It’s official: the mantra “survive ‘til ‘25” turned out to be too soon.
It’s almost 2026, and most of Texas real estate is still struggling to hold on.
Even with another dip this week, mortgage rates continue to scare off would-be homebuyers. And every time the office market seems to hit rock bottom it turns out to be a landing that leads to another downward flight of stairs.
Throughout commercial real estate, it seems, most assets are worse off today than they were in 2020 — except in one case: country clubs.
Residential markets generally remain ahead of their 2020 benchmarks, thanks the pandemic runup, but have more recently been edging downward. Multifamily and office developers have been gritting their teeth through the last few years.
No such problems for member-owned country clubs, which saw a 27 percent average jump in values nationwide from 2020 and 2023, the Dallas Business Journal reported, after reviewing IRS filings from thousands of clubs.
Member-owned country clubs often claim tax-exempt status by meeting certain IRS requirements for “social clubs.” The exemption comes with a requirement for some public filings that provide insights on their financials.
Houston Country Club topped the list of most valuable member-owned clubs in Texas, with its value swelling 35 percent, from $109.6 million to $147.9 million over the three-year- period. Dallas Country Club finished with a slightly lower value but a bigger increase over the period, making a 44 percent jump from $89.6 million to $128.4 million.
The hot streak tracks to clubs making moves to not only capitalize on the pandemic-fueled golf craze–ovbiously right in their wheelhouses– but also double down by adding top-of-the-line amenities to match the latest fads, with cold plunges and infrared saunas a couple of examples.
It’s no coincidence that the top Austin home sale last week was a new build with access to Barton Springs Country Club.
The spec mansion at 4312 Amarra Drive was listed at $3.5 million and sold without a price cut — a rarity in today’s luxury market. Heyl Homes built the 3,300-square-foot home with three bedrooms and two bathrooms.
The selling point isn’t the open floorplan or the vaulted ceiling beams of exposed wood; it’s the fact that it’s an 8-minute walk to a golf course designed by legendary golf course designer Tom Fazio.
Membership to the elite Hill Country club, meanwhile, confers access to the Omni Barton Creek Resort & Spa as well as the club’s four golf courses, fitness center and tennis club, but it comes at a hefty price: the initiation fee reportedly tops $100,000, plus there’s a monthly fee of about $1,000.
Here’s what else happened in Texas real estate this week:
Nitya Capital’s Swapnil Agarwal says the loan backed by two of his apartment complexes went to special servicing for “code violations.” But Morningstar Credit data shows the Houston-based syndicator hasn’t made its most recent payment for the $66 million loan.
On the bright side, the auction of this Far North Dallas office building could be a great redevelopment opportunity! On the not-so-bright-side, bids start at a mere $2.25 million or $8.65 per square foot for the 10-story, 260,000-square-foot property, giving the Dallas office market an opportunity to log a new bottom.
D.R. Horton is trying to lure homebuyers back to the market with incentives like rate buydowns and closing-cost assistance. Word came in an earnings call where the Arlington-based company reported that profits sank 25 percent to $3.62 billion for the fiscal year ending Sept. 30.
Meanwhile, statewide housing supply is the highest it’s been since 2012. Texas had 5.5 months of inventory last month — the highest it’s been since surpassing six months in 2012. Supply in major metros has surpassed the post-recession waterline. Dallas had 4.8 months of inventory in September. Both Austin and Houston had 5.4 months. In September 2012, when the housing market had finally stabilized from the Great Financial Crisis, Dallas had 4.2 months of inventory; Austin had 3.6 and Houston had 4.8.
The Salty Donut isn’t worth its salt, if you ask its lender, City National Bank of Florida. The bank sued the confectionery in August, claiming it defaulted on a $4.8 million loan the bank provided so The Salty could develop a new store in Houston. The store never materialized. It did open a Katy location in 2024, but the donut maker’s first Houston outpost doesn’t appear on its website.
Read more
DFW country clubs cash in on post-pandemic golf boom
Heyl Homes’ $3.5M Barton Creek spec mansion tops Austin sales
Nitya Capital $66M apartment loan flagged for special servicing
