This Week's Houston Deal Sheet
Wolff Cos. has acquired 43 acres fronting U.S. Highway 290 in Waller County, complementing the developer’s existing 521 acres that have been earmarked for the master-planned community Beacon Hill.
The two parcels will create a 564-acre master-planned environment within the city of Waller extraterritorial jurisdiction.
"The excellent location at the four-way interchange on U.S. 290 and James R. Muse Parkway, as well as proximity to Beacon Hill and the resulting easy access to utilities make the property very attractive and allow for a variety of potential uses, including retail, light industrial and flex space," Wolff Cos. Chairman and President David Wolff said in a statement. "We see the property as a natural extension of our Beacon Hill project."
Beacon Hill is planned to feature a 251-acre business park with uses ranging from light industrial and distribution to office, multifamily and retail, supported by utilities and services from the city of Waller. The property has already received $8M in infrastructure investment to-date.
Long Lake is developing a master-planned residential community on the remaining northernmost 270 acres of the tract, featuring approximately 870 houses priced from the low $200s to the mid-$400s. Model homes now under construction are expected to be open in June 2021. The first residential deliveries are also anticipated for summer 2021.
PEOPLE
PwC Global Leader, Oil & Gas, partner Niloufar Molavi assumed leadership of the Central Houston Inc. board on Jan. 8. Molavi has served on the CHI board since 2011 and chairs the organization’s innovation committee. As board chair, she will focus on the organization’s near-term and long-term strategic priorities, which include facilitating Downtown Houston’s economic recovery following the coronavirus pandemic and maximizing opportunities for civic enhancements related to TxDOT’s North Houston Highway Improvement Project.
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CBRE has promoted Lucian Bukowski of Advisory & Transaction Services to vice chairman, the highest title ranking among sales professionals at the firm. Bukowski specializes in tenant representation, including corporate headquarters leases, site selection, leasing and acquisitions. Bukowski has completed corporate headquarters leases for 20 publicly traded companies, two synthetic leases with loan amounts in excess of $550M, and numerous anchor/lead tenant leases resulting in over 2.1M SF of new construction.
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Land sales brokers Alex Makris and Jeff Pittman joined NAI Partners as senior vice presidents. Both Makris and Pittman were previously at CBRE. Most recently, the pair was responsible for putting together the 521-acre Beacon Hill master-planned community project in Waller, representing the landowner in the transaction.
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Powers Brown Architecture promoted Bruce Walck to president. Walck will be responsible for the overall operations and efficiencies of the firm, plus developing strategic initiatives to expand its multifamily portfolio and grow the manufacturing, medical and industrial project work in new and existing markets in North America. Walck joined Powers Brown in 2003 as a project manager and was named the firm’s first new principal in 2008. In addition to working at the firm’s Houston headquarters, Walck established Powers Brown’s offices in St. John’s, Newfoundland, in 2015 and Toronto in 2017.
SALES
Geirin North Shepherd LLC purchased an 84.2K SF multi-tenant industrial building at 5708 North Shepherd Drive. Transwestern’s John Ferruzzo and Nick Peterson represented the buyer, while Boyd Commercial’s David Munson and David Boyd represented the seller, the estate of Frank D. Adams.
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An undisclosed buyer purchased Cajun Self Storage, a 104.8K SF self-storage facility in Fresno in southwest Houston. The facility, located at 2935 FM 521 Road, features 323 climate-controlled units, 201 non-climate-controlled units, 38 enclosed parking spaces, one office and one warehouse. The facility was built in 2005 and expanded in 2015. Marcus & Millichap’s Brian Kelly, Brett Hatcher, Gabriel Coe and Jack Newman had the exclusive listing to market the property on behalf of the seller. The buyer was secured and represented by Kelly, Hatcher and Coe. Marcus & Millichap’s Tim Speck assisted in closing the transaction.
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Westcore acquired a 4.1M SF industrial real estate portfolio over nine major U.S. markets across the nation, including two properties and land in Houston. Those properties were Gateway Southwest I and II, amounting to 348.6K SF, as well as 11.3 acres. The overall portfolio contains 17 Class-A buildings constructed between 2016 and 2020 and two land sites. Westcore purchased the portfolio from USAA Real Estate for an undisclosed sum. Westcore represented itself in the transaction, while CBRE’s Jack Fraker and Ryan Thorton represented the seller. CBRE’s Val Achtemeier and Mark McGovern led placement of new debt for the deal.
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An undisclosed buyer purchased Chartwell Court Apartments in north Houston. The 253.6K SF property is about 2 miles west of I-45 and about 17 miles north of Downtown Houston. The 243-unit community is a complex of 20 two-story buildings, a leasing office and a clubhouse. Berkadia’s Ryan Epstein, Jennifer Ray and Scott Bray brokered the transaction on behalf of the owner, Chartwell Court Apartments Ownership.
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Cavender’s purchased 1.75 acres in Village Crossing, Rosenberg, to construct a new Cavender’s Boot City retail location. Cavender's is the first deal inked in Village Crossing, a mixed-use property located on I-69/US 59 between Reading Road and FM 2218 in Fort Bend County. Sabre Properties’ Sharon Biles represented the buyer, while JPR Commercial Real Estate’s Jennifer Raymond represented the seller.
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A Houston-based private investor purchased Texas City Two Property Portfolio, a 36.9K SF self-storage portfolio at 1724 Texas Ave. and 2424 Texas Ave. in Texas City. Marcus & Millichap’s Dave Knobler had the exclusive listing to market the property on behalf of the seller, a private investor. The buyer was also secured by Knobler.
LEASES
Vroom leased 102.5K SF at Westchase Park II, at 3600 West Sam Houston Parkway South. The transaction backfilled two floors, taking advantage of an existing build-out. As a result of the lease, the building is now 92% occupied. JLL’s Louie Crapitto represented the tenant, while Transwestern’s Eric Anderson, Parker Burkett and Katy Gragg represented the landlord.
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Winsupply leased 65.7K SF at Cole Creek Business Park, 8708 West Little York Road. Stream Realty Partners’ Donica and Tyler Maner represented the tenant, while CBRE’s Faron Wiley represented the landlord, Clarion Partners.
CONSTRUCTION AND DEVELOPMENT
Australian developer Caydon announced it is launching the first high-rise condominium tower in Midtown Houston. The 32-story, 191-condo Fitzroy Residences will be the second phase of the 2.5M SF mixed-use development Laneways. Designed by Caydon Architecture & Design, in collaboration with The Preston Partnership, the tower will be a hybrid of condos and Midtown’s first boutique hotel, a Houston flagship operated by Kimpton Hotels & Restaurants.
Fitzroy Residences will offer 16 studios with an average of 567 SF, 128 one-bedroom homes ranging from 630 SF to 1,099 SF, 86 two-bedroom homes ranging from 1,107 SF to 2,167 SF, and four three-bedroom penthouses ranging from 1,686 SF to 2,243 SF. Pricing ranges with studios starting at $279K, one-bedrooms from $285K, two-bedrooms from $730K and three-bedroom penthouses from $1.45M.
The five-phase Laneways mixed-use development will span three city blocks bordered by Main Street, Fannin Street, Tuam Street and McGowen Street. The first phase of the project was Drewery Place, a 357-unit luxury apartment building.
FINANCING
JLL Capital Markets arranged refinancing for Memorial Park Place, a five-story, 80.4K SF office property at 550 Westcott St. Working on behalf of Gupta Partners, JLL placed the 10-year, fixed-rate loan with TIAA Commercial Finance, a division of TIAA Bank. The property was built in 1984 and is undergoing a rebranding and renovation that includes upgrades to the common areas, lobby, facade and exterior areas. The property is 91% leased to 33 tenants. JLL’s Michael Johnson and Kevin McConn represented the borrower.
