While people usually consider farmers markets to be a convenient way to grab local fruits and vegetables, Dallas has embraced the popularity of this concept and turned it into new real estate opportunities. With the overhaul of the Farmers Market in downtown Dallas underway, real estate developers are moving into the area to build up new apartments. The rental market surrounding the Farmers Market is booming, as the number of residences has grown, Dallas News reported.
As the housing market around Dallas’ Farmers Market – one of the largest public markets in the U.S. – becomes more lucrative, investors should consider buying Dallas investment properties to meet demand for housing. Dallas Farmers Market is quickly becoming a hot spot for real estate activity, revitalizing surrounding residential areas and increasing demand for single-family properties.
Residential areas are quickly becoming filled as the Farmers Market has attracted restaurants and shops, which has made it easier for residents to enjoy the amenities near the area. In addition to wanting to be close to shopping areas, would-be tenants also are moving because of the proximity of the Farmers Market to the central business district, according to developers.
Market figures point to normal housing sector
In addition to more apartments and townhouses being constructed near the market, home prices in the Dallas area are rising, showing the housing market is healthy, Dallas Business Journal reported. In the latest S&P/Case-Shiller Home Price Index, home prices in Dallas rose to140.12 in June – a new high and an 8 percent increase from the previous year. Between May and June, housing prices in Dallas increased 1.1 percent.
“Home price gains continue to ease as they have since last fall,” said David Blitzer, chairman of the Index Committee of S&P Dow Jones Indices, in a statement. “For the first time since February 2008, all cities showed lower annual rates than the previous month.”
Blitzer said other economic indicators of the housing market show positive gains and that the housing sector is normalizing. Slowing housing prices means good news for housing affordability. With housing becoming more affordable in Dallas combined with the popularity of the Farmers Market in the downtown area, investors should consider entering the rental market with Dallas investment properties to increase cash flow.
“People don’t realize that the Farmers Market is becoming the biggest concentration of residential in downtown Dallas,” said Brian Bergersen, part of the development team that is renovating the Farmers Market, according to Dallas News. “Unlike some other areas around downtown, you have the rooftops and residential base.”