In one of its largest-ever land deals for residential development, global real estate firm Hines has announced plans to build more than 7,000 homes in the fast-growing Houston suburbs.
The nearly 3,000-acre site between Katy and Fulshear, Texas is at the corner of Westpark Tollway and the Texas Heritage Parkway about 35 miles west of downtown Houston.
Hines said it partnered with multiple builders, including Toll Brothers, Lennar and Beazer Homes to acquire the land from an undisclosed seller. Land development is expected to begin early this year, with builders set to begin home construction in 2027, according to Hines.
The Hines project is the largest of nearly a dozen announced in recent weeks across the Lone Star State by developers looking to add rooftops to accommodate demand.
The Houston metropolitan area is the second-fastest-growing region in the country, adding nearly 140,000 residents between 2022 and 2023, according to the latest figures from the U.S. Census Bureau. The Dallas metropolitan area is first with more than 152,000 new residents.
Before the pandemic, people were moving from California to Texas in search of lower taxes and a better cost of living, according to Brad Hunter, founder of the Hunter Housing Economics consulting firm in West Palm Beach, Florida.
"During and since the pandemic, that trend has gone into overdrive," Hunter said in an interview.
More demand coming
Hunter said it's too soon to know whether the recent Los Angeles-area wildfires will also prompt a major exodus of residents who leave California for Texas.
"But going forward, there will be continued demand out of California, as well as all over the country," he said.
Meanwhile, with a population of more than 42,000, Fulshear, is the second-fastest-growing city in the U.S. among municipalities with at least 20,000 residents, Census figures show.
“This is a once-in-a-lifetime piece of land, and we worked tirelessly with our builder partners to ensure we had the opportunity to build what is one of the best sites in Texas,” said Rob Witte, a senior managing director for Hines, in a statement.
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The developer said there will be a variety of lot sizes, with hiking and bike trails incorporated throughout the master-planned development. Other amenities include a 5-acre recreation center, a large playground and a clubhouse.
In addition, Hines said it will be responsible for the completion of the Texas Heritage Parkway from its current terminus at Westpark Tollway to the Southern boundary at Winner-Foster Road.
The Houston-based company said it has 65 years of development experience across Texas, including about two decades of developing single-family projects.
Since 2005, the firm has completed 26 developments and has 13 under construction. Its Houston projects include Brookewater, Creekhaven, Raburn Reserve, Grayson Woods, Somerset Green and Laurel Glen. Hines recently started construction at Wildrye.