This Week's Houston Deal Sheet: 509K SF Future Global Distribution Hub Sells
Macquarie Asset Management purchased 59 Logistics Center, a 509K SF distribution center near George Bush Intercontinental Airport that is fully leased to United Airlines.
United Airlines plans to make the building its global distribution hub.
The facility at 17440 U.S. Highway 59 in Humble has a 36-foot clear height, 93 dock-level doors, four drive-in doors and parking for 119 trailers. The purchase includes 9 acres of developable land.
The property was developed, leased to United Airlines and sold to Macquarie by Hunt Southwest Real Estate Development, a Dallas-based developer. Nathan Wynne, Randy Baird, Jonathan Bryan, Ryan Thornton, Eliza Bachhuber and Elliott Dow of CBRE represented Hunt Southwest in the sale of the building.
PEOPLE
KBC Advisors hired John Ferruzzo as its Houston office market leader. Ferruzzo has more than 30 years of experience and specializes in industrial real estate, including tenant and buyer representation, project leasing, property dispositions, build-to-suit projects and investment sales.
Prior to joining KBC, Ferruzzo was the leader of the industrial occupier advisory group at Transwestern. He also spent 20 years at NAI Partners.
SALES
Hines U.S. Property Partners purchased an infill industrial portfolio in Houston as part of a $454M acquisition that also includes two multifamily investments. Boulevard Oaks Business Park is a 1.5M SF Class-A infill industrial portfolio with 10 buildings.
HUSPP is Hines’ open-ended fund targeting assets in top-performing submarkets across the country, and its gross asset value is $2B.
***
Triten Real Estate Partners sold Pederson Logistics Center, a 350K SF building on 22.75 acres, to Sealy & Co. Triten developed and fully leased the property to a single tenant within a year of initiating development.
The Class-A development at 574 Pederson Road in Katy has 36-foot clear heights, cross-docked functionality and office space.
CBRE’s Nathan Wynne represented Triten in the transaction.
***
J. Alan Kent Development acquired 411 acres on FM 1097 in Montgomery for a residential development with 1,000 to 1,200 lots. The land was previously owned by a timber company.
Newcor’s David Alexander and Josh Cheatham represented the buyer. The seller, Forest Timber, was represented by Edge Realty Partners’ Charles Blaschke and Logan Havel.
***
A California-based investment company disposed of a 33K SF shopping center at 6734 Westheimer Lakes N. Drive in Katy. The seller owned the property for 10 years. The buyer is a Houston-based investment group that plans to lease the vacant units and upgrade the asset.
Jared Pinto at Newman Kelly Real Estate represented the seller in the transaction, brought the buyer and generated five offers.
***
Dixon Capital LLC represented itself in buying a 49K SF industrial facility on 7.3 acres at 915 S. Cherry St. in Tomball. Tom Condon Jr. of Colliers represented the seller, JPL Ventures South Cherry LLC. The seller is an investor who acquired the property in a sale-leaseback.
“That tenant defaulted on the lease early in the leaseback period, vacated, and left behind significant deferred maintenance issues. Liquidation of the equipment and operational clean-up also took considerably longer than expected,” Condon said in a news release. “The marketing challenge evolved into needing to identify an all-cash buyer that was willing and able to close quickly.”
Dixon Capital closed within two weeks of contract escrow.
LEASES
Oxford Partners represented Webster Vicknair MacLeod in the sublease of 10K SF at 24 Greenway Plaza in Houston. Oxford Partners’ Ryan Hartsell represented the tenant. The sublessor, Wyatt Ranches of Texas LLC, was represented by Nick Terry of Rifle CRE.
CONSTRUCTION & DEVELOPMENT
Howard Hughes Holdings broke ground on the revitalization of Grogan’s Mill Village Center, which will feature a library, community center and 32K SF of retail space. The center was originally developed in 1974 as the first village center in The Woodlands.
The community center will have a conference room, boardroom, several meeting rooms and a multifunctional meeting hall/ballroom.
In the retail and restaurant portion, Howard Hughes secured long-term leases or signed long-term extensions with businesses including Brother’s Pizza Express, Ome Calli Café, Safeway Driving, The UPS Store, Woodforest National Bank and The Woodlands Cleaners. The new village center is expected to be completed by summer 2025.
FINANCING
Marcus & Millichap Capital Corp. arranged $5M in financing for the purchase of a 112.7K SF building at 14830 Talcott St. in Houston. MMCC’s Adam Pike secured the financing with a local bank on behalf of a multinational company. Terms of the 20-year loan include an 8% interest rate and 20-year amortization.
***
Westlake Securities, a lower-middle market investment bank, is now the exclusive financial advisor to Partners Real Estate in securing dedicated capital to support Partners’ expansion plan in Texas and the Southeast.
Houston-headquartered Partners will use the capital to fuel its mergers and acquisitions and talent acquisition growth efforts, Partners CEO Jon Silberman said in a news release.
