Southwest Texas '04-Present
Southwest Texas 2010
Southwest Texas, as in 2009, continued at a slow pace, with few significant area sales reported. Land value trends continue downward, though quality differentiation is now becoming much more apparent in this and other areas, as the lower quality properties are losing value consistently, and the top 25% or so are holding value or creeping upward. We saw some price reductions on several live water properties encumbered by Conservation Easement in the Uvalde area, with no takers as of this writing. This office attempted to sell approx. 2,400 acres on the Nueces River, just north of Uvalde, for $1,350/acre during the summer, but was unsuccessful after numerous showings. The low price of this offering attracted lookers, but poor property condition and vague title kept serious offers away. The 19 Mile Crossing Ranch, 8,450 acres on the Nueces River north of Uvalde under Conservation Easement, was offered at $975/acre with no takers, though some lookers were attracted to the low price. A good sale occurred near Barksdale in Edwards County, of 1,800 acres on Pulliam Creek with big springs and several nice lakes, for $3,434/acre, a two stage transaction (on high side) that was an eye-opener for sure. Another large transaction occurred in same area for somewhat less $/acre, a neighbor purchase. Val Verde County saw a 10,181 acre sale at $465/acre, dry, rough land, while the tried and true Sycamore Creek Ranch, just outside Del Rio, remained on the market throughout the year for less than $1,500/acre without a sale. Several offerings on the Devil’s River lowered prices throughout the year, though we heard of no significant closings, with one large, highly improved tract offered at under $1,000/acre with no takers. A Val Verde/ Crockett transaction of 11,000+ acres was said to have closed for less than $250/acre. Smaller hunting tracts in Val Verde/Edwards/Kinney continued to move slowly for around $1,000/acre. . . inventory is high, demand remains low. Developers and investors are beginning to stir due to prolonged lack of activity and perception of possible “deals.” Nothing hot and heavy, but the phone is ringing and folks are looking. We have heard of some liveoak country in Sutton County offered as low as $650/acre, down from previous average of over $1,000/acre, for 1,000 acre tracts. Again, the apparent trend is for marginal quality properties to lose value at varying rates dependent upon just how marginal they really are, while the better ones (live water, highway frontage, mucho oaks, good condition) are holding their own for the most part, for the time being. We see much high value in this area for the long term, as long as the offerings are at pre-2005 price levels for average land. This area has lots of open space, wildlife and a decent amount of flowing water and oak trees. Shop carefully, and you’ll find opportunity for short and/or long term profits here in 2011. If you’re selling, be prepared for a tough fight unless you’re sitting on something pretty special.
Southwest Texas 2009
Southwest Texas did not report a high volume of significant activity, and the overall value trend seems to be headed downward at this time. Uvalde County saw two significant transactions, including the sale of a nice, high fenced 7,075 acres under Conservation Easement for $900/acre, as well as a private treaty sale of 2,251 acres, also with CE, on US 83 north of Uvalde for $1,177/acre. Another CE sale occurred in the Blanco Creek Valley, a hotbed of conservation activity recently, with a nice 413 acres with spring-fed lake selling to neighbor for $2,500/acre. Another area sale, NW of Sabinal, was 1,950 acres for $1,510/acre (no CE). Val Verde County saw some sales of 500 – 1,000 acre tracts in the $900/acre range, out of a parent tract that sold for $450/acre earlier in the year. Several larger tracts on the Pecos and Devils River were shopped for around $1,200/acre with no takers. Edwards County saw this office involved in sale of 1,835 acres on Pulliam Creek near Barksdale for $2,186/acre. Another area LANDTX sale was 4,048 acres near the Val Verde/Edwards line for $575/acre. A significant sale occurred in Sutton County, of the Fort Terrett Ranch, on the headwaters of the N. Llano River, being 4,287 acres for $2,489/acre. This ranch has a show-stopper lake and nice, rustic improvements, plus historic significance, though this office regards the sale as an aberration (high). Little activity was reported in Kinney County, with several larger, S. TX-type ranches on major creeks being shopped at around $2,000/acre with no takers. In Val Verde County, the venerable, 9,100-acre Sycamore Creek Ranch just outside Del Rio found no takers at around $1,475/acre. In this area, the number of transactions was down from the previous year, which was down from previous as well. Proud sellers held steady on their prices, hoping for the downward trend to reverse. It did not, nor will it for the foreseeable future. This office sees this area as remaining a solid value for the recreation/hunting-minded retail buyer, with limited opportunities for speculation due to oversupply of inventory. If you’re looking for the lowest priced land with hills and oaks, this zone remains a viable candidate. We expect to see more significant offerings in the near future, and price competition will only increase when we do.
Southwest Texas 2008
Southwest Texas continued to slow down, activity-wise, from a peak in late 2006, though prices across the board held their own. Val Verde County saw a desert-type 6,600 acres sell for $445/acre. Kinney and Edwards County began to enter a significant slowdown, with signs of prices weakening on marginal ranches toward the end of the year. This trend has continued into early 2009 in most areas. This office participated in a 6,000 acre sale north of Carta Valley for $645/acre to a large tract developer. We have seen asking prices in this area top out at over $1,000/acre for 1,000 acre parcels, but the sales activity is slow to nill, and price competition is becoming aggressive in early 2009. This office also participated in sale of 1,800 acres with many springs, bottomland, major creek near Barksdale for $2,200/acre which closed in first week of 2009, and nearby offerings with even bigger water were asking in excess of $3,000/acre, but not getting much attention after the “new wore off.” Uvalde County saw decent sales activity, including a 5,000 acre, transition country conservation tract north of Uvalde for $920/acre. There was a fair amount of interest in another, 7,000 acre conservation tract nearby in the $1,000/acre range late in the year. We saw asking prices on the Nueces River top $3,000/acre in almost all locations, though this office continues to offer an 8,450 conservation tract for $1,695/acre with spotty interest. The City of San Antonio, Edwards Aquifer Authority, and other interested water protection entities have been placing thousands of acres in Uvalde and Medina County under Conservation Easements in the past couple of years by purchasing development rights in the name of protecting water quality. This is a classic, winwin deal for the ranchers and the general public, and the current success of the programs will likely spur more programs (and $) for the now-interested local ranching segments. Uvalde continues to bustle, becoming a vibrant trade center for the area. This area in general remains highly desirable, yet affordable, and should be carefully considered by anyone looking to “land bank” funds for the future, while enjoying quality hunting and ranching in the interim.
Southwest Texas 2007
Southwest Texas proved to be a strong performer again in 2007, as prices continued to increase after spike of 2006. Val Verde County saw several sales of average land NE of Lake Amistad hit $650/acre for 1,000+ acre tracts, and a 23,000 acre parcel west on Hwy. 90 in the western part of the county was taken down for over $200/acre, and is now being offered for resale in smaller tracts for over $500/acre. Minerals are scarce in this area, as we have heard of lease bonuses in some cases exceeding $100/acre and climbing. Asking prices of Lake Amistad ranches now average $3,000/acre, though there were no takers that we are aware of. Edwards and Kinney Counties saw several meaningful sales in the $1,000/acre range with no live water, and trading is rampant, with most purchases placed immediately back on market at 50+% markup. There were reports of live water sales exceeding $1,500/acre in Kinney and $2,500/acre in Edwards. A 9,100 acre parcel on Sycamore Creek just outside of Del Rio was shopped for $1,500/acre with no takers, however. The Rocksprings area in particular seemed to be a hotbed of activity, with asking prices moving from $950/acre for divide country early in the year to $1,500 later on, for sites located east of town in the 500 to 1,000 acre range. Kimble County saw heavy action, with a large parcel on Bear Creek fetching over $2,000/acre, and immediately offered for resale at $4,500/acre. Asking prices on the Llano Rivers now average over $5,000/acre. Marginal land in Kimble & Uvalde Counties was offered at $1,500/acre, though transactions were fewer, and tract size was reduced, an area-wide trend. Buyers became more critical of issues such as noise pollution, access and minor title encumbrances, creating an ever-increasing climate of caution and logic-based purchases that has spilled over into 2008.
Southwest Texas 2006
Southwest Texas continued the area-wide upward trend, with Val Verde, Kinney and Edwards Counties posting strong gains. This firm participated in a mindboggling sale and resale of 6,642 acres on Lake Amistad, with first sale occurring in Jan., 2006, at $685/acre, and the second in September, 2006, at $1,350/acre. Another Lake Amistad sale of 1,200 acres topped the $2,000/acre mark, we are told. A highly improved 5,400 acres just NE of Lake Amistad was taken down for $700/acre, and put back on the market for twice that amount. Land trading is rampant in this area, with retail buyers coming out on the short end of the stick due to their inexperience and lack of qualified broker guidance and quick-striking ability. Further north, Edwards County saw several transactions approach $1,000/acre, and this firm participated in a sale on the North Llano River west of Junction for $2,200/acre. Kimble and Uvalde Counties are over $1,000/acre for even the most marginal land, with primo live water inventory fetching as much as $3,500/acre. Further west, Comstock, Langtry and Dryden are appreciating, as many investors seem to believe that $150/acre land will double in value more quickly than $5,000/acre land much closer in to population centers. The Devil’s River area has seen the 14,000 acre Jarret Ranch be shopped at over $2,000/acre with no takers, with nearby non-water inventory being offered at 20% of that price.
Southwest Texas 2005
Southwest Texas showed substantial gains, with recreational and hunting parcels leading the way. A strong value surge occurred in the Rocksprings area, with prices jumping seemingly overnight for 2,500 acre tracts from $450/acre in 2004 to $650/acre, on average, throughout 2005. Kinney County saw several sizable sales out in the Tularosa Road area in the $425/acre range, with subdivided parcels moving for $650/acre or more in the 500 acre range. Asking prices along Highway 90 between Uvalde and Brackettville have soared over $1,000/acre, but there are no sales to confirm any justification of that level of optimism. Live water ranches, though scarce, on major creek or river, were fetching well over $1,500/acre in the Nueces Canyon. A ranch on Bullhead Creek near Vance traded for over $3,000/acre. The Frio Canyon saw a couple of sizable river sales of over $5,000/acre, with strong flowing creek ranches topping $2,500/acre in several instances. The Uvalde area appears to have reached a value spike of $3,000/acre for river properties, $2,000/acre for creeks and $1,000/acre for non-water parcels. Further west, these numbers decline to about half of above, while Kimble County is similar to Uvalde in all property types. An 828 acre ranch on big flowing Johnson Fork Creek near Segovia topped $3,500/acre, but at the same time, there were a couple of sales on the N. Llano River west of Junction for less than $2,000/acre.
Southwest Texas 2004
Southwest Texas land values held mostly steady, though properties with live water continued to appreciate in value. Kinney and Edwards Counties saw quite a bit of subdivision activity, particularly the area north of Bracketville towards Carta Valley. An abundance of 200 to 500 acre tracts were available in the $450/acre range with some sales recorded. Tracts over 5,000 acres moved for $325 to $400 depending upon accessibility, tree cover and improvements. Uvalde, Real and Kimble County saw slight gains overall, with live water properties again leading the way. A recent surge in Kimble County values seems to have leveled off in 2004, with live water tracts of 500 acres topping out at $3,750/acre for “big” water (Llano River, Johnson Fork), $2,000/acre for lesser water (Bear Creek, etc.) The Nueces Canyon has seen some river ranches sell for over $1,500/acre, while there were several creek properties topping $1,000/acre. Dryland tracts of 500+ acres east of Uvalde have topped the $1,000/acre mark, with irrigated and/or riverfront pushing $1,750/acre. The Frio Canyon has seen another wave of riverfront developments, and it has become next to impossible to find 100 acre+ riverparcels for sale at all.
