New Hudson, MI | Midwest Multifamily | Investment Highlights

Thanks to the redesigned I-96 Flex Route and a median household income exceeding $130,000 per year, investors are confidently investing in this area's potential.

Author

Michael McClafferty
July 01, 2024

The Crossings - Photo Jason Krug, Berkadia - Sold Dec 2023

New Hudson, Michigan, located in in Lyon Township and Oakland County is situated along I-96 between Novi and Brighton. Approximately 30 miles from Downtown Detroit, Detroit Metro Airport (DTW), and Ann Arbor, its accessibility to major metropolitan areas has spurred significant new construction. In 2023, Lyon Township, which includes New Hudson, led Southeast Michigan in single-family home permits.

This article will explore the Top 5 reasons behind the rapid growth and development currently unfolding in the previously underexplored southwest corner of Oakland County.

Source: Southeast Michigan Council of Governments ( www.semcog.org)

For a detailed construction overview, read the summarized "Residential Construction in Southeast Michigan, 2023"

1. Economic Growth and Stability:

Southwest Oakland County has seen a steady increase in employment opportunities, thanks to the influx of tech and manufacturing companies. From 2021-2020 Lyon township's population surged by approximately 60%. The area has a notably high median household income at $138,563.

Below is a list of recent corporate investments in New Hudson/Lyon Township.

  • June 2024: Ilmor Marine Announces Multi-Million Dollar Investment in New State-of-the-Art Facility in Lyon Township, Michigan Link to Article

  • May 2024: Magna International's plans $35.2M expansion in New Hudson facility : Link to Article

  • June 2023: DESign USA chooses Lyon Township over South Carolina for new $19M Headquarters and manufacturing facility. Link to Article

Major Employers from The Crossings 2023 Offering Memorandum - Jason Krug, Berkadia

2. Strategic Location:

Located just off I-96, New Hudson offers easy access to major cities like Detroit and Ann Arbor. This accessibility is a significant draw for working professionals and families alike, increasing the demand for residential properties.

Photo Jason Krug, Berkadia

3. Rising Demand for Housing:

As more people move to New Hudson for job opportunities, the demand for housing has surged. Multifamily properties, in particular, are in high demand as they offer luxury, flexible living options for residents. The Crossings in New Hudson is a 304 unit, luxury apartment community built in 2022. Average rents at this property are over $2,100 and occupancy is strong.

The Crossings - Photo Jason Krug, Berkadia - Sold Dec. 2023

4. Favorable Investment Climate:

The local government in Lyon Township is committed to fostering a favorable investment climate. Below is the mission statement of the Lyon Township Downtown Development Authority (DDA)

The Mission of the Lyon Township DDA is to assist public and private development efforts; to stimulate residential commercial and industrial growth and create a vibrant community where people live, work, and play.

Major Golf Course Residential Development Projects:

In addition to luxury apartment complexes, the issuance of single-family home permits remains high. Two golf courses in Lyon Township have been approved for the development of over 500 new homes. Learn more about these projects by clicking the links below.

5. Community and Lifestyle:

New Hudson offers more than just economic benefits; it boasts a high quality of life with its picturesque parks, top-notch schools (Northville and South Lyon), and easy access to amenities. These features draw renters seeking a well-rounded lifestyle. Local attractions like Blakes Cider Mill (formerly Erwins), Kensington Metro Park, and Island Lake add to the area's livability and character.

The former Erwins Orchard. Blake's took ownership of the 100+ year old operation in 2022 Source:blakefarms.com

Read about Lombardo Homes' conceptual plan for "The Orchard Crossings Development" in partnership with Blake's which will include almost 200 total housing units, a 15,000 SF event venue and a 17,000 SF tasting room. Link to Article.

If you're interested in learning more about multifamily investing in the Midwest, feel free to reach out to your trusted Berkadia advisor. Click here to schedule a call with me.

The Great Lakes Region's top performing team has sold over $3B of multifamily properties in the past 3 years.

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