Update: Phase 1 at Heritage Hills is now Sold Out. Phase 2 should start selling in the fall around September or October.
Get on the interest list for the Phase 2: Contact Us
Today I am excited to share a new construction investment opportunity in in the Dallas Fort-Worth Metro area. This Class A project is in close proximity to Google’s Approved $500M Data Center and Methodist Health’s Proposed Medical Center. Phase 1 of the project is almost sold out with a handful of Texas fourplex for sale left that offer positive cashflow, turnkey ownership with management in place and 16.9% return on investment.
Summary of Project
Heritage Hill Estates project is located in Venus Texas and it is zoned to excellent Midlothian schools – just 1.5 miles from Google’s Approved $500M data center which is expected to bring substantial financial investment and new jobs to the area.
Less than 5 miles away, Methodist Health is building a 190,000 sf full service acute care hospital and a 45,000 sf medical office building. Phase 1 of the project will consist of 30 duplexes and 26 fourplexes. At the time of this post, all the duplexes are sold and there are 7 fourplexes available.
Construction has just begun and first units are expected to be completed this summer. Available fourplexes are expected to be completed by December 2021.
Photos of Finishes
Location and Area
The DFW area has experienced tremendous population growth over the last 8-9 years adding over 1M people and Ellis County where the project is located has been growing its population at a staggering 8.3% per year (as of last census in 2018) and it is expected to grow its population by 200% more by 2050. Finally, there’s is a shortage of high quality rental supply in the area which when combined with high population growth contributes to strong Tenant demand. This Texas fourplex for sale is the only available Class A opportunity that offers a superior location with strong economic fundamentals and population growth.
Floorplan and Elevation
One of the great features of this Texas fourplex for sale is the arrangement of the units. Unlike other fourplex floorplans where units are townhouse- style in a straight row, which causes the interior units to be very dark, this floor plan is different. It consists of two flats, one on each floor. The largest is a 3 bedroom 2 bath while the other is a 2 bedroom 2 bath with two master bedrooms. Then on the corners there are two townhouse style two-story 2 bedroom 1.5 bath units. This way all units have great natural light.
Rent Roll (projected)
Below is a schedule of projected rents for the Texas Fourplex for sale at Heritage Hills. These rents are based upon prior projects the builder has completed in the immediate area as well as the expertise of the property manager who knows the rental market exceptionally well.
| Bed/Ba/Ga | SF | Monthly Rent | Rent/SF | Annual Rent | |
| 3/2/1 | 1347 | $ 1,575.00 | $ 1.17 | $ 18,900.00 | |
| 2/2/1 | 1274 | $ 1,475.00 | $ 1.16 | $ 17,700.00 | |
| 2/1.5/1 | 1134 | $ 1,375.00 | $ 1.21 | $ 16,500.00 | |
| 2/1.5/1 | 1134 | $ 1,375.00 | $ 1.21 | $ 16,500.00 | |
| Total | 4,889.00 | $ 5,800.00 | $ 69,600.00 |
Cash Flow Analysis
Now let’s take a look at the cash flow numbers:
| Heritage Hill Estates: Texas fourplex for sale | |
| 10 Bedrooms 8 Baths | Year Built: 2021 |
| School District: Midlothian ISD | Size: 4820 SF |
| Property Type: Fourplex | Market: DFW |
| Price/SF: $ 147.72 | Rent/SF: $ 1.2 |
| Asking Price | $712,000.00 |
| Market Value | $712,000.00 |
| Purchase Price | $712,000.00 |
| Down Payment (25%) | $178,000.00 |
| Initial Repairs | $0.00 |
| Closing Costs | $14,240.00 |
| Investment Capital | $192,240.00 |
| Monthly | |
| Expected Rent | $5,800.00 |
| Vacancy | $246.50 |
| Property Taxes | $1,243.18 |
| Insurance | $83.33 |
| HOA Fee | $70.83 |
| Maintenance and Repairs | $111.07 |
| Property Management | $277.68 |
| Leasing Fee | $169.17 |
| Landlord-Paid Utilities | $80.00 |
| Total Operating Expenses | $2,281.76 |
| Net Operating Income | $3,518.24 |
| Mortgage Payment @ 3.125% – 25% Down | $2,287.52 |
| Monthly Cashflow | $1,230.72 |
| Principal Paydown | $908.64 |
| Appreciation Return | $1,916.47 |
| Annual Depreciation Deduction | $20,719.20 |
| Total Monthly Return | $4,055.82 |
| 10-Year Annual Rate of Return | 16.96% |
| Cash-on-Cash Rate of Return | 7.68% |
Next Steps
I don’t expect these available Texas fourplexes to last past the end of this month. If you are interested, give me a call at 713-922-2702 and let’s talk.
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