Market Update: West Campus Apartments and Condos

Everyone in the UT Austin community can recall the insane market disruptions that occurred last pre-leasing season: 35% price drops on West Campus apartments in June and July, huge commissions at complexes like Jefferson 26 and The Block, students getting great deals at the last minute as a result of poor planning by the complexes, etc.  Well this year many students who waited patiently for the same thing to happen are sorely disappointed, prices are mostly holding, and many of the major West Campus complexes are far closer to full occupancy than anyone would have anticipated based on last year’s market.  What gives?

To consider one prominent example, The Block was struggling to lease their new buildings last year, and with tons of vacant units left in late summer were forced to rapidly cut costs and raise incentives to book new residents.  This year they are over 75% leased in their Phase II properties - enough to preclude  any such drastic measures.  Or for a more dramatic example, look no further than The Venue: whereas they’ve struggled since their completion to book their availabilities, they’re now 100% leased for August 2009 and they did so relatively quietly without any major changes in pricing, commission, or advertising.  Other properties such as The Triangle and The Gables have also seen a surge in occupancy and are now fully (or almost fully) booked for August as well, largely on the strength of UT student residents.  But perhaps the biggest comeback story belongs to Jefferson 26 - last year they found themselves at about 45% occupancy in the early summer, and were forced to offer HUGE commissions, a free car, around $200,000 in cash incentives, MASSIVE price drops, and more just to get over 80% for August.  This year?  They’ve quietly passed 85%, and are completely out of 1 and 2 bedroom floor plans (want a 4/2 or 4/4?  Give us a call!)

Now this isn’t to say that there aren’t apartment complexes struggling to make things work: look no further than West Campus’ current biggest disappointment, 21 Rio (which we’re covered recently).  They’re less than 40% leased for August, and have already dropped prices considerably from their original sky-high (no pun intended) levels.  And coupled with the recent accident, things aren’t looking so hot for this high-profile new complex.

The lesson in all of this?  If you’ve waiting (and are still waiting) for a big price drop, you’re unlikely to see it happen! The best plan now is to make that appointment with your agent and see what’s out there, find something that meets your needs, and LOCK IT DOWN!

For more information about UT Austin Real Estate or any other Austin Real Estate, please check us out online. We’re your information source for UT Austin real estate, West Campus property, North Campus property, and property management. To get connected with an agent immediately, call 512.472.9378 or email info@westcampusliving dot com.

Looking for a luxurious and spacious apartment close to UT Austin for the fall?  Check out the last few available at the Texan Pearl.  Interested in leasing here?  Call 512.472.9378 today!

1. 

   kevin July 19th

   

   many of my friends leased at the block this summer for $650/room with parking, and I’ve seen condos for lease for much less then just 2 months ago

   
   
2. 

   westcampusliving July 20th

   

   Kevin -
   With respect to the Block, there were indeed some deals offer earlier in the Summer, on their 4BR plans in particular, when they were under a lot more pressure to get their numbers up. What I was trying to illustrate in the post is that what we’re not seeing is the huge drops across the board (most especially on 2BRs, where prices have held much more strongly this year than last) like we saw last Summer. And as far as condos, because that’s up to the individual owners, some owners have been more aggressive about leasing their units in a down economy than others, as is and will always continue to be the case in West Campus. If you’re looking for more information about availability in West Campus or want to learn more about what’s out there, give us a ring at 512.472.9378 or feel free to search our Website at http://www.westcampusliving.com/search/search.php
   Thanks!
   Gus

   
   

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