4 Companies Sign 5 Floors Of Leases In The Woodlands Tower
Three companies moving in and one expansion add up to 134K SF of new office leases at The Howard Hughes Corp.’s 9950 Woodloch Forest Tower.
The new leases will take up five full floors of a 31-story, 600K SF building, one of two towers comprising The Woodlands Towers at The Waterway, according to a Tuesday Howard Hughes announcement.
Kodiak Gas Services, Kraton Corp. and US Oncology Inc. will be new to the building, while Western Midstream Partners is expanding its lease by 27K SF, or an additional floor, to bring its lease to a total of 134K SF. The Woodlands-based Western Midstream gathers, transports and processes natural gas.
The new leases show demand for The Woodlands’ business-friendly environment, low taxes, top amenities and walkability, according to a news release from Howard Hughes.
“Office leasing momentum in The Woodlands remains strong, with a vacancy rate nearly half the level being experienced in Houston’s central business district, exemplifying the flight to quality that is attracting companies across various industries to our community,” Howard Hughes Houston Region President Jim Carman said in the release.
The Woodlands has a total office vacancy rate of 22.8%, below the Houston average of 26.9%, according to Avison Young’s first-quarter 2023 Houston office report. Class-A vacancy is even lower, averaging about 16% throughout Houston, the report shows.
Howard Hughes acquired The Woodlands Towers at The Waterway from Occidental Petroleum in late 2019. Amenities include a two-story, 19K SF fitness center with a court for basketball, volleyball and pickleball, as well as a sprint track, a 33K SF multipurpose rooftop terrace and conference facilities spanning nearly 9K SF.
Kodiak Gas Services, an operator of contract compression infrastructure, is relocating its corporate headquarters from Montgomery, Texas, to The Woodlands with its lease of two floors totaling 53K SF.
Kraton Corp., a producer of specialty polymers and biobased performance products derived from renewable resources, is relocating from North Houston and will occupy a 27K SF floor.
US Oncology Inc. leased a 26K SF floor. The company aids delivery of advanced integrated cancer care through its network of independent physicians, who share expertise and resources. The company is relocating its offices from 10101 Woodloch Forest Drive in The Woodlands.
Anthony Squillante and Drew Coupe of Avison Young represented Kodiak Gas Services.
Reggie Beavan, Adam Grimm and Audrey Selber of Newmark represented Kraton. US Oncology was represented by Steve Andrews of Fischer Corporate Real Estate.
Chad Beck with Cushman & Wakefield represented Western Midstream Partners. Howard Hughes was represented by Bob Parsley, Norm Munoz and Jillian Fredericks with Colliers.
