamily housing boom From the cover
The context
Montgomery
1097
6 7
LAKE CONROE
Willis
18
10
45
75
Since mid-2022, six multifamily complexes have opened in the area: The Strake at Grand Central, Alta Sergeant, Prose In The Pines, The Flats at Hooper Hill and Argo Pointe Apartments in Conroe; and The Vic at Woodforest off Central Pine Street in Montgomery. In addition, there are around 10 multifamily projects under construction in Conroe, Montgomery and Willis with three more proposed, according to MRI ApartmentData and Community Impact reporting. Two developments slated for Montgomery include 98 multifamily units proposed as part of a larger mixed-use project at Lone Star Parkway and FM 149 by Superior Properties, according to previous reporting, and Grand Monarch Apartments, which are under construction as of an October 2023 development map from the city. Two new construction projects were also registered in Willis with the Texas Department of Licensing and Regulation on Nov. 20—Cannan Place Apartments and Camp Creek Apartments. “Conroe has become a hot commodity for investors compared to its previous status,” Harper said. “Ownership groups specializing in apartment complexes and townhomes carefully analyze demographics and track industry trends.” Regionally, as of an October report by economic development organization the Greater Houston Partnership, there are 23,638 units across 91 properties under construction in the Greater Houston area, with 19,730 units expected to be completed within the next year. Ariana Brewer, the resident manager at Argo Pointe Apartments, a complex with 60 units that opened in September off Argo Road, said Conroe was chosen as it’s an emerging city. “This location perfectly fits the area’s growth and vibe,” Brewer said. “It’s well-positioned, part of a small boutique community and quiet at [FM] 1314.”
830
14
2432
5
13
16
12
1484
11
105
149
9
2854
8
3
4
Conroe
KEENAN CUT OFF RD.
1
KEY:
2
FISH CREEK THOROUGHFARE
Now open Coming soon Proposed
336
17
3083
15
N
APARTMENT
UNITS
STARTING RENT OPENING
1314
149
1. Alta Sergeant
354
$1,215 $1,400
November 2023 September 2023
WEST FORK SAN JACINTO RIVER
2. Argo Pointe Apartments
60
3. The Aria 336 4. Ariza Westview 5. Beckett West Fork
179 240 408
Unknown Unknown Unknown Unknown Unknown Unknown 1488
Construction to finish in June 2025
September 2024 November 2024
242
6. Camp Creek Apartments 7. Cannan Place Apartments MAP NOT TO SCALE N TM; © 2023 COMMUNITY IMPACT CO. ALL RIGHTS RESERVED. 8. Edge At Montgomery Park
78 78
April 2024 April 2024
109 158
December 2024 November 2023
9. Flats At Hooper Hill
$1,165
10. Grand Monarch Apartments 11. Plantation Drive site 12. Prose In The Pines 13. Reserve At City Place II 14. Stewart Creek Road site 15. The Strake at Grand Central
72
Unknown Unknown
TBD TBD
395 264 276 270
$1,360 $1,558
June 2023 March 2024
Unknown
TBD
317
$1,375 $1,150 $1,209
July 2022
16. The Terrace at Pine Lake Cove 241
February 2024
17. Vic At Woodforest
334
May 2023
18. Superior Properties project
98
Unknown
2025
SOURCES: MULTIFAMILY DEVELOPERS, MRI APARTMENTDATA/COMMUNITY IMPACT
The breakdown
MRI ApartmentData. As occupancies remain above 85%, rents in Conroe, Montgomery and Willis remain high. “When occupancies drop below 90%, that’s when it becomes a renter’s market. Rents tend to be more favorable for renters at that point,” said Bruce McClenny, industry principal with MRI ApartmentData. “Operators can’t easily raise rents because the supply exceeds demand.”
According to MRI ApartmentData, Conroe, Montgomery and Willis total multifamily occu- pancy rates have fluctuated, dropping from 89.6% in October 2022 to 85.4% in October 2023. This is lower than the multifamily occupancy rate for the Greater Houston area of 89.2% as of September—a decrease from 90.8% in September 2022, according to MRI ApartmentData. In Conroe, Montgomery and Willis, around 1,600 units were added since 2021, according to
Multifamily occupancy in Conroe, Montgomery and Willis
89.6%
89.3%
86.4%
85.4%
Oct. 2022 Feb. 2023 June 2023
Oct. 2023
SOURCE: MRI APARTMENTDATA/COMMUNITY IMPACT
20
COMMUNITYIMPACT.COM
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