Texas Group Lands Refinancing For Houston Built-to-Rent

A built-to-rent community in Houston just landed refinancing as the multifamily product continues to surge in popularity in Texas.

Developer Texas Group secured $13.9 million in fresh financing for Sandrock Gardens, a 69-unit single-family rental home community, according to a news release from Greystone, which put together the deal. The price comes to $201,000 per unit.

Greystone’s Shaya Ackerman and Steven Treitel arranged the financing.

Sandrock Gardens sits on 14.5 acres and is located in south Houston, about 12 miles from downtown. The project features three-bedroom, two-bathroom homes with two-car garages.

Texas Group specializes in single-family neighborhoods, built-to-rent communities and vertical multifamily development.

The popularity of built-to-rent communities exploded during the pandemic, when remote work sent renters searching for bigger rental units with more outdoor space. The product also provided a housing option for would-be first-time homebuyers who were stymied by high prices and then rising interest rates.

The product has maintained its popularity even after the pandemic subsided. About 7,000 units were delivered nationwide in 2019, compared with 39,000 units last year, according to Point2Homes.

Houston’s built-to-rent pipeline ranked fourth in the nation last year, with 2,505 units delivered. Only Phoenix, Dallas and Atlanta delivered more units last year. In the past five years, Houston’s built-to-rent deliveries increased by 151 percent, underscoring renters’ interest in the product.

Meanwhile, multifamily rent in Houston has begun to stabilize, with a 12-month growth rate of 0.6 percent between January 2024 and January 2025, according to data from MRI Apartment Data compiled by the Greater Houston Partnership. Occupancy also inched up in that period from 88.4 to 88.7 percent.