May 4, 2016
In January of this year, Camden Property Trust issued a declining outlook for Houston’s multifamily market, mostly due to the continued low price of oil. More than three months into 2016, the REIT’s chairman and CEO noted the metro “feels a little worse.” Ric Campo, who made his remarks during a recent earnings call, said that job estimates have been fewer than expected.
Additionally, Houston-area multifamily developers continue to deliver units, even as energy companies are continuing to slash their workforces. CBRE Group Inc. predicts that 25,000 new apartment units will be delivered this year, representing approximately 4% of the entire Houston market.
If there is any good news, it’s that construction lending for the region is close to stopping, Campo said.