Camden Highland Village: Multifamily At 3939 West Alabama St.

[TheNiche]

Quote

Willowick Place at River Oaks, a real estate investment and development partnership from Houston, has purchased the 171-unit townhouse apartments at 3237 Las Palmas. The apartments on a 10.3-acre site near Richmond and Weslayan will be cleared to make way for an exclusive gated community with about 75 to 80 home sites. Rich McEvoy and Ken Johnson, both of Lee & Associates in Irvine, Calif., represented the buyer. The seller, Willowick Inc., is an entity owned by an undisclosed international investor. Home sites are expected to be available for construction early next year and will be priced from $900,000 to $1.5 million. Buyers would be responsible for building their homes on the sites in accordance with the project's architectural guidelines. The guidelines and sample home patterns will be based on examples from Houston's most prestigious neighborhoods. Homes will range from 4,000 square feet to 7,500 square feet.

Source: Houston Chronicle

[TJones]

80 homes on 10 acres ??? Geez Louise.........Hi Neighbor !!! You'll be able to read your neighbor's newspaper in the morning, just look over his shoulder at the breakfast table. They must have more land already purchased adjacent to this piece in order to accomodate the space needed for such a project.

[TheNiche]

80 homes on 10 acres ??? Geez Louise.........Hi Neighbor !!! You'll be able to read your neighbor's newspaper in the morning, just look over his shoulder at the breakfast table. They must have more land already purchased adjacent to this piece in order to accomodate the space needed for such a project.

Eight units per acre is a pretty high lot yield for single-family, but not a deal-killer. Buyers like these don't need or want much in the way of yards. Provide them with enough space for a patio, BBQ grill, and jacuzzi, and they'll be quite happy with shallow lots.

Although it doesn't sound like it'll work out this way, I kind of wish that the developer would exploit a niche of wealthy households that value contemporary architectural styles to the exclusion of all others. I think that they'd have a one-of-a-kind product in a one-of-a-kind location and do ridiculously well.

Edited January 21, 2008 by TheNiche

[TJones]

Well, they are saying homesites. Even if they are Townhomes, 8 per is huge, and you still need a management office, clubhouse, workout center, pool area ? I just don't see it, unless they have more real estate in the immediate area.

[TheNiche]

you still need a management office, clubhouse, workout center, pool area

Absolutely not! Common area amenities are for people who can't afford such things within their own homes. Management offices are for rental communities.

[flipper]

I'm sure they will do well. People priced out of New Construction in Afton Oaks and River Oaks will fit the bill.

flipper

[TheNiche]

I'm sure they will do well. People priced out of New Construction in Afton Oaks and River Oaks will fit the bill.

flipper

Home sites are expected to be available for construction early next year and will be priced from $900,000 to $1.5 million. Buyers would be responsible for building their homes...

^These people aren't priced out. These are people wanting to exclude themselves from that riff raff.

[ricco67]

These people aren't priced out. These are people wanting to exclude themselves from that riff raff.

I'm not entirely certain as to the avg. cost at Afton Oaks, but perhaps if they can't find what (they) would call a reasonable price for a home to demo/build then this would be a viable option.

[RedScare]

10.3 acres divided by 80 lots is 5,608 square feet. That's a standard 50x112 lot. Subtract out 22 feet for the street and sidewalk, and you got a standard Bellaire lot. You can get a lot of house on one of those. Like Niche said, these are for people that don't want a lot of yard to mess with.

[flipper]

I'm going to be surprised if they really mean that that is the lot price. If that's the lot price, than they are all going to be 3-5 Million dollar homes. I'm not thinking that is going to be the case.

flipper

[KinkaidAlum]

Agree with Flipper. Something isn't adding up.

Richmond near Wesleyan is definitely outside of the area that could command those type of lot prices. That's a lot of money for less than 6,000 square foot lots.

[TheNiche]

10.3 acres divided by 80 lots is 5,608 square feet. That's a standard 50x112 lot. Subtract out 22 feet for the street and sidewalk, and you got a standard Bellaire lot. You can get a lot of house on one of those. Like Niche said, these are for people that don't want a lot of yard to mess with.

They'll have to take a little more out from the lot size to account for perimeter landscaping and fencing, as well as for where streets provide cross-access and for cul de sacs. Possibly some space for stormwater retention. Realistically, these'll probably be slightly smaller than a Bellaire lot.

I agree with Kinkaid that the prices seem difficult to obtain. Having said that, it'll be interesting to see how far the developers go to embellish the entrances and lots, and also how creative they get with deed restrictions. In some ways, they have an advantage over River Oaks, West U, Bellaire, or Tanglewood. Those places aren't gated and the deed restrictions are unsatisfactory to some.

Edited January 22, 2008 by TheNiche

[missmsry]

No, as long a someone will pay the price, Richmond at Weslayan is definitely within that price frame.

Edited January 22, 2008 by missmsry

[Houston19514]

I agree those numbers are unlikely for that size lot in that location. I'm thinking the "$900,000-1.5 million" was their projected sale price for completed homes. Hard to believe a journalist could write so sloppily, isn't it? ;-)

[RedScare]

I hope no one confused my math lesson with a belief that these lots will sell for up to $500 psf. No way I believe that will happen. I'm decidedly in the "total home price" of $900k to $1.5M camp.

[bpe3]

Right around the corner on Drexel Drive in Lynn Park, Lovett Homes is building a new 5,037 SF luxury home on a 8,890 SF lot. This is a top quality house with an asking price of $1,250,000. There is no way they'll get $900k to $1.5 million for empty lots in this location just because they are behind a gate. Sloppy reporting.

HAR listing: link

bpe3

[bpe3]

On a separate note, the "de-densification" described by the OP only describes the number of households. The improvements constructed on the site will be considerably larger, denser and taller than the existing improvements. Fewer people living in more expensive homes. Little by little, those with limited incomes are being pushed out of the inner loop to make room for those with more resources.

I'm a staunch supporter of Houston's "out with the old, in with the new" mentality, but this one hits a little close to home. I used to have a girlfriend that lived here. I spent a lot of time at this complex. The units were very large. The prices were quite affordable. There was no big gate limiting access. There was a nice "street like" driveway so guests could drive right up to your front door. Resident parking at the rear of every unit. This place was quite unique for a rental complex. The existing residents will have a hard time finding anything similar.

This place has been owned for a very long time by a Saudi investor who lived overseas. I always thought his deep pockets would afford him the opportunity to ignore high dollar offers from would be developers. Business is business though. You can't go broke making a profit. More power to him.

It hurts to see places like this disappear, but if that's the cost of Houston's ongoing inner loop renaissance, so be it.

bpe3

[bpe3]

Seprately, here is yet another development trying to steal some cache from River Oaks when they clearly ARE NOT located in River Oaks.

What kind of name is "Willowick at River Oaks"???? If you lived here you'd never be able to tell people, "I have a house at Willowick at River Oaks". Half the people would think you lived on Willowick street, some of which runs through River Oaks. They'd get lost driving up and down Willowick looking for your house or an an intersection with Las Palmas. The other half might initially think you live in River Oaks, but would later conclude you were a Dallas-esque poser when they find out you actually live in Weslayan Plaza.

There's nothing wrong with saying you live in Weslayan Plaza, ESPECIALLY if you actually live in Weslayan Plaza. If you're not happy with Welsayan Plaza, tell people you live in Highland Village, or Afton Oaks. You'd be much closer to the truth.

bpe3

[sevfiv]

I agree about the naming. Sounds like they used a screen name generator or have no idea about the city or both.

Looks like the guy(s) behind McCord Development is responsible for Willowick Place At River Oaks, LLC and Willowick Place Associates, LLC

Anyone know anything about McCord?

edit - here's their site:

http://www.mccorddev.com/

[TheNiche]

Seprately, here is yet another development trying to steal some cache from River Oaks when they clearly ARE NOT located in River Oaks.

What kind of name is "Willowick at River Oaks"???? If you lived here you'd never be able to tell people, "I have a house at Willowick at River Oaks". Half the people would think you lived on Willowick street, some of which runs through River Oaks. They'd get lost driving up and down Willowick looking for your house or an an intersection with Las Palmas. The other half might initially think you live in River Oaks, but would later conclude you were a Dallas-esque poser when they find out you actually live in Weslayan Plaza.

There's nothing wrong with saying you live in Weslayan Plaza, ESPECIALLY if you actually live in Weslayan Plaza. If you're not happy with Welsayan Plaza, tell people you live in Highland Village, or Afton Oaks. You'd be much closer to the truth.

bpe3

Seems kind of like there has been a movement to collectively refer to just about everything from Shepherd to the West Loop as "River Oaks". You know, its just like how "Monstrose" or the "Museum District" seem to creep into other neighborhoods. And no amount of whining is going to stop it.

[bpe3]

And no amount of whining is going to stop it.

It makes me feel better.

Anyone know anything about McCord?

Fred McCord lives on Chevy Chase in River Oaks.

He should know the boundaries of his own nieghborhood.

bpe3

Edited January 22, 2008 by bpe3

[editor]

The Chronicle has an update on the project today.

Looks like it's getting even less dense-- now down to 65 homes.

[editor]

Now added to the master list of projects going up in and around Houston.

[lockmat]

website

http://www.willowickplace.com/

[kjb434]

McCord is one of our land development clients. If it makes any of you feel better, he has an abandoned sanitary sewer in his backyard that is causing it to become a smelly swamp!

[lockmat]

So I'm guessing that they sold their url to some town home development that's been existence for a good while...

http://www.willowickplace.com/

Is this development still on?

[houston-development]

So I'm guessing that they sold their url to some town home development that's been existence for a good while...

http://www.willowickplace.com/

Is this development still on?

link

McCord Development has called off plans to redevelop the Willowick Court Townhomes - an apartment complex near West Alabama and Weslayan - into a gated residential community of multimillion-dollar homes.

"Due to the economic upheaval, this plan is not presently feasible," the company said in a letter to residents.

As outlined in the letter, McCord now wants to turn the 171-unit rental units into condos and sell them for between $235,000 and $295,000.

if they attempt to move forward on a conversion at those prices, in my honest opinion, it will be an inevitable failure. problem is, they significantly overpaid for the land. i underwrote the deal at $80k/unit and it barely made economic sense. i believe, but could be mistaken, they are in around $150k/unit.

hypothetically speaking, if the previous owners put in $10k to $15k / unit, could have sold out the complex for $130k to $180k and made a great return. a couple of years ago, top end may have gone over $200k but now, not so much.

so long story short: current owners overpaid, property is worth less than the debt (seriously doubt current cash flow comes close to covering nut), and their pricing structure is completely out of whack.

i smell a potential distressed opportunity within the next year or two...

[lockmat]

per Bisnow, is this the same project? http://www.bisnow.co...qCampaignId=933

Darin laid out two current projects with high-end amenities (a major selling point) and on-structure pools. It’s handling Martin Fein’sWillowick project (pictured), which has two buildings and some townhomes on 12 acres. Darin calls it a high-end project, with numerous courtyards and water features. It's in construction documentation and will break ground in a couple of months.

Edited June 18, 2012 by lockmat

[bluecar(a.f.f.)]

Willowick Court will be a redevelopment of 5 parcels between W Alabama and W Main Street along Las Palmas.

The rendering of the 3rd level amenity deck above is for the 8-story concrete building on the parcel scheduled to break ground in a couple months from now. It's spec'd as a luxury apartment complex with high-end finishes and a generous amenity package.

[LarryDierker]

http://blog.chron.co...ear-river-oaks/

Aria at Willowick Park — 325 units in a seven-story building with two levels of parking. One-, two- and three-bedroom apartments will average 862 square feet.

Olympia at Willowick Park — 189 units in an eight-story building with two levels of parking. One-, two- and three-bedroom units will average 1,463 square feet.

The Townhomes at Willowick Park — 38 townhome units with stucco, brick and cast stone exteriors. Three-bedroom units will range from 2,100 square feet to 2,600 square feet and will have attached two-car garages.

Rents will range from $1,100 to more than $5,000.

Rents will range from thats a little more than i can afford to dam! thats way more than i can afford.

Edited November 17, 2012 by LarryDierker