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Neighborhoods With the Most Apartment Construction

A look at Houston neighborhoods with the most apartment construction

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Recent data from apartment consulting firm MPF Research shows four parts of Houston that look to be the most vulnerable to a slowdown.

Those neighborhoods are Downtown/West Inner Loop, Greenway Plaza/Upper Kirby, The Woodlands and Katy. They have a high percentage of construction under way while already having added thousands of units in recent years, the data shows.

A slowdown, which would translate to lower rents — especially in high-end complexes, has already started in some of those areas that saw flat or declining rents last year.  Other neighborhoods expecting substantial new supply are Memorial, Spring/Tomball and Rosenberg/Richmond.

As Houston’s energy-driven economy faces a much slower year, Carrollton-based MPF recently released a mulifamily report that called Houston the “wild card for 2015.”

More than 33,500 apartments are under construction here and 23,420 of them are expected to be available this year, nearly double last year’s openings.

The following chart from MPF shows multifamily market statistics by neighborhood:

        Near-Term
  Existing 2010-2014 Ongoing Inventory
  Units Completions Construction Growth Rate
Houston, TX 612,506 40,968 33,586 5.5%
Downtown/West Inner Loop 28,597 5,346 7,072 24.7%
East Inner Loop 8,851 423 786 8.9%
Medical Center/University 34,988 3,146 2,345 6.7%
Greenway Plaza/Upper Kirby 15,574 3,625 2,928 18.8%
Galleria/Uptown 23,481 2,396 1,756 7.5%
Westchase 27,377 1,152 1,275 4.7%
Memorial 9,291 956 3,861 41.6%
Spring Branch/Bear Creek 33,496 1,218 932 2.8%
Northwest Houston 27,621 615 0 0.0%
North Central Houston 25,169 172 0 0.0%
Northeast Houston 13,469 568 168 1.2%
Pasadena/Southeast Houston 31,297 880 252 0.8%
Hobby Airport 17,782 682 78 0.4%
Gulfton/Westbury 32,294 224 0 0.0%
Sharpstown/Fondren Southwest 35,618 293 0 0.0%
Alief 16,981 274 0 0.0%
Far West Houston 28,245 1,314 1,570 5.6%
Katy 13,051 3,630 1,747 13.4%
Cypress/Waller 5,500 838 294 5.3%
Champions West 18,733 1,529 0 0.0%
Champions East 28,092 582 0 0.0%
Spring/Tomball 8,540 1,102 2,156 25.2%
The Woodlands 12,457 1,652 1,836 14.7%
Conroe/Montgomery County 9,543 1,302 828 8.7%
Humble/Kingwood 14,222 1,658 438 3.1%
Baytown 9,236 788 320 3.5%
Clear Lake 25,698 1,073 116 0.5%
Galveston/Texas City 16,596 263 282 1.7%
Friendswood/Pearland/Alvin 16,036 2,247 350 2.2%
Brazosport 8,039 96 0 0.0%
Sugar Land/Stafford 10,855 372 1,010 9.3%
Rosenberg/Richmond 5,777 552 1,186 20.5%