This Week's Houston Deal Sheet: 462K SF Industrial Project Delivery Expected This Year

Stream Realty Partners announced the groundbreaking of Patriot Business Park, an industrial development at 10326, 10328 and 10330 Veterans Memorial Drive in the North Houston submarket.

Patriot Business Park, slated for completion in the third quarter of 2025, will deliver three front-load industrial buildings spanning over 462K SF.

The project is being developed by Investment & Development Ventures LLC in partnership with Standard Real Estate Investments, the project’s investor. Both IDV and Standard are co-owners of the property, with Stream’s Tyler Maner and Jeremy Lumbreras overseeing leasing efforts.

PEOPLE

Junction Commercial Real Estate hired Clayton Nugent to its land brokerage division. A veteran of Dosch Marshall Real Estate, Nugent joins Junction as an associate broker. His primary focus will be procuring land sites for multifamily, residential, industrial and commercial clients.

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Titan Commercial hired Matt Sanderson as director. Sanderson will focus on investment acquisition services and office and industrial leasing. He will also help expand the firm's capabilities in technology-enabled real estate solutions.

Sanderson brings 11 years of national commercial real estate experience to Titan, most recently serving at JLL. Throughout his career, he has negotiated more than 500 transactions totaling over $850M.

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MetroNational, the privately held real estate investment, development and management company behind the 300-acre Memorial City mixed-use development, promoted Scooter Hicks to president on Jan. 1.

Hicks will be responsible for executing the vision and strategic direction of the 70-year-old organization as set forth by the company's CEO, Jason Johnson. Johnson, who previously held the dual role of president and CEO, will continue as CEO of the family-owned and operated company. 

Hicks joined MetroNational in 2013 as a leasing associate. He was promoted to chief operating officer and chief investment officer before becoming president.

SALES

CenterSquare Investment Management acquired Windermere Village, a 31K SF retail property at the intersection of Highway 290 and FM 1960 in Houston. The property is home to retailers, including Tropical Smoothie Cafe, Pure Barre, The Joint Chiropractic, Marco’s Pizza and Edible Arrangements. 

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ASC Solutions LLC bought a 16K SF building at 5611 Clinton Drive in Houston. Oxford Partners’ Perry Mazzone and Matt Rogers represented the buyer. Loren Miner and Bobby Tyson of Eastwood Realty represented the seller.

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A private investor bought Ten Plaza West, a 105K SF, Class-B office property in West Houston. The asset is 76% occupied by a variety of tenants, including companies in the oil and gas, construction, financial services and law industries.

JLL’s Capital Markets Investment Sales and Advisory team led by Marty Hogan represented the seller, Parkview Financial. 

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Galium Capital purchased Lockton Place, a 187K, Class-A office building in Houston’s Westchase. JLL represented the seller, Triten Real Estate Partners and Affinius Capital.

Completed in 2017, the eight-story Lockton Place is more than 96% leased. It is anchored by Lockton Companies, the world's largest privately held insurance brokerage firm. JLL’s Hogan, Rick Goings and Kevin McConn represented the seller. 

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Gaia Real Estate’s fully discretionary REIT acquired Virage on Memorial, a 372-unit Class-A apartment community in Houston. Constructed in 2014, Virage is a six-story, mid-rise property in the Washington Avenue-Memorial submarket. The property is fully leased. 

Attorneys Moty Ben Yona of Smith, Gambrell & Russell LLP and Stuart Lautin of Higier Allen & Lautin PC represented Gaia.

LEASES

Texas Health School renewed its 13K SF lease at 11511 Katy Freeway in Houston. Oxford Partners’ Ryan Hartsell represented the tenant.

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Plains Marketing LP extended its 260K SF lease at Brookfield Properties’ Three Allen Center. Plains Marketing was represented by Trey Strake, David Guion and Chris Oliver of Cushman & Wakefield. Brookfield Properties was represented in-house by Tyler Merritt and by CBRE's Bubba Harkins, Jenny Sealy and Kristen Rabel.

CONSTRUCTION & DEVELOPMENT

Developers broke ground Wednesday on EMLI at Mesa Gardens, an affordable housing development at 10199 Mesa Drive in Houston. EMLI at Mesa Gardens will transform a former baseball field into a residential development with 300 units of affordable, energy-efficient housing. 

The development is a collaboration between the Harris County Housing and Community Development Department, which provided ARPA funding; the Harris County Housing Finance Corp., the general partner and land owner; Houston Housing Finance Corp., which provided bond funding; East Houston Athletic Club and AMD Development. Low-Income Housing Tax Credit equity and tax-exempt financing was provided by R4 Capital and R4 Capital Funding.  

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A Class-A, four-story, 40K SF office building at 6932 Brisbane Court in Sugar Land is set to deliver this quarter. It was designed by Tramonte Design Studio.

Modisoft selected Partners Real Estate as the leasing agent for the building. Vince Strake will lead leasing efforts. The building will also serve as Modisoft’s new headquarters. About 18K SF remains available for lease.

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Triten Real Estate Partners acquired a 25-acre site in North Houston to develop a 393K SF industrial facility. At FM 1960 and Kenswick Drive, the FM 1960 distribution center is scheduled to begin in the first quarter of 2025, with project delivery anticipated by fall 2025.

FINANCING

IPA Capital Markets secured acquisition financing for The Trails at Dominion Park in Houston. IPA worked on behalf of the borrower, SITG Capital, to secure 5-year CMBS financing. The financing included a fixed rate of 6.2%, 69% leverage and full-term interest only. 

The 843-unit community is 90% occupied. Sunny Sajnani and Travis Headapohl represented the borrower.