Issue 3, November 2013
Miller-Valentine Group is saddling up and heading to Texas.
MV Residential, a division of the Moraine-based development company, is expanding into the Lone Star State, which will give the company a physical presence in three states.
The company’s new Fort Worth office is part of its multi-state strategy to capitalize on the growing need for quality affordable housing options.
“There’s a strong market right now,” said Dave Liette, president of MV Residential. “Demand is strong.”
The market is especially strong in Texas, where employment, population and household growth are driving the need for additional housing.
Liette, who plans to develop senior and family affordable housing units in Texas, said affordable housing is particularly attractive because of the efficient financing system, which gives developers access to tax credits to help curb building costs.
In Texas, developers can build affordable housing projects with more than 100 units, which makes managing those units more efficient, Liette said. In many states, like Ohio, there are caps on the number of units that can be built or the total project cost.
MV Residential in mid-October hired a tax credit developer, Chris Applequist, to get the ball rolling in Texas. Applequist will handle both the Texas and Oklahoma markets from his office in Fort Worth.
Once Applequist submits applications for tax credits in January, the company will hire a construction project manager. Ideally, Liette would like to see the development of two projects in Texas next year.
Liette estimates the company’s total first year investment into its Texas office will be $1 million.
Through the expansion, MV Residential will be able to further secure itself as a regional and national player. While the residential real estate market remains challenging, MV Residential is able to grow through its expansion into new markets, taking advantage of tax credit opportunities across the country to strengthen its portfolio.
Locally, MV Residential recently developed The Falls at Settler’s Walk in Springboro and is partnering with St. Mary Development Corp. and the city of Dayton on Roosevelt Homes — a 35-unit lease-to-own development.
The company’s move into Texas mirrors its expansion into North Carolina 10 years ago. At that time, MV Residential also staffed its satellite office with two people and worked to develop affordable housing projects in the area.
Once the company develops its affordable housing portfolio in Texas, it will look to develop or purchase market-rate housing on an “opportunistic basis,” Liette said.
In addition to its upcoming Texas applications, MV Residential also has 14 applications pending in seven states — Ohio (four), Indiana (three), Pennsylvania (two), Illinois (two), Kentucky (one), Missouri (one) and Oklahoma (one). Liette would like to see the company receive approval for at least five of those projects.
Projects already in the works include:
• Carriage Trails Senior Villas in Huber Heights — a 34-unit development began construction in September;
• Sylvania Senior Residences in Toledo 12 senior cottages and a 39 unit three-story senior building began construction in July;
• Lawrence Village in Lawrence, Ind. — a 45 unit three-story senior building set for completion in January;
• Hamburg Place in Lexington, Ky. — a 62 unit three-story senior building began construction in July;
• Gallatin Park Apartments in Gallatin, Tenn. — a 48 garden-style multi-family housing project began construction in August;
• The Enclave in Winston Salem, N.C. — a 68 unit multi-family housing project began construction in September; and
• Meadow Vista in Des Moines, Iowa — a 59 single-family housing and 50 senior villa projects both began construction in September.
Miller-Valentine Group employs 752 people.