This Week’s Houston Deal Sheet
TC Energy has extended its lease for 320K SF at TC Energy Center at 700 Louisiana St. in Downtown Houston.
The 1.2M SF, Philip Johnson-designed tower was named for TC Energy in late 2019. TC Energy Center is in the midst of the second phase of a $16M renovation program to add a large tenant conference center, a coffee lounge and a fitness center. The improvements also include the addition of mezzanine space on levels two and three over the former banking hall, with full-height glass on the Rusk Street side of the building and new windows on the Louisiana Street side.
Phase 1 of the program was completed earlier this year. It included the activation of the former Western Union building at the northeast corner of the project that included a reception area for TC Energy as well as unique, creative office space on the second floor and a future restaurant space on the ground floor. Phase 2 is slated for completion in Q3 2021.
JLL’s Bruce Rutherford and Louis Rosenthal represented the tenant, while CBRE’s John Spafford and Madeline Gregory represented the landlord, M-M Properties.
PEOPLE
Ran Holman joined Newmark Group as executive vice president and market leader for its Texas operations. Holman will head Newmark’s Dallas operations and support its growing presence in a wide variety of business lines across the state, including other major markets such as Houston, Austin and San Antonio. Prior to joining Newmark, Holman served as managing principal in Cushman & Wakefield’s Dallas-Fort Worth office, where he oversaw all commercial real estate services in all Texas markets.
SALES
A private investor purchased Vanderbilt Lodge Apartments, a 105-unit apartment property in west Houston. The buyer intends to continue interior and exterior upgrades to the property, located at 12660 Medfield Drive. Marcus & Millichap’s Jeffrey Fript and Christian Mazzini had the exclusive listing to market the property on behalf of the seller, a private investor. The buyer was also secured by Fript and Mazzini.
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ESCO International Trading LLC purchased a 12.8K SF industrial warehouse on 5.6 acres at 401 North 16th St. in La Porte. The buyer represented itself, while NewQuest Properties’ Dave Ramsey and Brad Elmore represented the seller, APG Industrial LaPorte LLC.
LEASING
Paladon Americas LLC leased a 16.9K SF free-standing industrial property at 14001 Interdrive West in north Houston. Newmark Knight Frank’s David Husid represented the tenant, while Finial Group’s Doc Perrier represented the landlord.
CONSTRUCTION & DEVELOPMENT
Trammell Crow and joint venture partner Artis REIT have broken ground on the fifth and final phase of Park 8Ninety in Missouri City. Phase 5 is scheduled for completion in Q3 2021 and will include three Class-A, speculative industrial buildings totaling 676.9K SF. The 129-acre master-planned business park is located at the intersection of Beltway 8 and US 90A.
To date, over 1.1M SF of industrial space has been developed within the park. The first phase of Park 8Ninety, which was delivered in July 2016, has 439.9K SF and is 100% leased; Phase 2 was delivered in September 2019, has 576.4K SF and is 72% leased. Phases 3 and 4 were completed in 2019 and 2020 as build-to-suits for a total of 133K SF.
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Gardner Capital is expected to complete construction on an affordable senior community, Jubilee at Texas Parkway, in Missouri City this month. The development was made possible through affordable housing financing programs from the Texas Department of Housing and Community Affairs. The community will feature 82 garden-style apartments and is currently leasing. Citibank served as the equity investment partner as well as the construction and permanent lender for Jubilee at Texas Parkway, and GCRE Construction was the general contractor for the project.
FINANCING
Partners Capital, the investment arm of NAI Partners, announced that it has launched Partners Investment Fund IV, the entity’s fourth commercial real estate investment vehicle. The Partners Capital team is looking to raise at least $50M in equity in order to continue its success in identifying and acquiring high-quality office, industrial and retail assets in attractive markets.
Partners Capital, which announced a rebrand to Partners Capital from the NAI Investment Fund earlier in October, has a portfolio of 1.2M SF and over 400 tenants.
THIS AND THAT
Lovett Commercial has announced the first set of vendors for its international market hall at the 550K SF mixed-use POST Houston adaptive reuse project in Downtown Houston. Those new vendors include Salt & Time Butcher Shop, The Butcher’s Burger, Lea Jane’s Hot Chicken, Taco Fuego, GELU Italian Ice and SOUPreme.
POST Houston was designed by architecture firm OMA and partner Jason Long, in collaboration with Houston-based LUCID United Collective of Independent Designers. The project will have restaurants, retail, an international market hall, creative workspace and a 210K SF rooftop park and farm. Future expansion plans include a concert venue, a hotel and an entertainment room.
