Remington Apartments


Remington Apartments was an acquisition of a stabilized 146-unit apartment home community in Freeport, TX, a suburb just 40-miles south of Houston, TX in the heart of a thriving and rapidly growing economy.

The key elements of this acquisition are stable apartment operations of sound construction, in a very high growth location where the demand for rental units exceeds the supply, with upside potential by increasing property value.

This acquisition is perfectly timed as the property was recently upgraded and stabilized by the previous owner yet the asset was acquired at an under-market price. The property value has significantly increased by way of rent increases due to the economic explosion in this area.

The economy in Brazoria county has benefited from the presence of large employers in chemical and liquid natural gas. Dow Chemical has begun construction of a massive propylene production facility – a $4 billion capital investment. They have also announced an expansion to add another liquefaction plant, Train 4. As a result, the property value is also expected to increase with the local market rent growth of 4% or higher, projecting a cash flow growth that will result in an increase in net equity.

In a nutshell:

  • The Brazoria county, Freeport, Texas submarket south of Houston is expected to be the next top performing cities in Texas where economic growth is exploding due to oil industry and chemical industry boom.
  • High Economic growth is demanding higher need for rental properties in a fully absorbed rental market.
  • This presents an excellent value-add opportunity to enhance equity gains and cash flow.