District 28

2828 Old Spanish Trail ​ | ​ Houston, TX 77054

The Opportunity

Class A, Core Plus Multifamily Investment Opportunity in Central Houston

District 28 is positioned in the best job growth corridor in Houston’s urban core. More than 42,000 high-wage jobs in emerging life sciences, biotech, and healthcare related fields are projected to be created by the $3 billion in new development underway in the Texas Medical Center. With limited new housing planned, demand will outpace supply and create an opportunity for outsized returns. ​ District 28 is available below replacement cost. ​

2015

Year Built

4.24

Total Acreage

299

Total Units

777

Avg Unit SF

$1,390

Avg Rent/Unit

$1.78

Avg Rent/SF

Investment Highlights

Leasing Momentum

District 28 is 95% leased. New leases are being signed with no concessions and are averaging 8.7% higher rents on trade outs.

Central Location To New Development

District 28 is situated between TMC3 (5 million square feet planned) and Levit Green (4 million square feet planned) with prime frontage along Old Spanish Trail.

Below Market Rents

District 28 is operating at an 18% discount to the average Class A rent in the submarket with 28 mid-rise properties exhibiting higher rent levels.

Limited New Supply

District 28’s submarket has the smallest new construction pipeline inside Houston’s inner loop with one community in lease-up and two communities under construction.

Innovation Corridor Address

District 28 is located on the south end of Houston’s Innovation Corridor next to the Texas Medical Center (TMC), the eighth largest business district in the United States with 50 million total square feet, 106,000 employees, and 60,000 students.

Pending Housing Deficit

The lack of new multifamily and single-family construction relative to the incoming new job supply will create a substantial demand/supply imbalance.

Startup Incubators Proximity

District 28 is also positioned between TMCX and The ION in Midtown, both of which are actively supporting operations for newly funded life sciences and renewable energy firms.

Barriers-to-Entry

Available land is limited in the densely populated local area with most remaining land sites owned by TMC.

Meaningful New Job Growth

Large-scale capital investments by TMC, Hines, and Texas A&M University are underway with phase one deliveries scheduled for this year and next year.

Leading Submarket Performance

District 28's submarket has the highest occupancy in Houston's urban core per Apartment Data Services and highest projected rent growth for 2022 (8.2%) per Axiometrics.

Photo Gallery

amenities

Community

  • Social clubroom with demonstration kitchen
  • Executive business lounge with conference table
  • Hospitality lounge with latte and tea bar
  • 24/7 athletic center with cardio theater
  • Dedicated spin room
  • Dog park
  • Resort-style pool with cabanas
  • Outdoor summer kitchen with grilling area
  • Relaxation courtyard
  • Air conditioned corridors and direct access garage parking

Apartment Home

  • 10’ ceilings
  • Two wood-style flooring options
  • Granite or quartz countertop options
  • Oval stone or linear glass backsplash options
  • Stainless steel appliance packages
  • Built-in beverage coolers available
  • Custom solar shades on windows
  • Full-size washers and dryers provided
  • Framed bathroom mirrors
  • Walk-in showers available

Contact Us

berkadia

houston office

2229 San Felipe
Ste #1600
Houston, TX 77019
Phone +1 (713) 974-1300

Berkadia.com

INVESTMENT SALES and mortgage banking

TODD MARIX
Senior Managing Director
+1 (713) 826-5979
todd.marix@berkadia.com

CHRIS CURRY
Senior Managing Director
+1 (713) 553-0151
chris.curry@berkadia.com

JEFFREY SKIPWORTH
Managing Director
+1 (214) 533-3322
jeffrey.skipworth@berkadia.com

CHRIS YOUNG
Managing Director
+1 (972) 743-5742
chris.young@berkadia.com

JOEY RIPPEL
Managing Director
+1 (601) 919-5155
joey.rippel@berkadia.com

kyle whitney
Director
+1 (713) 724-1456
kyle.whitney@berkadia.com

MICHAEL CASE
Financial Analyst
+1 ​ (346) 444-8960
michael.case@berkadia.com

tucker s. knight
Senior Managing Director
Mortgage Banking
+1 (713) 469-4515
tucker.knight@berkadia.com

2828 Old Spanish Trail ​ | ​ Houston, TX 77054

Berkadia®, a joint venture of Berkshire Hathaway and Jefferies Financial Group, is an industry leading commercial real estate company providing comprehensive capital solutions and investment sales advisory and research services for multifamily and commercial properties. Berkadia® is amongst the largest, highest rated and most respected primary, master and special servicers in the industry. This advertisement is not intended to solicit commercial mortgage loan brokerage business in Nevada. ​

© 2022 Berkadia Real Estate Advisors LLC and Berkadia Real Estate Advisors Inc. Berkadia® and Berkadia Commercial Mortgage® are trademarks of Berkadia Commercial Mortgage LLC. Investment sales and real estate brokerage businesses are conducted exclusively by Berkadia Real Estate Advisors LLC and Berkadia Real Estate Advisors Inc. Commercial mortgage loan origination and servicing businesses are conducted exclusively by Berkadia Commercial Mortgage LLC and Berkadia Commercial Mortgage Inc. Tax credit syndication business is conducted exclusively by the Tax Credit Syndication group. For state licensing details for the above entities, visit: www.berkadia.com/legal/licensing.