【Texas】
Texas is a vast state located in the southern United States, and it is the second largest state in area after Alaska.
It has major cities like Houston, San Antonio, Dallas, and Austin, where diverse cultures and economies coexist.
The state has a long-standing and robust oil industry, and it has played a crucial role in America’s energy supply.
In recent years, with no corporate or personal income tax and the promotion of deregulation, many companies from across the country have relocated their headquarters there.
The state capital, Austin, in particular, is home to a large concentration of IT companies, so much so that it’s known as “Silicon Hills,” and its technology sector is experiencing remarkable growth.
Texas has one of the highest population growth rates in the U.S., and the resulting expansion in housing demand makes it highly attractive for real estate investment.
Because of this economic vitality and high growth potential, Texas is gaining attention as a region with significant investment value.
【Dallas】
Dallas is a modern city in northern Texas and is the commercial and cultural hub of the region.
It is characterized by its blend of a bustling business district and a cityscape that evokes the Western spirit of the frontier era.
The economy is thriving as a center for industries such as finance, technology, and logistics, with many companies headquartered there.
The city also offers plenty of tourist attractions, including museums, art galleries, and vast parks, allowing visitors to enjoy fine dining and shopping.
While it is known as a business hub for finance and economics, Dallas also has many spots that evoke old-school America, such as the Fort Worth Stockyards, a sacred place for cowboys.
【Basic information on Dallas】
Our Dallas Real Estate Investment Strategy
ーCapitalizing on the Growth Wave in North Dallas and Las Colinasー
Our investment philosophy is “Developing Opportunities, Building Wealth.” We help investors build stable assets by developing and acquiring promising projects in growing markets. Dallas is one of the locations where we can best embody this philosophy.
Dallas’s Position in the U.S.
Dallas is a city with a diversified economy, supported by various industries including finance, energy, technology, and healthcare, which has led to stable economic growth. The city has also seen a noticeable increase in Japanese companies, with the most famous example being Toyota’s 2017 relocation of its U.S. headquarters from California to Plano in North Dallas.
This concentration of international corporations provides strong support for the entire regional economy, including the housing market.
North Dallas: Rapidly Growing McKinney
McKinney is known as one of the fastest-growing cities in the U.S., with its population increasing by 1.5 times over the past decade. It continues to record an annual growth rate of over 12%, making it a core growth hub within Collin County. Large-scale projects, such as airport expansion and resort development, are also underway, indicating that the population, economy, and infrastructure are all on an upward trend.
We have acquired value-add apartment properties in this area. By undertaking extensive renovations on existing stock, we aim to provide housing that meets the surging demand, thereby increasing rental growth and asset value.
Los Colinas: High-End Business and Residential Hub Near the Airport
Los Colinas is one of the most prestigious areas in the Dallas-Fort Worth metroplex, with numerous corporate headquarters and high-end residences located in close proximity to the Dallas/Fort Worth International Airport.
The median home sales price is approximately $680,000, having risen by about 5% over the past year, highlighting strong demand and stable asset values.
We are proceeding with the operation and acquisition of large-scale apartment properties in this area. The excellent airport access and high demand as a business hub ensure stable occupancy rates and long-term profitability.
Value-Add Strategy × Acquiring Class A Properties
Our Dallas strategy is built on two pillars.
1. Value-Add Strategy: We acquire existing properties and renovate them with the latest facilities, interiors, and common areas. By upgrading them to meet market demand, we achieve increased rents and higher asset values.
2. Acquisition of Class A Properties: We incorporate newly-built or nearly-new “Class A” properties in excellent locations into our portfolio to ensure stable cash flow and low-risk asset formation. This, combined with our Value-Add strategy, allows us to achieve both short-term growth and long-term stability.
This dual strategy enables us to maximize returns in the growing Dallas market while building a resilient investment portfolio against economic fluctuations.
Dallas Portfolio Overview
◯North Dallas (McKinney): Value-add apartment properties in a rapidly growing city.
◯Los Colinas: Large-scale apartment properties in a high-end area near the airport.
◯Acquisition of Class A Properties: Incorporating properties with excellent location, age, and quality to ensure stability.
◯Strategy: A two-pronged approach combining a Value-Add strategy and the acquisition of Class A properties to achieve both growth and stability based on a strong foundation of demand.
Dallas is a market that offers a combination of growth, stability, and international appeal.
Centering our efforts on McKinney and Los Colinas, we will continue to provide investors with sustainable value and stable returns, guided by our philosophy of “Developing Opportunities, Building Wealth.”
