Austin Texas Real Estate Blog

For more than a year West 17^th Street at Lavaca Street has been closed. There’s been construction, which residents have accepted and adapted to. After all, there is nearly always construction in some part of Austin. You can’t avoid it; you can only accept it, even when it does inconvenience several thousand state employees.

Besides, this construction, when it started, was expected to lead to luxury condos and an office building, to be called La Vista on Lavaca. The permit was taken out for it in April 2007. At that time, Jason Redfern, manager of the Right of Way Management Division in Austin’s Watershed Protection and Development Review Department, said, the developers planned to keep the street closed for six months. When six months came and went, they renewed the permit for another six.

April 2008 should have seen another renewal or the completion of the project. It saw neither, and in fact, didn’t even see construction. No one has been there for months and the permits are expired. The city is now probing into the whys and whats of the situation, hoping for a clear answer in this mysterious halt.

The developers claim that their permits are up to date, and that the city is mistaken. But their claims do nothing for the fact that the street is still closed for no apparent reason.

If nothing is going to be done, citizens want it open; so does the city. There should not be, they say, inconvenience for no reason. There should only be inconvenience with the promise of future convenience. And that has disappeared from West 17^th and Lavaca.

Mexicans Are Buying Back Texas, One Piece at a Time

The rise of the peso against the United States dollar has some Mexican developers looking north to invest in Texan property. The Mexican economy is growing steadily, and faster than the US economy, at about 2.6 percent a year and the peso has gained 3.2 percent on the US dollar since January of 2008. In comparison, the US economy is expected to see a 1.4 percent growth in 2008.

Mexicans are seizing an opportunity to purchase foreclosed properties in the southern Texas areas close to the US-Mexican border such as Mission. Mexicans with money to invest are seeing the housing and real estate slump as a perfect time to diversify their holdings. Investors are finding bargain prices in the current sluggish climate. All that’s needed are the funds and a valid entry visa into the US.

Even though Texas hasn’t taken as bad a hit as other regions, home sales in the first quarter of 2008 have dropped 12 percent and foreclosures rose 20 percent from the same quarter a year ago. Investors from Monterrey, Mexico, are eying the southern Texas area as an excellent investment opportunity, and most are purchasing property with plans to develop it in two or three years when the real estate market is expected to begin to turn around for the better. Some, on a more personal level, are looking for retirement homes or for housing for their children studying at Texas colleges and universities.

Regardless of the reason, southern Texas needs an infusion of cash to boost its flagging economy and investors from Monterrey are glad to help out. Thus a new Tex-Mex connection is being forged.

The saturation of rental units on the Austin market is good news for tenants who can expect cuts in rent and possibly pick up some amenities as landlords vie for their attention. Yet, the demand remains high for upscale urban apartments as people look for residential units closer to their place of employ.

According to the apartment research firm, M/PF YieldStar, occupancy for June 2008 stood at 93.4 percent, down 1.5 percent from March and nearly 2 percent from the same time in 2007. This should raise some concerns with landlords, as the same firm predicts a flattening of occupancy for the rest of 2008, and foresees a drop of possibly 3 percent in 2009.

Construction of nearly 13,000 units is planned for the Austin area through 2009. Greg Willett, vice president of research for M/PF, says the real need is for about half that amount, based on demand which he feels has become sluggish.

This pessimistic opinion is not shared by developers in the Austin market, however. Spencer Stuart, managing director of Legacy Partners Residential Development Inc., says rental activity is strong in both downtown and close by suburban areas. Rising gas prices and the desire to be close to the action is fueling the demand for higher priced units closer in to the city.

Still, the rise in rental rates does appear to be slowing down and tenants will indeed find bargain lease rates. Rents rose less than 4 percent from 2007 to 2008, with average monthly rent standing at $839. Yet, this means the market becomes more competitive, and that means good deals for prospective tenants.

One of the most frightening of the natural phenomena, the tornado is capable of devastating wind speeds of more than 300 miles per hour and can appear with terrifying suddenness. Most tornadoes contain winds speeds of between 65 and 100 miles per hour. Still, no other weather event can cause quite the destruction and death of a strong tornado and one would be well advised to take tornado watches and warnings very seriously.

Should you hear report of a tornado watch or warning, stay close to a news source for more information. A watch means weather conditions are right for a tornado forming. A warning means that an actual funnel cloud has been sighted by either an eyewitness or weather radar equipment. If you hear a warning, you should be prepared to take cover.

Contrary to popular myths, the underside of a highway overpass is not the best place to take cover from an approaching tornado. The overpass serves as a wind tunnel, effectively increasing the wind speed thereby raising the chance for serious injury or death to anyone who tries to shelter under one.

The safest place from an approaching tornado at home is the corner of a basement, under a strong table or staircase; or a windowless room, such as a bathroom or closet. If caught out in the open, your best chances of survival is in a ditch or culvert, face down, with hands clasped over the back of your neck. If you’re in a vehicle, don’t try to outrun the storm. Leave the vehicle and hit the ditch!

Design Workshop Inc. has taken up permanent residence in a 2,500 square foot space at 801 Congress Avenue a couple of months ago. Seven employees from Denver moved into the space in May 2008, hoping to grow their numbers to over 20 in the next three to five years.

Design Workshop is, according to their home page, ‘an award winning, international landscape architecture, land planning, urban design, and tourism planning firm.’ Combining concerns of environment, economics, art, and community, Design Workshop offers urban planning and affordable housing strategies, feasibility and environmental impact studies, project facilitation between the public, the corporate sector, and the community, as well as a host of other diverse land planning and design services.

Rebecca Leonard, a graduate of Ball State University College of Architecture and Planning, will lead the office. Her focus will be on developing projects for the firm, not only in the state of Texas, but will serve clients nation wide and in the Caribbean as well.

Texas projects by Design Workshop have thus far included master planning and design for the second phase of the Domain project in North Austin, initial planning for Hardy Yards in Houston and Bellaire Sustainable Development in Hurst.

The Domain development is a mixed-used community in Northwest Austin, combining commercial and residential uses in one area. The second phase of the Domain project will cover 27 acres south of the original Domain and plans include a three storey Dillard’s, an 80,000 square foot Dick’s, and an eight screen cinema complex, as well as a 340 room Westin hotel. Construction begins this summer, 2008, with plans for opening in November of 2009.

The Canadian-based company, Qualico Development, has bought up 1,600 acres in Del Valle, south east of the Austin city limits, for a planned community development in this area near the Austin-Bergstrom International Airport.

It’s not yet known how many units Qualico plans on building, but there is a golf course planned, as well as commercial space. The general manager of Qualico Communities, Glynn Hendry, estimates that the company spent about $19 million on the land. The types of houses will cover a wide range – from those priced for the first time home buyer to those qualified for the higher end prices.

For 60 years, Qualico had concentrated its interests in the western region of Canada – being based in Winnipeg - but they now see an opportunity to expand into the United States. Austin was chosen as a growing city with a great deal of potential for housing and commerce. Austin has weathered the national real estate meltdown fairly well and this Canadian company is convinced it’s got all the makings of a boom market.

The property itself is situated in a prime location. Its proximity to Austin makes it an excellent bedroom community for professionals who work downtown. As gas prices increase, commuters are eying neighborhoods closer to work. The development in Del Valle will raise the real estate value of the area, where homes typically range from $100,000 to $200,000.

Qualico Development isn’t the only Canadian company eyeing the real estate market in the US, either. Carma Developers LP, based in Calgary, announced in 2007 a plan to invest $500 million in a 2,500 acre area near the airport as well. The development is expected to create a community of 30,000 residents and 1 million square feet of commercial space.

What do the United States Investors need as a more clear indicator to continue their business expansion? With Austin as a focal market for impressive growth and expansion, foriegn investors will continue to grow and expand into the United States.

Americans are spending more time outdoors, cooking, socializing, or spending quiet time enjoying the sunshine on the patio or deck. Door systems manufacturers are responding with innovative and stylish products. This article has some tips about choosing the types of door system that will add value and style to your outdoor escape.

In homes requiring conservation of space, sliding or gliding doors are preferred. Where space is not a consideration, French are the ever-popular option. The wider the opening, the better the view and the easier the access to the great outdoors. Jeld-Wen makes door systems that can open whole walls to the outside – up to 48 feet. They also make a two-door system that meets at a 90-degree angle and folds back in an according style, opening up essentially two walls to the outside.

The old-fashioned Dutch door, while not your typical patio door, is an ideal way to open the house to fresh air, yet keep animals and toddlers in check. Dutch doors come in two parts: the upper half operates independently of the bottom half.

The type of glass installed in your patio doors can be important for such concerns as heat transfer, energy efficiency, and sun damage to sensitive carpeting and furniture. Low-e glass keeps damaging sun rays away from furnishings and also helps to prevent heat loss in the winter and heat gain in the summer. Tempered glass with a decorative style allows desired light in while maintaining privacy.  Jeld-Wen manufactures patio doors with their optional ImpactGard glass, which protects against natural and man-made damage.

Adding to the value of these stylish door systems, the vinyl, fiberglass, aluminum materials that go into the manufacture of these doors are lightweight yet durable and are low maintenance.

No, I don’t mean the popular rock band of the 60s, but those doors that are the portals to the rooms and spaces in your home. Whether they are the means of entry to the various rooms with the house or the entrance to the home itself, the type and style of door you choose can make a dramatic impact. The right exterior door will add to curb appeal and a unique and interesting interior door can hook a potential buyer. This site lists a number of stylish, aesthetically pleasing products available that can add class and value to just about any home.

Exterior doors come in all shapes, sizes and styles. Some follow traditional styles, such as sliding patio doors, Therma-Tru main entry doors, and the ever popular French door. But, in addition, the Jeld-Wen window and door manufacturing company offers a dramatic set of folding patio doors that, when closed, form a 90 degree corner and, when opened, slide along an overhead track and fold away, opening the room to the outdoors. Double weatherstripping keeps the elements out.

Garage doors, while necessarily utilitarian, shouldn’t be left out of the equation when curb appeal is considered. Clopay offers its Avante Collection of green friendly lightweight but durable garage doors in clear and bronze tint. The doors have the option of double-wall polycarbonate windows.

The Woodfold company has created a unique collection of folding and according style wood doors for the interior that both enhance and conserve space. Their folding bookcase door is as handsome as it is useful – hiding closet or private space from view, as well has providing space for actual books, knick-knacks and such. The bookcase doors come in oak, cherry or maple finishes.

With the cost of energy spiraling out of control and people becoming more aware of an increasingly toxic and depleted environment, homebuyers are looking at the market with an eye toward houses that meet their criteria of addressing these concerns. And the real estate market is responding to this changing market by emphasizing the advantages of their green-built houses and finding buyers, even in today’s soft market. Green building is coming into the mainstream and those seeking new houses are buying it.

As consumers become more informed about climate change, the possibility of peak oil, rising costs of most forms of energy, the increase in asthma and allergies among children, they’re more open to solutions to these ailments. And green builders answer the call with more expensive but environmentally friendly buildings and houses. Consumers are more than willing to pay the initial extra cost if it means they recoup their costs in energy saving and “feel good factor” in the long run.

Today’s homebuyer wants to lessen their impact on the environment and they’re finding a partner in an increasing number of contractors, architects, and engineers. And, with national organizations like the National Association of Home Builders getting behind such green building programs, it becoming easier to brand these programs, get them into the public eye, and thereby create a familiar household name.

The challenge remains for sales agents, however. As a potential homebuyer asks questions and probes deeper into the technology behind a green built home, it’s easy for a sales person to find themselves out of their league. More and better training is, of course, the simple answer and builders are eagerly spending the time and cost to educate their sales force as it’s proving to reap benefits for both seller and buyer.

Read more here.