North Houston Commercial Real Estate Market Report

Get facts, stats, and case studies about the shifts happening within District boundaries with the North Houston Commercial Real Estate Market Report.

Stay ahead with the North Houston District’s Commercial Real Estate Market Reports, expertly crafted by Robert Fiederlein, our Vice President of Planning and Infrastructure and resident real estate expert. These reports offer hyperlocal insights, providing a comprehensive view of market shifts within our boundaries. Get an insider’s perspective on industrial, office, retail, and multifamily trends specific to our area. Whether you’re an investor, developer, or business owner, our reports deliver key data on vacancy rates, market rents, and new developments—all tailored to the unique conditions of the North Houston District. We conduct these reports to empower stakeholders with the knowledge they need to make informed decisions in one of Houston’s fastest-evolving commercial hubs.

Why We Do These Reports: Our goal is to spotlight the unique dynamics shaping North Houston’s real estate market. By offering a hyperlocal view, we provide actionable insights that national or citywide reports might overlook. From logistics and industrial growth to resilient office spaces, we track it all, so you can stay ahead in an ever-changing landscape. 

A construction site featuring two partially built multifamily buildings on either side of a central dirt pathway. Workers, equipment, and a yellow cement truck are visible, with orange safety netting and scaffolding in place. A blue sky with light clouds is above.

Q4 2024 North Houston Commercial Real Estate Market Report

Multifamily Starts Drop Dramatically – A Precursor to Future Rent Growth
Multifamily Starts Falling Chart - A bar graph tracks quarterly multifamily starts from 2019 Q1 to 2024 Q3. Starts peaked in 2021 and 2022 before declining sharply, with levels in 2024 among the lowest in the timeline.

Classic Supply and Demand

The main point is the classic principle of economics – supply and demand and its impact on prices.  As we all know the principle is that as supply tightens and demand either stays strong or grows, prices rise.  The first half is well underway both nationally and locally in the multifamily market and the latter, in the form of rent growth, is perhaps just around the corner.

Multifamily Markets Starts Chart - A grouped bar chart compares multifamily starts in various U.S. markets between Q1 2022 and Q3 2024. Markets like Houston, Austin, and New York show significant reductions in starts over this period.

Multifamily Starts Slowing

Nationally multifamily starts are at their lowest in over five years and have declined for 6 straight quarters going back to Q1 of 2023. Nowhere has this been more dramatic than in Houston.

A line graph shows annual rent growth trends from 2014 to 2027. Three scenarios—base case, moderate upside, and moderate downside—project a rent growth rebound starting in 2025 after a dip in 2024. A dashed line represents the 10-year rent growth average.

Annual rent growth Bottomed Out

Nationally multifamily starts are at their lowest in over five years and have declined for 6 straight quarters going back to Q1 of 2023. Nowhere has this been more dramatic than in Houston.

Industrial/flex

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Office Class A

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Office Class B/C

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Retail

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Multi-Family

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Recent Reports

Federal Reserve The Marriner S. Eccles building built in 1937.

Q3 2024 North Houston Commercial Real Estate Market Report

What the Fed's Recent Cut Means for the North Houston Commercial Real Estate Market?
Aerial drone view of a large logistics and distribution center located near a major freeway. The image shows several expansive warehouses with trucks parked at loading docks. The freeway, busy with traffic, runs alongside the facility, with clear blue skies and bright sunlight highlighting the buildings and surrounding roads. Green spaces and other industrial facilities are visible in the background, indicating a well-developed commercial

Q2 2024 North Houston Commercial Real Estate Market Report

Rate Cuts and Real Estate: What the Fed's Move Means for North Houston’s Commercial Market
Q1 2024 Summary

Q1 2024 Summary

Multi-family overview: On whole, a bullish outlook

Questions? Connect with us.

Robert Fiederlein

Vice President Planning and Infrastructure
Direct: 281-874-2132

Mobile: 713-816-5413
rfiederlein@northhouston.org