Is Real Estate in Dallas / Fort Worth’s Multifamily Sector a Good Investment?

The Investment Appeal of Dallas/Fort Worth Real Estate

Dallas-Fort Worth (DFW) has emerged as a prime metropolitan area for real estate investment, particularly within the multifamily sector. Fueled by a growing job market and significant demographic expansion, the region attracts investors seeking above-average returns on investment .

With its economic vibrancy, multifamily real estate is at the top of the list for many investors. For the 2nd year, the 2024 CBRE Investor Intentions Survey reported that Multifamily Real Estate is the #1 Preferred Investment Sector, with Dallas topping the list for investment performance.**

The DFW market is characterized by stability and growth, positive economic outlook, prioritized infrastructure development, and employment diversification.

Individuals looking to capitalize on these market trends without the responsibilities of being landlords should consider embarking on the multifamily real estate journey with a trusted partner or Sponsor.

The Ashland Greene team keeps a finger on the pulse of DFW while closely monitoring economic trends. Soley focused on the DFW market, Ashland Greene specializes in identifying, acquiring, renovating, and managing properties poised for growth. I

Assessing the Stability of Multifamily Market in Dallas-Fort Worth

Job growth in the 12 counties making up Dallas-Fort Worth is above the national average and rising, which positions the growing DFW market as an attractive location for multifamily real estate investors looking to enhance and diversify their investment portfolios. “Dallas-Fort Worth has been a stronghold in job creation throughout the last five years. The metro area has added nearly 600,000 jobs since November 2018,” reported the Dallas Morning News in January 2024.**

“While it took the U.S. economy roughly 26 months to get back the jobs lost from the pandemic, it took Texas 18 months, and Dallas-Fort Worth just 15 months,” said Ray Perryman, an economic analyst.

Drivers of Multifamily Housing Rental Demand

Various factors, including economic outlook, infrastructure growth, and tax benefits, shape the demand for multifamily real estate in Dallas-Fort Worth.

ECONOMIC OUTLOOK 

In June 2023, Fortune announced the 69th Fortune 500™ ranking, its annual list of the largest U.S. corporations, ranked by 2022 fiscal year revenue. The revenue threshold for making the Fortune 500 list was $7.2 billion this year, up 13% from a year ago.”**

Dallas-Fort Worth ranks at #3 with 24 Fortune 500 companies. New York City is number one, and Houston, Texas is number two. With 55 companies on the list, Texas has been in the top spot for most Fortune 500 companies for two consecutive years.

Home to Fortune 500 companies from eight business sectors, the Dallas-Fort Worth metroplex reflects a diverse and growing economy, with professional and business services having the largest employment gain in the professional, scientific, and technical services sectors, adding the most jobs.**

“The growth here has been happening across multiple industries and hasn’t been driven by one specific factor,” said Southern Methodist University Economics professor Michael Davis in an interview with Dallas-Fort Worth NBC affiliate Channel 5.

Davis also felt it was no surprise that DFW and the state of Texas “kept pace and outperformed the rest of the U.S. economy.” He believes this is due to the area’s advantages, including favorable regulatory conditions for land development.

“If you want to build a building, if you want to build an apartment complex, or a housing project to accommodate people moving here, we can do that in Texas more easily than in many, many other places in the country,” said Davis.

The influx of people moving to Dallas Ft. Worth, economic job growth, the cost of new home ownership and high interest rates are among some of the multiple factors resulting in people choosing to rent versus buy in this current market.

INFRASTRUCTURE GROWTH 

Well-developed transportation and utilities enhance the appeal of a location, making it more attractive for investment in real estate.

Infrastructure projects are booming in Dallas-Fort Worth, with market trends forecasting continued growth.

According to the Texas Demographic Center, Texas is one of the fastest-growing states in the U.S., with Dallas-Fort Worth leading the charge.**

Chart and table of population level and growth rate for the

Dallas-Fort Worth metro area from 1950 to 2024. (Macrotrends)

https://www.macrotrends.net/cities/22966/dallas-fort-worth/population

• The metro area population of Dallas-Fort Worth in 2024 is 6,655,000, a 1.23% increase from 2023.
• The metro area population of Dallas-Fort Worth in 2023 was 6,574,000, a 1.33% increase from 2022.
• The metro area population of Dallas-Fort Worth in 2022 was 6,488,000, a 1.42% increase from 2021.
• The metro area population of Dallas-Fort Worth in 2021 was 6,397,000, a 1.52% increase from 2020.

One of the newer infrastructure projects taking place is improvements at the Dallas-Fort Worth Airport. Already the size of Manhattan, DFW Airport is preparing for growth. In the fall of 2023, DFW Airport Chief Executive Officer Sean Donohue announced $9 billion in improvements over the next six years.**

In August of 2023, the State of Texas announced it had designated $142 billion for transportation infrastructure, with more than $11.5 billion slated for DFW roadways.**

These projects exemplify the priority placed on infrastructure growth in Dallas-Fort Worth.

TAX BENEFITS 

U.S. regions offering tax incentives can experience a boost in real estate demand, presenting attractive opportunities for investors. With a commitment to maintaining its “business friendly” status, the Lone Star State stands out.

Texas provides companies of all sizes and industries with one of the most favorable business environments in the nation, boasting a fair, transparent tax and regulatory framework crafted for business success.

In 2023, for the 19th consecutive year, CEO Magazine named Texas Best State for Business. **

With no corporate or personal income tax, businesses operating in Texas benefit from one of the lowest overall tax loads nationwide. Furthermore, Texas offers lower operational costs for businesses compared to other states in the U.S.

Forging Success in Dallas-Fort Worth’s Multifamily Investment Market

A calculated, strategic approach is key for investors targeting the Dallas-Fort Worth multifamily real estate market.

The Ashland Greene team specializes in acquiring value-add apartment communities in Dallas Ft. Worth. Their knowledge and experience can make all the difference in achieving targeted results in a multifamily real estate investment. The team adeptly provides the expertise to adapt to market dynamics, reduce risk, manage assets, and make informed decisions that align with the investment strategy.

Ashland Greene takes a conservative approach to investments, aiming to deliver passive income, tax benefits, and above-average returns to our investors.

Investors interested in DFW multifamily real estate can secure a foothold in this impressive market by partnering with Ashland Greene.

Leveraging Expertise through Real Estate Investment Partnerships

Multifamily real estate in Dallas-Fort Worth is teeming with investment prospects, but for many investors, the complexities of the multifamily market can make it hard to navigate.

Partnering with Ashland Greene can also reduce the costly mistakes of trial and error, allowing an investor to focus on creating a portfolio designed for passive income as a foundation for generational wealth.

Instead of buying a property directly and being responsible for the ownership requirements, the Ashland Greene investor can earn passive income by investing in multifamily real estate through a private placement.

“We invest alongside you in every deal. We manage every phase of the business strategy firsthand,” says Shakti C’Ganti, Founder and CEO. “As a fully-integrated multifamily investment firm, we control every aspect of our properties, from capital investment to property management and construction.”

Interested in learning more about investing with Ashland Greene? Contact them at: investors@ashlandgreene.com .

𝘛𝘩𝘦 𝘪𝘯𝘧𝘰𝘳𝘮𝘢𝘵𝘪𝘰𝘯 𝘱𝘳𝘰𝘷𝘪𝘥𝘦𝘥 𝘩𝘦𝘳𝘦𝘪𝘯 𝘪𝘴 𝘧𝘰𝘳 𝘪𝘯𝘧𝘰𝘳𝘮𝘢𝘵𝘪𝘰𝘯𝘢𝘭 𝘱𝘶𝘳𝘱𝘰𝘴𝘦𝘴 𝘰𝘯𝘭𝘺 𝘢𝘯𝘥 𝘥𝘰𝘦𝘴 𝘯𝘰𝘵 𝘤𝘰𝘯𝘴𝘵𝘪𝘵𝘶𝘵𝘦 𝘢𝘯 𝘰𝘧𝘧𝘦𝘳 𝘵𝘰 𝘴𝘦𝘭𝘭 𝘰𝘳 𝘵𝘩𝘦 𝘴𝘰𝘭𝘪𝘤𝘪𝘵𝘢𝘵𝘪𝘰𝘯 𝘰𝘧 𝘢𝘯 𝘰𝘧𝘧𝘦𝘳 𝘵𝘰 𝘣𝘶𝘺 𝘴𝘦𝘤𝘶𝘳𝘪𝘵𝘪𝘦𝘴. 𝘛𝘩𝘪𝘴 𝘪𝘯𝘧𝘰𝘳𝘮𝘢𝘵𝘪𝘰𝘯 𝘥𝘰𝘦𝘴 𝘯𝘰𝘵 𝘤𝘰𝘯𝘴𝘵𝘪𝘵𝘶𝘵𝘦 𝘪𝘯𝘷𝘦𝘴𝘵𝘮𝘦𝘯𝘵, 𝘵𝘢𝘹, 𝘰𝘳 𝘭𝘦𝘨𝘢𝘭 𝘢𝘥𝘷𝘪𝘤𝘦, 𝘢𝘯𝘥 𝘱𝘰𝘵𝘦𝘯𝘵𝘪𝘢𝘭 𝘪𝘯𝘷𝘦𝘴𝘵𝘰𝘳𝘴 𝘢𝘳𝘦 𝘦𝘯𝘤𝘰𝘶𝘳𝘢𝘨𝘦𝘥 𝘵𝘰 𝘤𝘰𝘯𝘴𝘶𝘭𝘵 𝘸𝘪𝘵𝘩 𝘵𝘩𝘦𝘪𝘳 𝘢𝘥𝘷𝘪𝘴𝘦𝘳𝘴.