- 1980 Construction with 100% Classic Units
- Prime Location Across from University of Texas RGV
- Strong Market Fundamentals
- Offered at an Incredible Basis
- Recent Capital Improvements
1980 Construction with 100% Classic Units
The Palms presents a prime value-add opportunity, featuring 100% classic units that have not undergone significant interior renovations. We recommend allocating $3K per unit for upgrades to reach the projected proforma rents. The unit mix includes spacious floorplans, including 1-bed/1-bath (724 SF), 2-bed/2-bath (960 SF), and studios (495 SF), making it competitive in the market and appealing to a diverse tenant base.
Prime Location Across from University of Texas RGV
Strategically positioned directly across from the University of Texas RGV, The Palms benefits from a built-in demand driver. The university’s expanding enrollment and ongoing campus improvements, including a $45 million athletic grounds project and over $85 million in planned athletic facility investments, will continue to boost the area’s desirability. While not designated as student housing, the property naturally attracts students, faculty, and staff seeking convenient, quality housing.
Strong Market Fundamentals
The Palms is located in Edinburg, a submarket with strong leasing velocity and high demand for quality rental units. Located in the Rio Grande Valley, Edinburg has emerged as a key growth hub in South Texas. With a 29% population surge since 2010, surpassing 100,000 residents, it is now the fastest-growing large city in the region and a vital part of the McAllen MSA—the 5th largest metro in Texas. Edinburg’s economy is bolstered by its expanding healthcare sector, led by DHR Health, and the University of Texas Rio Grande Valley with 32,000+ students. With steady apartment development and strong market fundamentals, Edinburg offers investors unique opportunities in a rapidly growing market.
Current rents at The Palms are below market, offering significant upside through both unit renovations and organic rent growth. With DHR Health nearby, the property also benefits from a stable, diversified tenant base beyond the university.
