HOUSTON, TEXAS. – December 20, 2019 – A fund sponsored by CBRE Global Investors has acquired a 674-unit apartment complex in Downtown Houston. The property, known as Skyhouse Downtown, spans 528,338 square feet across two 24-story residential towers. The complex also includes two structured parking garages. The acquisition is part of the fund’s broader strategy to acquire a property within a target U.S. multifamily market that CBRE Global Investors has identified in its “Winning Cities” program, which identifies metro areas that are expected to achieve long-term, resilient real estate performance.
Skyhouse Downtown, located at 1625 and 1725 Main Street, is situated just off Texas State Highway 49 and Interstate 69. The property is walkable to several restaurants, shops and entertainment venues and is less than a 20-minute drive to Houston’s Hobby Airport and a 30-minute drive from George Bush Intercontinental Airport.
Skyhouse Downtown was completed in 2016 and, in addition to high-end residential units and resident amenities, includes 10,173 square feet of ground-floor retail space that was 88 percent leased at the time of close. Apartments feature luxury finishes, floor-to-ceiling windows and private balconies with skyline views. The extensive resident amenity collection includes an indoor/outdoor rooftop amenity suite with a pool, a fitness center, grilling stations, a firepit, a lounge area and a catering kitchen, and two tennis courts, which sit atop the dual parking garages. CBRE Global Investors plans to implement its Above & Beyond resident amenity program at the property, which is expected to increase customer service to help satisfy the resident base.
“The broader Houston apartment market is recovering from a cyclical decline spurred by outsized supply that delivered against the backdrop of an economic slowdown in the energy sector and disruption from hurricane Harvey,” said Michael Gallagher, Senior Director of Multifamily Acquisitions for CBRE Global Investors. “With the third highest job growth in the country and top 10 population growth projected through 2024, the Houston apartment market is expected to grow at a time when national growth is decelerating. Additionally, Downtown Houston has a diversified employment base and is in the midst of an urban renewal driven by the City’s Downtown Living Initiative.”
About CBRE Global Investors
CBRE Global Investors is a global real asset investment management firm with $106.2 billion in assets under management* as of September 30, 2019. The firm sponsors investment programs across the risk/return spectrum for investors worldwide.
CBRE Global Investors is an independently operated affiliate of CBRE Group, Inc. (NYSE:CBRE). It harnesses the research, investment sourcing and other resources of the world’s largest commercial real estate services and investment firm (based on 2018 revenue) for the benefit of its investors. CBRE Group, Inc. has more than 90,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 480 offices (excluding affiliates) worldwide. For more information about CBRE Global Investors, please visit www.cbreglobalinvestors.com.
*Assets under management (AUM) refers to the fair market value of real asset-related investments with respect to which CBRE Global Investors provides, on a global basis, oversight, investment management services and other advice and which generally consist of investments in real assets; equity in funds and joint ventures; securities portfolios; operating companies and real asset-related loans. This AUM is intended principally to reflect the extent of CBRE Global Investors’ presence in the global real asset market, and its calculation of AUM may differ from the calculations of other asset managers.