New Industrial Company Ventures Into Houston Market With 426K SF Acquisition
Constellation Real Estate Partners and a Crow Holdings Capital-advised real estate fund have acquired nearly 33 acres in Southwest Houston to create two industrial facilities.
The two-building, 426K SF facility, to be designed by Powers Brown Architecture and Langan Engineering at South Post Road, will be called Constellation Post Oak.
One building will be 304K SF and will be cross-dock, while the other will be 121K SF and front-load. The building is designed to be multitenant.
It's the first announced deal for new industrial company Constellation Real Estate Partners, which was founded by former Prologis Managing Director Jeremy Giles and former JPMorgan Real Estate Acquisitions Officer Hien Le.
The project is the latest industrial construction in a market that is only growing due to demand for e-commerce. Last year ended with industry boosts in leasing activity and record imports at Port Houston — 2021 ended with 18.5M SF under construction, according to a CBRE report at the time.
“With a record 28 million square feet of net absorption in the past 12 months, the Houston market has tightened to 6.1% vacancy, providing bulk users, in particular, very limited infill options,” said J.W. Fields, partner at Constellation Real Estate Partners, in a release.
“We are confident that a wide range of users will be attracted to Constellation Post Oak. The location is equally attractive for both traditional distribution using Beltway 8 to service the Houston MSA, and e-commerce fulfillment looking to reach rooftops in inner-loop Houston and fast growing Fort Bend County.”
Colliers' Zack Taylor represented Constellation Real Estate Partners and will lease the facility along with Barkley Peschel, also of Colliers. Construction will begin this June for a second-quarter 2023 completion.
