| Summary | National Percentile | Rank vs Metro |
|---|---|---|
| Housing | 77th | Best |
| Demographics | 66th | Good |
| Amenities | 30th | Fair |
Multifamily Valuation
| Property Details | |
|---|---|
| Address | 3508 S 1st St, Austin, TX, 78704, US |
| Region / Metro | Austin |
| Year of Construction | 1985 |
| Units | 62 |
| Transaction Date | 2019-02-22 |
| Transaction Price | $5,937,500 |
| Buyer | SOUTH FIRST TERRACE LLC |
| Seller | SPEARHEAD RIO GRANDE LLC |
3508 S 1st St Austin Multifamily Investment
Neighborhood fundamentals show a deep renter base and steady occupancy, according to WDSuites CRE market data, supporting durable demand for a 62-unit asset in South Austin. The investment angle centers on renter concentration and location convenience rather than luxury positioning.
Located in Austins Urban Core, the neighborhood rates B overall (ranked 235 among 527 metro neighborhoods), signaling balanced fundamentals that are above the metro median in several investor-relevant categories. Neighborhood occupancy is about 93.7% and has trended modestly higher over five years; at the national level this sits above the median (63rd percentile), which supports income stability for multifamily assets nearby, based on CRE market data from WDSuite.
Renter concentration is high, with an estimated 60.8% of housing units renter-occupied (top decile nationally), indicating a sizable tenant base and generally consistent leasing velocity across cycles. Within a 3-mile radius, total population has been broadly stable while households increased, and projections point to a substantial expansion in household counts by 2028. This implies a larger pool of renters and supports occupancy durability even if population growth remains moderate.
Livability signals are mixed but investable. Park access is a standout strength (top 1% nationally by park density), while restaurant availability is competitive (79th percentile). However, on-neighborhood retail density for cafes, groceries, and pharmacies is thin, which places the area below many Austin sub-neighborhoods on daily-convenience walkability; investors should underwrite this as part of the leasing story and resident experience.
The ownership market is high cost for the neighborhood (home values at the 93rd national percentile and a value-to-income ratio in the 97th percentile), which tends to reinforce reliance on rental housing and can support pricing power and retention for well-managed properties. Average neighborhood construction year skews newer (1999), while this assets 1985 vintage is older; that often creates value-add potential via targeted renovations and systems updates to stay competitive versus newer stock.
Schools in the neighborhood rate lower on average (around 2.0 out of 5, 37th percentile nationally). For family-oriented demand, this may influence unit mix performance; however, the areas renter-heavy profile and proximity to employment nodes can offset some exposure by drawing working professionals.
Safety indicators are mixed and should be evaluated comparatively across Austin. The neighborhoods crime rank sits mid-pack (ranked 250 of 527 metro neighborhoods), and national comparisons place it below the median on safety metrics. Even so, recent trend data show declines in violent offenses year over year (approximately 21.5%), suggesting improving conditions; investors may consider enhanced on-site measures and resident engagement to support retention.
In national percentile terms, the area scores lower for safety (violent and property offense percentiles in the lower quintiles), but the direction of change has been favorable. Framing this against peer submarkets can help calibrate insurance, security, and operating assumptions without overstating block-level precision.
Proximity to major employers supports workforce housing demand and commute convenience for renters. Notable nearby employment nodes include Oracle, Whole Foods Market, State Farm Insurance, New York Life, and Coca-Cola.
- Oracle Waterfront industry/role: enterprise software offices (2.9 miles)
- Whole Foods Market industry/role: grocery corporate offices (2.9 miles) HQ
- State Farm Insurance industry/role: insurance (6.8 miles)
- New York Life industry/role: insurance (8.7 miles)
- Coca-Cola industry/role: beverage offices (10.6 miles)
This South Austin asset combines a deep renter pool with steady neighborhood occupancy, creating a durable income profile for a 62-unit community. According to CRE market data from WDSuite, the neighborhood posts occupancy around 94% with a modest five-year uptick, while renter-occupied housing share is high, supporting consistent leasing. The surrounding ownership market is high cost, which can sustain rental demand and pricing power for well-maintained units.
Built in 1985, the property is older than the neighborhoods average vintage (1999), pointing to value-add potential through targeted renovations and system upgrades to compete with newer stock. Within a 3-mile radius, households have increased and are projected to expand further by 2028, indicating a larger tenant base that can support occupancy stability over the hold period.
- Steady neighborhood occupancy and high renter concentration support income durability.
- High-cost ownership landscape reinforces renter reliance and pricing power potential.
- 1985 vintage offers value-add upside via interior and systems modernization.
- 3-mile household growth projections point to a larger tenant base and leasing resilience.
- Risks: below-median safety metrics and lower-rated schools; consider security and amenity programming to support retention.