Multifamily ground-up costs in DFW: per-door breakdown by structure type (2026)

Garden, mid-rise, or podium wrap — the structure type you choose determines your cost per door more than any finish decision. Here's a DFW developer's directional breakdown for 2026, with the financing angle that makes Pereff's multifamily program different.

The DFW multifamily market has absorbed a significant supply wave over the past three years, and developers who are starting new ground-up projects today are working in a more sophisticated underwriting environment than 2021–2023. Banks are scrutinizing cost-to-build vs. cap rate more carefully, investors are more focused on yield-on-cost, and the era of 'build it and rents will rise to justify it' has largely passed. In this environment, getting the per-door cost right — specifically, building the most efficient project for your capital stack and market position — is the developer's primary job. Start with the structure type.

Structure type: the biggest cost decision

The structure type of a multifamily project — wood-frame, Type III concrete/frame hybrid, podium, or true mid-rise — determines the cost per square foot more than almost any other variable. The choice is driven by site, density requirements, parking, and the unit count you need to pencil the deal.

For most DFW suburban multifamily — which is the bulk of the market — garden-style and mid-rise are the relevant comparisons. At $200–$260/SF for garden-style with average unit sizes of ~900–1,000 SF, the per-door hard cost runs $180,000–$260,000 per unit. At mid-rise pricing, the same unit runs $245,000–$340,000 per door. The structure premium matters because it directly impacts yield-on-cost at a given rent level.

Per-door breakdown: what goes into the number

For a 100-unit garden-style apartment community in a DFW suburb (Frisco, McKinney, Allen, Prosper) with average unit size of 950 SF — directional breakdown:

• Hard construction costs (structure, shell, finishes, MEP, amenities): $200–$240/SF × 95,000 SF = $19M–$22.8M total, or $190,000–$228,000 per door.
• Amenity program (pool, fitness center, clubhouse, leasing office, outdoor spaces): $500,000–$1.5M depending on program level — not included in the per-unit figure above.
• Soft costs (architecture, civil, structural, MEP engineering, permitting, testing, inspections): 12–18% of hard costs = $2.3M–$4.1M.
• Site/civil (grading, utilities, detention, paving, landscaping): $1.5M–$4M depending on site conditions. Site cost is the most variable line — raw land with no utilities is a very different number than a pad-ready site.
• Financing carry (interest during construction at current rates, typically 12–18 months for garden-style): 6–10% of project cost annually during the construction period.
• Land: varies enormously by submarket. DFW suburban pad sites for 100-unit garden communities typically run $2M–$6M+ depending on location and entitlement status.

The four things that move the per-door number most

• Structure type: wood-frame vs. podium is a $50,000–$120,000 per door difference on comparable unit sizes. The decision should be driven by density requirements and parking ratios, not by a preference for concrete.
• Unit mix: studios and one-bedrooms have higher construction cost per SF than two- and three-bedrooms because of plumbing density relative to livable square footage. A unit mix skewed toward studios increases cost per door even at the same overall SF.
• Parking structure vs. surface: a surface-parked garden community can be $40,000–$60,000 per door cheaper than the equivalent podium community with structured parking. If the site and density allow surface parking, use it.
• Amenity program: a pool, fitness center, dog park, and clubhouse are standard in suburban DFW. A resort-style pool, co-working lounge, and rooftop deck adds $2,000–$5,000 per unit in cost with uncertain rent premium. Be disciplined.

The financing angle: why Pereff's multifamily program is different

Most commercial construction lenders offer 65–80% LTC (loan-to-cost) on multifamily ground-up, requiring 20–35% in equity from the developer. For a $30M project, that's $6M–$10.5M in developer equity. Pereff, as both developer and general contractor, facilitates access to HUD-insured multifamily financing programs that can reach up to 98% LTV (loan-to-value, calculated against the stabilized appraised value) — 40-year fixed-rate, non-recourse, fully assumable, construction and permanent in one loan.

Pereff's largest multifamily project to date is Highland Crossing Luxury Apartments — 250+ units, approximately $15M total deal — structured as a HUD AAA credit-enhancement insured loan. This is the most complex multifamily financing instrument available, and Pereff navigated it as both developer and builder. No GC-only firm possesses this capability. [Pereff project data, Highland Crossing Luxury Apartments]

Where developers overpay in DFW right now

The three most consistent sources of cost overrun Pereff sees in multifamily ground-up projects in DFW today:

• Underestimated site cost. The difference between a 'ready to build' site and a truly pad-ready site with stubbed utilities, approved drainage, and a cleared entitlement is often $1M–$3M. Developers who price the land without a full civil and geotechnical study are routinely surprised.
• Amenity scope creep in the design phase. The amenity program gets designed to compete with the Class A community across the street — then the hard cost comes in 15% over the proforma. Value-engineering the amenity program after design is completed is far more expensive than setting a firm budget in design development.
• Carrying cost at a compressed schedule. Faster construction requires more crew, more overtime, and more superintendent coverage — all of which cost money. But a garden-style community that delivers in 14 months instead of 18 months eliminates 4 months of interest carry on a $25M loan — which at current rates saves $750,000–$1,000,000. Schedule has a dollar value. Budget for both.