This is another stellar example of how well an asset can perform when correctly managed, even in a competitive market! We are excited about the future of Sabine Lofts and the work our partner, Midway, is doing. – Parker Smith COO
Located immediately west of Downtown at the intersection of Sabine Street and Memorial Drive in Houston, Sabine Lofts is ideally located within a short walking distance to Buffalo Bayou Park with access to Houston’s award-winning Buffalo Bayou Hike and Bike Trail as well as Johnny Steele Dog Park, Lost Lake, the Water Works, and more. It is also less than a mile from Downtown Houston with over 400 restaurants, coffee shops, bars, and major employment hubs.
The principal aim of Sabine Lofts has been to provide workforce and affordable housing options while ensuring quality and modernity design. This objective aligns with the evolving needs of urban city dwellers, with a prime focus on affordability and convenience.
Occupancy and Leasing
By the second quarter of 2023, Sabine Lofts had reached a 95% leasing rate, with an occupancy rate of 87%. This indicates a strong demand and positive reception in the market.
Renovation Initiatives
Keeping up with contemporary requirements, both common areas and individual units are teed up for renovations. A General Contractor has been selected for these projects and the renovation schedule is being finalized.
Roofing Project
The property has undergone significant roofing upgrades. This project was completed efficiently, with costs ending $100,000 below the allocated budget.
Neighborhood Insights
The proximity to Buffalo Bayou is a distinct feature of Sabine Lofts, making it the sole multi-family dwelling with direct access to the park. Furthermore, the local area is economically robust, with a strong average household income in the surrounding areas of the property.
Engagement and Marketing
To ensure seamless communication with potential tenants and its reputation in the community, Sabine Lofts is actively strengthening its engagement strategies. The management team is focusing on building connections with local businesses and refining its digital presence. The website has been revamped for improved clarity, especially concerning the property’s affordable housing options.
Programs and Compliance
Sabine Lofts’ collaboration with the MPact Program underscores its commitment to affordable housing. Supported by the Houston Housing Finance Corporation, this venture targets various income brackets to make urban living accessible to a broader demographic. Alongside this, a systematic compliance tracker is in place to aid the leasing team with regulatory adherence.
Leasing
A rental increase of 3.3% was observed after the HUD released the 2023 income limits. Sabine Lofts saw an active quarter with 458 new leads and 38 fresh applications.
Management Updates
Management assumed control of the asset in November 2022. An affordable housing initiative backed by the HHFC, was launched with the MPact Program.
Strategic Initiatives
Marketing
- Focused strategy on local business engagement and enhancing online presence through Google Ads, social media, and other digital channels.
- Affordablehousing.com has emerged as a leading traffic generator, leading to a reduction in subscriptions to other platforms.
- Enhancements have been made to the website for better user experience, particularly concerning affordable housing information.
Renovations
- Common areas are slated for upgrades, with designs already submitted to the City of Houston.
- A comprehensive renovation plan is in place for individual units, with the list of units to be addressed first in the finalization phase.
Compliance
- All new leases and renewals are being validated for resident income.
- A monitoring system has been developed to assist the leasing team in ensuring regulatory compliance is met by February 2024.
Conclusion
Sabine Lofts, with its strategic location and commitment to quality and affordability, serves as a valuable asset in Houston’s residential landscape. The ongoing initiatives, both in infrastructure and community engagement, indicate a forward-looking approach to urban residential management.
- Leasing: 95%
- Occupancy: 87%
- New Leads: 458
- Tours Conducted: 140
- New Applications: 38
- AMI MPact Unit Applications: 17
- New Lease Average Rate: $1.94/SF
Sabine Lofts aims to demonstrate a full embodiment of modern urban living in Houston.
