This Week's Houston Deal Sheet
Since the construction of the Astros' home at Minute Maid Park more than two decades ago, developers have seen opportunity in East Downtown. A new wave of growth in the area is being fueled by sites in the area being designated opportunity zones. East Downtown's first multifamily project to tap into the opportunity zone incentives has broken ground.
A joint venture between Chicago-based Origin Investments and Naperville, Illinois-based Marquette Cos. launched the construction of 2404 Navigation, a mid-rise apartment complex in Houston’s EaDo submarket.
The development will be part of Origin Investments’ Opportunity Zone Fund.
“We’ve said it from the outset, real estate developments must be fundamentally sound and capable of succeeding on their own merits, regardless of their location within an Opportunity Zone,” Origin Investments co-founder David Scherer said in a news release. “2404 Navigation meets our stringent criteria as a sound investment opportunity; it also happens to be in an opportunity zone which will provide further benefits to investors down the road.”
2404 Navigation, being built on a 1.86-acre site at the intersection of Navigation Blvd. and McAlpine Street, will have 300 units. According to the development plan, the first units will be delivered in April 2021.
DEVELOPMENT
Oldham Goodwin Capital and partner MGroup + Architects have broken ground on Phase 2 of Catalon at Lago Mar apartments in Texas City. The Class-A residential expansion will include four additional buildings offering a total of 170 apartment homes. The project is scheduled to be completed in November 2020.
SALES
NewQuest Properties acquired 4.99 acres at the intersection of Interstate 10 and State Highway 99 in Katy from Parkside NEC Grand Parkway/I-10. NewQuest Properties’ Heather Nguyen represented the buyer in the direct deal.
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EF One - Fuqua purchased 4.7 acres just off Fuqua Street near Cullen Drive in South Houston. The buyer plans on developing a neighborhood of custom-built homes. Banani Investments, the seller, was represented by Davis Commercial’s Cotton Munson.
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NAI Partners’ Josh Lass-Sughrue and Jason Ridenbaugh represented the seller, Spring Stuebner Realty, in the sale of Spring Stuebner Plaza, a 66K SF multi-tenant retail and office warehouse property located near Springwoods Village. The property was fully occupied at the time of the sale. Both the buyer and seller were private investors.
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A private investor in California bought a 102K SF Fiesta-anchored shopping center at 9419 Mesa Drive in Houston. CBRE’s Matthew Berry and Robbie Kilcrease represented the seller, 2ML Real Estate Interests.
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Fuller Realty Interest bought a 67K SF industrial facility on 3 acres at 10706 Craighead Drive in Houston. CBRE’s William Rudolf and Kyle Golding represented the seller, Lomi.
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Berkadia's Jennifer Ray and Ryan Epstein represented Starwood Capital Group in the sale and financing of Lakes of 610, a 276-unit multifamily community in Houston. Berkadia’s Andy Hill secured a $19.7M loan on behalf of Western Wealth Capital.
LEASES
Avison Young’s Bob Berry and Grant Hortenstine represented American Cross-Dock & Storage in the negotiation of a 102.8K SF industrial lease at 9701 New Decade Drive in the Bayport North Logistics Center I, and the sublease of 44K SF at 13225 Bay Park Road, both in Pasadena.
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Footlocker leased a 23K SF location at 7584 Bellaire in Houston as a relocation out of Plazamericas. CBRE’s Brian Ashby and Sydney Dixon represented the tenant in the deal with B & V Center.
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Camfil USA extended 15K SF at West by Northwest Business Park at 6120 West by Northwest Boulevard. Colliers' Chase Spence represented the tenant. Stream Realty Partners’ Boone Smith and Garret Geaccone represented the landlord, Agellan Commercial REIT.
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CBRE’s Rich Pancioli represented Growthforce in a 16K SF office lease with Old Vine-Kingwood Associates at 22001 Northpark in Houston.
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Patterson Veterinary Supply extended 26K SF at West by Northwest Industrial Park at 6300 West by Northwest Blvd. Cresa's Tim Carlson represented the tenant. Stream Realty Partners’ Jeremy Lumbreras and Boone Smith represented the landlord, Global Logistics Properties.
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Work & Mother Services, a network for working mothers who are breastfeeding, signed a 949 SF lease on the ground floor of Three Allen Center in Downtown. Brookfield Properties’ Clint Bawcom and Tyler Merritt represented Brookfield.
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Fritsche Anderson Partners’ Anthony Fritsche represented Harper & Pearson Co. in a 16K SF office renewal at One Riverway in Houston. CBRE’s Kristen Rabel and Elliott Hirshfeld represented the landlord, Riverway Holdings.
FINANCING
Greystone provided a $37M Fannie Mae senior housing loan to refinance Shadow Creek Ranch, a 222-unit independent living community in Pearland. The transaction was originated by Cary Tremper, on behalf of Integrated Real Estate Group and its affiliated operator Integrated Senior Lifestyles.
