Commercial Real Estate Investor · Pinole, CA · Member since 2014 · 51 posts · 12 votes
I was curious about Killeen Texas....I know this is a very military dependent economy but I have read some articles that mentioned Killeen was expecting the population to double by 2050..
Does anyone out there have an opinion about Killeen...being only 65 miles from Austin, is it a market to avoid or one worth investing in?
Is this a growing area or not? Is it too challenging to have rentals in? I am curious what everyone's opinion is of the area and what your experiences have been.
I believe by population, Fort Bragg is actually larger at the moment. By land, there are a couple larger. But without a doubt, Fort Hood is one of the major US military installations. There are only 10 divisions and 5 corps, and Hood is the headquarters of one of each.
Population has nearly doubles in the last twenty years, so it's not a stretch to imagine it doubling again in the next 30. Massive amounts of builder activity has kept inventory strong, and indeed there is still plenty of empty space to grow.
The market now is the hottest it's been since before the Recession. Hwy 190 was just designated I-14, and that with other commercial developments are pointing to continued growth in the near to mid future at least.
I agree, I wouldn't park money here hoping for appreciation. Killeen has just kept up with inflation in recent years. But definitely a worthwhile market for buy and holds or wholetails. Being military means LOTS of renters.
It has a ton of potential because of the location and the huge Air Force base but investors perception of the risk if the base close causes properties there to remain very low priced and so does the rents. What are the chances that one of the biggest bases in the country will shut down and close? I have no idea but as always, perception is reality.
If you look for appreciation marker, Killeen is probably not the right answer for you.
Killeen doesn't have an Air Force base. It has Fort Hood, not "one of the biggest bases in the country," but actually the largest military base in the world. The chances of it closing are almost 0. Actually, its more likely to grow than to shrink or close. If the Army closes other bases, they will consolidate to large bases like Fort Hood.
The reason there is no appreciation there is because there is lots of room and they won't stop building houses. There are probably other reasons but that is the main one I see owning a rental and just driving around over the past 15 years, and living there for several years.
I believe by population, Fort Bragg is actually larger at the moment. By land, there are a couple larger. But without a doubt, Fort Hood is one of the major US military installations. There are only 10 divisions and 5 corps, and Hood is the headquarters of one of each.
Population has nearly doubles in the last twenty years, so it's not a stretch to imagine it doubling again in the next 30. Massive amounts of builder activity has kept inventory strong, and indeed there is still plenty of empty space to grow.
The market now is the hottest it's been since before the Recession. Hwy 190 was just designated I-14, and that with other commercial developments are pointing to continued growth in the near to mid future at least.
I agree, I wouldn't park money here hoping for appreciation. Killeen has just kept up with inflation in recent years. But definitely a worthwhile market for buy and holds or wholetails. Being military means LOTS of renters.
I live in Austin, but I'm a big fan of Killeen and I'm actively pursuing opportunities in Killeen. It's not a sexy market but it's a solid rental market. Ft Hood is huge and is not going anywhere. It is a linear blue collar/military market, similar to Memphis. It's not a strong appreciation market but it is a good cash flow market. I own a self storage property in this market and looking to purchase a multifamily property in the Killeen area sooner than later. Feel free to reach out, I am happy to give you a local's input.
@VeinTwain Herron https://www.biggerpockets.com/users/Veintwain just posted about a 5-plex he has available in Killeen. (I'm not recommending it, or anything. I don't know enough about it. Just sharing the info.)