This article was originally published by CoStar News and written by Parimal M. Rhoit
A Memphis, Tennessee-based multifamily investment and property management company has its eyes on Texas, hoping to capitalize on the Lone Star State’s growth. Fogelman Properties, which has one of its six regional offices in Houston, believes the state’s influx of people and capital during the past decade will continue in the years ahead, even with a recession looming on the horizon.
The company is putting its money where its proverbial mouth is with Fogelman Properties buying a 201-unit apartment complex called The Moorings in the greater Houston area earlier this year. The waterfront property is in League City, Texas, which is about 30 miles southeast of downtown Houston. Fogelman Properties tried to purchase The Moorings the last time it came on the market a few years ago and fell in love with the area that includes the South Shore Harbor planned development and marina, Mark Fogelman, president of Fogelman Properties, told CoStar News. “The location is truly one of a kind,” Fogelman said.
Fogelman Properties has about a dozen properties in Texas that help make up its portfolio of about 100 multifamily assets in the Southeast and Sun Belt regions. The company plans to purchase several more assets in major Texas cities over the next 12 to 24 months, Fogelman said. “As a fully vertically integrated company, we plan to continue targeting acquisitions in the Sun Belt and major Texas metros in the coming years,” Fogelman said. “Despite the recent volatility in the market, we continue to be big believers in the housing sector.”
Fogelman Properties and its investment partners, which include New York-based DRA Advisors, plan to acquire more than $300 million in multifamily assets this year. “To date, our investments have primarily been in Tennessee, Georgia, South Carolina and Texas,” Fogelman said. “We plan to continue targeting these areas at a similar velocity in 2023.
