Overview
THE OPPORTUNITY Transwestern’s Houston Multifamily Investment Sales Team is pleased to present the exclusive auction offering of a well-positioned multifamily asset. Strategically located in a supply-constrained submarket, the property benefits from a lack of new unit deliveries or proposals over the next eight months, setting the stage for near-term rent growth.
Auction Link: REO Sale: Normandy Apartments | Beaumont-Port Arthur MSA - Marketplace
This rare auction opportunity allows investors to acquire below replacement cost in a tightening rental environment, with strong fundamentals supporting upward pressure on rents. The asset’s pricing and market timing present a compelling value proposition for both yield-focused and value-add investors seeking to capitalize on favorable macro and microeconomic trends.
This offering represents a REO opportunity, providing investors with a unique chance to acquire a lender-controlled asset through a streamlined transaction process. The nature of this sale positions buyers to move quickly and unlock value in a recovering market.
Investment Highlights
INVESTMENT STRENGTHS
- Significant Value-Add Opportunity: Strategic repositioning potential with upside well below market and replacement cost. Limited new units are expected in the submarket for the foreseeable future, creating near-term rent pressure and a favorable environment for rental growth.
- Strong Submarket Fundamentals: Located in a high-performing submarket with 91.8% occupancy and projected rent growth of 3.3%. Average household income within one mile exceeds $74,000, supporting tenant stability and rent uplift. Over the past twelve months, rents in the Port Arthur submarket have grown 7.7%, while vacancy has compressed to 5.5%.
- Replacement Cost Advantage: Significantly below replacement cost, offering downside protection and long-term appreciation potential as construction costs rise.
- Access to Major Employers: Located near key industrial and energy sector employers including Motiva Enterprises, Valero Refining Group, ExxonMobil, Echo Maintenance, and Gulf Copper—supporting strong workforce housing demand and long-term rental stability.
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