JUNE 2018
YOUR COMMERCIAL REAL ESTATE MARKETING SOURCE
CcN N ECTlcN
N.
FOSTER RD.
INDUSTRIAL PARK
ST RIAL LAND SITES FOR SALE
@
CAL TURNER DR.
SAN ANTONIO, TEXAS
I
UP TO
+ 222 ACRES
Inside:
More than just a warehouse The diverse industrial market in Texas The sky’s the limit Taking flight with Pro Aire Aerial Photography Leverage for Lending Texas’ market creates new opportunities
DOLLAR GENERAi:. ��
350 acre master-planned industrial park in the Interstate IO East corridor in the City of San Antonio. Easy to access to Loop 410, Interstate I 0, Interstate 35 and the new State Highway 130 Toll Road. CC&R's are in place to maintain the integrity of development within the Park. Ideal for both light and heavy industrial users, Metal buildings and outside storage allowed with 1-2 zoning.
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Sites will be delivered with utilities and access in place. Build-to-suits and ground leases available.
STREAM
WWW.CONNECTIONIN DUSTRIALPARK.COM
210.930.3700
±90 ±90ACRES ACRES
US US HIGHWAY HIGHWAY 90 90
HOUSTON, HOUSTON, TEXAS TEXAS 77048 77048 • The • The subject subject property property is made is made up ofupfive of five tracts tracts of land of land totaling totaling approximately approximately 90.890.8 acres acres • Minimum • Minimum clearclear height height of buildings: of buildings: Eaves Eaves are are ±18’-20’ ±18’-20’ high,high, bay bay doordoor openings openings ±14’-16’ ±14’-16’ highhigh • Facility • Facility has been has been a tubing a tubing process process plantplant sincesince the early the early 1980’s 1980’s and and is comprised is comprised of six of six buildings buildings withwith an elevation an elevation of ±40’ of ±40’ above above mean mean sea level, sea level, withwith smallsmall variations variations in elevation in elevation • Entire • Entire facility facility is fenced is fenced in with in with contracted contracted security security in place in place For pricing For pricing and and moremore information, information, contact contact broker. broker.
KRISTEN KRISTEN MCDADE MCDADE Senior Senior Director Director | Berkadia | Berkadia T: +1 T: 713 +1469 713 469 45094509 kristen.mcdade@berkadia.com kristen.mcdade@berkadia.com
NOAH NOAH KRUGER KRUGER Managing Managing Director Director | Savills | Savills Studley Studley T: +1 T: 713 +12375527 713 2375527 nkruger@savills-studley.com nkruger@savills-studley.com
MATT MATT DAVIS DAVIS Associate Associate | Berkadia | Berkadia T: +1 T: 713 +1974 713 2407 974 2407 matt.davis@berkadia.com matt.davis@berkadia.com
© 2017© Berkadia 2017 Berkadia Real Estate RealAdvisors Estate Advisors LLC andLLC Berkadia and Berkadia Real Estate RealAdvisors Estate Advisors Inc. Berkadia® Inc. Berkadia® and Berkadia and Berkadia Commercial Commercial Mortgage® Mortgage® are trademarks are trademarks of Berkadia of Berkadia Commercial Commercial Mortgage Mortgage LLC. Investment LLC. Investment sales and sales realand estate realbrok es origination origination and servicing and servicing businesses businesses are conducted are conducted exclusively exclusively by Berkadia by Berkadia Commercial Commercial Mortgage Mortgage LLC andLLC Berkadia and Berkadia Commercial Commercial Mortgage Mortgage Inc. In California, Inc. In California, BerkadiaBerkadia Real Estate RealAdvisors Estate Advisors Inc. conducts Inc. conducts businessbusiness under CA unde Re Mortgage Inc.CA under RealBroker EstateLic. Broker Lic. #01874116. state licensing details for theentities, above entities, visit: www.berkadia.com/legal/licensing.aspx Mortgage Inc. under RealCA Estate #01874116. For stateFor licensing details for the above visit: www.berkadia.com/legal/licensing.aspx
LAUREN LAUREN GEARY GEARY Transaction Transaction Manager Manager | Berkadia | Berkadia T: +1T:346 +1 346 444444 8968 8968 lauren.geary@berkadia.com lauren.geary@berkadia.com
state real estate brokerage brokerage businesses businesses are conducted are conducted exclusively exclusively by Berkadia by Berkadia Real Estate Real Estate Advisors Advisors LLC and LLCBerkadia and Berkadia Real Estate Real Estate Advisors Advisors Inc. Commercial Inc. Commercial mortgage mortgage loan loan ss er under CA Real CAEstate Real Estate BrokerBroker Lic. #01931050, Lic. #01931050, Berkadia Berkadia Commercial Commercial Mortgage Mortgage LLC under LLC under CA Finance CA Finance LenderLender & Broker & Broker Lic. #998-0701, Lic. #998-0701, Berkadia Berkadia Commercial Commercial
IN THIS ISSUE
8
12 26
16
Market
Sales & Leases 1-3, 5, 7, 10, 11, 13, 15, 17, 19, 21 - 23, 25
Services
Environmental Services 30, 43 Legal Services 13 Photography 11, 25 Real Estate Loans 19, 44
Scoop
Events 32, 34, 36 Social 33, 35, 37 Bulletin 38-40
Features
More than just a warehouse 8 - 9 The sky’s the limit 16 Leverage for Lending 18, 20 CIVIL FAIR PLAY Dealing with Deed Restrictions 28 - 29 RAY'S BUZZ O’Connor & Associates Land Forecast 12, 14 UH Bauer College Institute for Regional Forecasting 24 Interview with David Adickes 26 - 27
4
JUNE 2018
PORTWALL DISTRIBUTION CENTER Attractive Office/Warehouse Service Center
530 - 542 Portwall Street | Houston, TX 77029
8 1 1 9 E L AVAILAB,620 SF 144
542 PORTWALL 81,800 SF
530 PORTWALL 62,820 SF
LEE PARIS 713.461.9696 Ext. 1440 281.630.4255 lparis@warehouseassociates.com DAVID R. DAVID 713.461.9696 Ext. 1454 713.461.7117 david@wadevelops.com
PORTWALL STREET
• Fully Sprinklered • 5,650 SF Office • Large Fenced Truck Apron • 32 Overhead Doors • Two Buildings that share a common truck apron: 81,800 SF and 62,820 SF • 20’ Clear Height • Bondable Warehouse and Yard
Letter from the Publisher
YOUR COMMERCIAL REAL ESTATE MARKETING SOURCE
PUBLISHER
Ginger Wheless ginger@REDNews.com
EDITOR
Margie Gohmert info@REDNews.com
STAFF WRITERS
Dear Readers,
As I write this I know that many of you are en route to Las Vegas for ICSC. I hope you have great success, get a lot of deals done and arrive home happily exhausted.
Last month renown Texas economist Dr. Mark Dotzour told us the market is the best he has seen in twenty years and Dr. Bill Gilmer, Director, Institute for Regional Forecasting at University of Houston somewhat echoed that sentiment last week at his regional forecast stating that our economy is on solid footing.
Financing specialists Bill Dampier & Vince Di Mare talked with us about the amount of pent-up capital for commercial real estate that is available and they are equally bullish on the market as is Kirk Laguarta with Land Advisors, who predicts 200,000 acres of land selling over the next twenty years for Houston growth expansion. I’m sure many of you recognize David Adickes artwork throughout Texas; however, how many of us knew he is as talented at real estate investing as he is sculpting? (See Ray’s article on Pages 26-27.)
Janis Arnold janisarnold1@gmail.com Ray Hankamer rhankamer@gmail.com Brandi Smith info@REDNews.com
CONTRIBUTING WRITERS
Omar Izfar oizfar@wcglaw.com
MANAGING DIRECTOR
Benton Mahaffey accounting@REDNews.com
EMARKETING DIRECTOR
Rahul Samuel emarketing@REDNews.com
CREATIVE DIRECTOR
Steven Smith digital@REDNews.com
SALES
Ginger Wheless ginger@REDNews.com
PRINT & DIGITAL DISTRIBUTION
REDNews is directly mailed each month to commercial real estate brokers, investors and developers throughout Texas and the US.
Next month we’ll have a retail recap in our July issue, so please let us know how you fared at ICSC Las Vegas. I hope you have plans for a fabulous summer vacation!
Texas Brokers: 8,150 Texas Leasing/Tenant Rep: 6,232 Texas Investors: 4,979 Texas Developers: 4,710 Outside Texas Investors, Brokers, Developers etc: 26,387
Best Regards,
TOTAL QUALIFIED REDNews DISTRIBUTION: 50,458 REDNews has gone green using recycled paper. Thank you Midway Press!
Ginger Wheless
To subscribe to REDNews call (713) 661-6300 or log on to REDNews.com/subscription. 2537 S. Gessner, Ste. 126 Houston, TX 77063
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More than just a warehouse
The diverse industrial market in Texas BY BRANDI SMITH
Stretching across 4,000 acres in Northeast Houston, McCord Development’s Generation Park is a kind of mini-reflection of the largest city in Texas. It is a mixed-use development loaded with every kind of commercial real estate opportunity - from residential to office, retail to industrial.
One of the first tenants to plant a flag in Generation Park was FMC Technologies, now TechnipFMC, which opted to locate its 173-acre, state-of-the-art corporate campus there. Already 2,000 employees strong, the company currently has a footprint of 1 million-squarefoot and room to grow in its next phases. “I think it took landing TechnipFMC to get people thinking, ‘Wow. This is actually a great location,” McCord says. “Now we’re just seeing people piling on at this stage. It’s very exciting.” A possible reason for excitement is reports of a possible IKEA distribution center coming to Generation Park, something about which McCord was unable to comment. He did add, however, that the property is getting “a lot of interest from large, national retailers” focused on last-mile distribution and fulfillment. Those are far from the only companies considering or already making a move to the development. McCord says plans include some smaller-scale industrial buildings for local Houston companies, citing GHX Industrial as an example. The anchor of the new Lockwood Business Park spans 10 acres, opposite TechnipFMC’s campus. “Because of the space available here, they were able to combine their headquarters along with their regional distribution facility,” he explains “We’re working on several other similar industrial uses. We find that they like the close proximity to a mixed-use environment rather than being isolated in an ‘industrial area’.” By contrast, Generation Park’s proximity to hotels, multi-family housing and restaurants provides additional incentive. “We all eat lunch every day. We like to have nice places to go, but still be able to run a really competitive business and have low operating cost,” McCord says.
“One of the very unique attributes of Generation Park is our large scale and our close proximity to downtown,” says Ryan McCord, the company’s president.
He adds that those small businesses may not get as many headlines as a large retailer, but landing them is just as exciting for McCord Development. “They’re the ones running Houston,” he points out.
“I’m really excited about maintaining a ratio where we have a significant portion of industrial companies at Generation Park actually making things and creating value” - Ryan McCord A glance around Texas will show you industrial is running markets all over the state. Even as projects under construction grew to 30.6 million square feet in the first quarter of 2018, net absorption increased and the vacancy rate dropped below 6 percent. The majority of those new projects are going in up in Dallas, where 19.3 million square feet of industrial space is under construction, according to CBRE. Houston, which can boast the second-most, has less than half the square footage being built. Industrial appears to be at a premium in Austin, however. Though the vacancy rate hovers just over 10 percent average asking rent there is up to $9.87 a square foot, compared to El Paso’s $4.30. In San Antonio, delivered construction topped 2.2 million square feet in 2016 and 2017, setting the bar high for this year. It’s a benchmark Payton Rion and Michael Kent of Stream Realty think the market could get close to in 2018. “San Antonio’s industrial market is strong. We are continuing to see higher rates and healthy occupancy throughout the core submarkets,” says Rion, an associate at Stream. “The demand for new class A warehouse
RYAN MCCORD MCCORD DEVELOPMENT
MICHAEL KENT STREAM REALTY
is at an all-time high, and with approximately 1.7 million square feet currently under construction, developers are trying to capitalize on this market trend.” Rion, who joined the company’s industrial and land team three years ago, and Kent, a vice president who has been with Stream since 2012, say they believe in the San Antonio industrial market. “With our partners, we have been able to recently deliver a total of 600,000 square feet of speculative Class A warehouse space in San Antonio, says Kent, adding that in addition to that, “Stream owns and/or is marketing a total of 285 acres of industrial land available for sale, continued development and built-to-suit projects.” “I thrive on the ability to be a part of a project and see something created start to finish. That’s what lured me, and I’m sure a lot of people, into the business,” Rion adds. “Taking a raw piece of land or an old rundown building and creating something people can use and enjoy is pretty special.” The industrial market has offered plenty of those opportunities in the past few years, especially as e-commerce has grown. “As people’s day-to-day routines continue to change and shift to an online shopping experience, we are seeing the demand for not just more warehouse space, but more functional and efficient warehouse space,” says Rion. “Distribution companies need to get their product from
PAYTON RION STREAM REALTY
A to B faster and more cost effectively than ever before to keep up with the consumer demands.” That’s putting an emphasis on last-mile distribution facilities, which now account for 3.8 billion square feet of the state’s industrial space. “We are seeing these requirements particularly in infill locations close to dense residential areas,” Kent explains. “It’s impact on industrial development is making sure that you have the right location with easy access to major highways in order to navigate and serve the city quickly and efficiently.” That mix of logistics and e-commerce, plus a growing population, is what McCord says is behind the industrial boom in Texas, specifically in Houston. The Port of Houston, he points out, is doing an “exceptional job” growing the region’s container-handling capacity.
“As people’s day-to-day routines continue to change and shift to an online shopping experience, we are seeing the demand for not just more warehouse space, but more functional and efficient warehouse space” - Payton Rion
“You couple those things and all of a sudden, it makes tremendous sense for companies that may previously have not had a substantial facility in the Houston area to want to locate a facility here,” explains McCord. “They can benefit from the port and serve an enormous local population.”
‘special sauce.’ While we’re seeing a big surge in these larger-scale distribution centers, which I think is exciting and great for the region, I’m really excited about maintaining that ratio where we have a significant portion of industrial companies at Generation Park actually making things and creating value.”
Generation Park offers easy access to that population, just a 20-minute drive from downtown.
He points to future tenants that would range from pharmaceutical, to medical devices, to traditional, energy-centric fabricators and beyond.
“We’re remarkably central in that pursuit,” McCord adds. He says that, going forward Houston’s unique industrial market, which has historically leaned on manufacturers or other value-add companies, will continue to draw attention for more than just warehouse space. “These businesses are taking either raw materials or slightly modified goods and then combining them to create something with even more value,” says McCord. “I think that’s a big part of Houston’s
“I think Houston’s going to enter into a very exciting chapter where we capitalize on the chemistry sector of our economy, as well as the medical sector and the global connectedness of this city from a trade, transportation and transit perspective,” McCord says. Rion has similar expectations for San Antonio, which he says is flourishing. “This cycle has been big for industrial real estate. The market is constantly changing and the needs from the tenants will continue to grow as consumer trends fluctuate,” he says. “However, we believe the fundamentals of industrial will stay the same for a long time to come; people will always need a place to store stuff.” Indeed, they will, and the industrial CRE professionals all across Texas will be happy to help them find that place when needed. JUNE 2018
9
COMPETITIVE LEASE RATES FOR NEW CONSTRUCTION CALL TODAY FOR DETAILS! OUSEE H E R WA 4.5 ACR RD & AGE YA T S OR
8436 KOPMAN, HOUSTON, TX 77061
CALL FOR OFFERS Offers due by July 17, 2018 10893 Shadow Wood Drive Houston, TX 77043
30,000 sq ft warehouse crane ready (20 -ton crane capacity). 3,000 sq ft shell office. 30 ft clear height. +/- 4.5 acres additional yard available.
INVESTMENT PROPERTY WITH TWO TENANTS
8436 KOPMAN
CONTACT: Scott Wilkerson (T) 713-522-3092 (C) 832-364-9133 Scott@GarverRealEstate.com
Building Lease
Hammerly
• ±15,750 sq. ft. office warehouse on ±1.522 acres • Lease expires 5/4/2024 with renewal rights Shadow Wood
Yard Lease • • • •
Brittmoore
CLOSE TO HOBBY AIRPORT EASY ACCESS HOBBY AIRPORT TO I-45
±0.8691 acres Fenced & stabilized Leased as parking New five year lease
8 Westview
10
B. Kelley Parker III, SIOR (713) 963 2896
Coe Parker, SIOR (713) 963 2825
John F. Littman, SIOR (713) 963 2862
Kelley.Parker@cushwake.com
Coe.Parker@cushwake.com
John.Littman@cushwake.com
Cushman & Wakefield of Texas, Inc. 1330 Post Oak Boulevard, Suite 2700 Houston, TX 77056
MULTI-USE TRACT IN PRIME WEST HOUSTON 12249 Katy Freeway (I10 West)
36,340 SF
IDEAL FOR
•
Event/Association Facility Extended Care | Wedding or Party Hall
• • • • •
•
••
•••
HILTON GARDEN INN
PAPA’S RESTAURANT
•Walking distance to hotels •Numerous restaurants •Close to Memorial Hermann Medical Center
SITE •HOTELS •RESTAURANTS MEMORIAL HERMANN MEDICAL CENTER
Robert C. Watson Associates, Inc. Robert C. Watson, CCIM 713-465-3100 Cell: 281-723-3180 rcwatsonre@gmail.com
ray’s buzz BY RAY HANKAMER rhankamer@gmail.com
O’Connor & Associates Land Forecast Luncheon Speaker: Kirk Laguarta / Land Advisors Bullet Points: • L arge master-planned communities of the future will be near the Grand Parkway and beyond. •D evelopers who used to access the huge sums needed from banks now access them from equity investors who have a medium- to long-term horizon. These investors are from the money centers and are yield-driven.
KIRK LAGUARTA
• S ome large developers have been acquired by or have very close relationships with their sources of their funding. The developers have in some cases traded potentially higher profits for lower risk. • T he Houston economy has many ‘drivers’ and lot development has continued apace even through the periods when oil prices dropped. This give assurance to investors.
•W e have averaged over 18,000 home starts annually for over 20 years, far more than any other large U.S. city, and in 2017 we had 27,000 starts. • T he land transactions for large master-planned communities are very complex, but lead time in Houston needed for entitlements (governmental approvals) are still shorter than in most other markets, which enables Houston homebuilders to give more home for the money. • E quity investors seek only the developers with the most sterling reputations. •W ith all the population growth in the far-flung parts of the area, roads are important, and toll roads will be the solution, since TXDOT has limited funds. Continued on Page 14 >
A
Annual Employment Change Jobs Added or Lost Annually
Houston 1st Qtr 2018
B
20 Years of Growth 2016 Houston MSA POPULATION ESTIMATE : 6,807,947
1991 ‐ 2000 Grew 82,000 annually 2001 ‐ 2010 Grew 120,000 annually 2011 ‐ 2020 Projected 142,000 annually
Average monthly change in non‐farm employment. Source: Texas Workforce Commission, Land Advisors Land Advisors Organization © 2018 All Rights Reserved While Land Advisors Organization makes every effort to provide accurate and complete information, there is no warranty, express or implied as to the accuracy, reliability or completeness of furnish data.
12
JUNE 2018
Source: US Census Bureau Land Advisors Organization © 2017 All Rights Reserved While Land Advisors Organization makes every effort to provide accurate and complete information, there is no warranty, express or implied as to the accuracy, reliability or completeness of furnish data.
GReenberg & Company Commercial Real Estate Brokerage Firm
RETAIL SPACE AVAILABLE | GREAT LOCATIONS
er’s Rights 4001 Richmond Ave | Houston, Tx 77027
omain RETAIL SPACE AVAILABLE
9703 Westheimer Rd | Houston, Tx 77063 RETAIL SPACE AVAILABLE
High Traffic | High Exposure | Excellent Visibility
Great Signage | Major Thoroughfare | Westchase District
Kirby Area. It sits on the corner of Richmond and Weslayan.
This is a two-story Building situated on the Southwest corner of Westheimer Road and S. Gessner. It’s West of Loop 610 and The Galleria, South of the Katy Freeway and one mile East of the Sam Houston Parkway.
s • Power This Lines is a multi-tenant shopping center located in the Greenway/Upper
aw.com
Building Size: 7,096 SF | Lot Size : 0.5 Acres
lterLaw.com
Space Available: 2,223 SF
Price : Call For Details
Building Size: 4,480 SF | Lot Size : 0.35 Acres Space Available: 4,480 SF
3815 Richmond Ave | Houston, Tx 77027 RETAIL SPACE AVAILABLE High Traffic | High Exposure | Excellent Visibility
This is a multi-tenant shopping center located in Greenway Plaza. It sits on the Southeast corner of Richmond at Weslayan. Easy access to I-69, 610 Loop, and the Westpark Tollway.
Building Size: 4,144 SF | Lot Size: 0.2 Acres Space Available: 2,175 SF
Price: Call For Details
Price : Call For Details
5959 Richmond Avenue, Suite 440 Houston, TX 77057 WWW.GREENBERGCOMPANY.COM
Broker Contact: David Greenberg | Phone: 713-778-0900 EMAIL: DAVID@GREENBERGCOMPANY.COM
DEVELOPMENT ACREAGE HIGH GROWTH FORT BEND COUNTY & BRAZORIA COUNTY
6
Protecting Property Owner’s Rights
EMINENT DOMAIN Compensation for: • Roads • Pipelines • Power Lines www.ShowalterLaw.com 281-341-5577 Info@ShowalterLaw.com
1
3 4
5 2
1) 10 acres close to I45 & 4) 1.2 acres - Build to suit / FM 646 (1600 Bess Rd.,) ground lease pad site: US Dickinson/League City: 59 @ Reading RD., Brazos $500,000 Town Center 2) 3 acres on FM 762 5) 38 acres on FM 2759 between George Ranch near Grand Parkway and and Brazos Bend State FM 762 in Fort Bend Park. Fort Bend County: County. $1,700,000 $199,990 6) Premium custom home 3) Development opportunity lots in Lakes of Mission in Fort Bend, Pecan Grove Grove, Fort Bend County: area: 1.75 acres on FM 359/ 1 acre; low taxes Mason RD. $715,000
First Warranty Realty Seth Showalter 713-269-4908 seth@firstwarrantyrealty.com
< Continued from Page 12
Takeaway: Houston’s projected growth boom will require the acquisition of land and its development into residential lots at the rate of 10,000 acres per year, or 200,000 acres over the next twenty years. Houston has led the nation’s other large cities for many years in new home starts and will continue to do so.
•D evelopers and investors are very conservative and attentive to flooding issues, and there was minimal flooding from Harvey in master-planned communities built in the last fifteen years.
D
Large Acreage Sale by Year 30000
• $250,000 buys a much nicer home in Houston than in most other major markets.
25000
•H ouston residential developers can look forward to long steady growth. Currently developers are delivering lots on a planned just-in-time basis, which takes careful planning.
20000
15000
10000
C
5000
Probable growth areas of the future
0
2012
2013
2014
2015
2016
2017
YTD2018
Land Advisors Organization © 2017 All Rights Reserved While Land Advisors Organization makes every effort to provide accurate and complete information, there is no warranty, express or implied as to the accuracy, reliability or completeness of furnish data.
E
Houston Land Market • From 2009 to mid 2012 there were 4 large acreage tracts sold totaling 3,400 acres. • Between mid 2012 and mid 2018 there were 71 large acreage sales 300± acres or larger. Since 2015, there have been 19 sales. • 2012 – 15 sales • 2013 – 16 sales • 2014 – 13 sales • 2015 – 9 sales • 2016 – 5 sales • 2017 – 11 sales • 2018 YTD – 3 sales • Approximately 75,000 MPC acres sold since mid 2012. • Since 2013, Houston has average home starts of 27,000/year. Land Advisors Organization © 2017 All Rights Reserved While Land Advisors Organization makes every effort to provide accurate and complete information, there is no warranty, express or implied as to the accuracy, reliability or completeness of furnish data.
A) Source: Texas Workforce Commission, Land Advisors B) Source: US Census Bureau C - E) Source: Land Advisors Organization Land Advisors Organization © 2017 All Rights Reserved While Land Advisors Organization makes every effort to provide accurate and complete information, there is no warranty, express or implied as to the accuracy, reliability or completeness of furnish data.
14
JUNE 2018
While Land Advisors Organization makes every effort to provide accurate and complete information, there is no warranty, express or implied as to the accuracy, reliability or completeness of furnish data.
retail | office | medical | space for lease 2,340 SF available on second floor. Base rent $15.00 PSF & NNN $4.20 PSF
Excellent for retail, office or professional use
2,671 SF end cap on first floor, one lane drive through attach; Base rent $24.00 PSF & NNN $4.20 PSF
2 blocks west of Beltway 8
Kaleidoscope 10612 Westheimer Houston, 77042
WoodlanD Park Shopping Center
800 -7,350 SF available on first floor. Excellent for medical office. Base rent $15.00-$18.00 PSF & NNN $4.80 PSF
11380 Westheimer Houston, 77077
A A Realty Realty Co AA Co
Accredited Management Management Organization Accredited Organization
For more information call : Kenneth K.Y. Leung 281.467.3535 713.988.0888 x108 eleung8888@aol.com www.aarealtytx.com
+/- 592â&#x20AC;&#x2122; of frontage on Westheimer
372 surface parking spaces available
Traffic counts - 82,880 CPD (Westheimer)
Pylon signage available
Aggressive lease terms
The sky’s the limit:
Taking flight with Pro Aire Aerial Photography BY BRANDI SMITH
If a picture is worth a thousand words, the images captured by Pearland, Texas-based Pro Aire Aerial Photography are virtually priceless. However, they don’t come with the price tag you’re probably expecting.
“A lot of people don't realize how inexpensive it is,” says owner Deana Waddell. A couple times a week, she’s up in a plane, photographing properties all over the greater Houston area from an average height of 1,500 feet, though flying even higher is an option for larger properties. “It’s really as simple as opening up the window,” Waddell explains. “We use our high-resolution cameras and telephoto lens to capture all angles to enhance a property.” While Pro Aire covers Brenham to Beaumont, everywhere in between and other parts of Texas, Waddell admits she has a favorite. “I love doing skyscrapers and downtown projects. The pictures are very cool and intriguing,” she laughs. “We've done a couple downtown Houston shots in the past month and were able to fly around it. You can see all of Houston when you're right in the middle of the Central Business District.” The company has been offering traditional aerial photography for decades, but now it has a new tool up its sleeve: a pool of Part 107 licensed drone pilots ready to capture lower-altitude photos and videos. Each approach can offer a different vantage point for a piece of property. “From a plane, you are able to get more perspective. You can see where the property relates to highways, downtown or certain neighborhoods,” says Waddell.
JUNE 2018
The two approaches don’t just offer a different view of a project. One is considerably easier to facilitate than the other. “It’s simpler for us to get approval to take a plane up. With an airplane, we’re in constant communication with the towers. They know who we are, where we are and what we’re doing,” explains Waddell. “You don’t have that kind of communication with drones, which is why they have a lot of restrictions.” She tells the story of a recent project in College Station, where it would have taken three to six months to get approval to fly. “Our clients can’t wait three to six months for us to get these photos. That’s when flying is a better option,” Waddell says, adding that many airports are working on a process that will allow for instant approval of drones in airspaces during certain times and in certain altitudes. In addition to the preparation time required, operating a drone also demands different logistics. Getting up in a plane is more efficient since Waddell says she can knock out more than a dozen projects each trip. Drones require dedicated setup and operation for each individual shoot.
She adds Pro Aire’s clients fall into two categories: those who are selling a property and those who are building a project. The view out the plane’s window can be beneficial for both.
“As a result, the cost to do drone jobs is often more expensive. You might think being in an airplane is more expensive, but it's really not, because we're able to accomplish the shoot a whole lot faster than we can with a drone,” says Waddell.
“Sellers want to be able to show ‘You’re this close to the Med Center’ or ‘You’re this close to downtown. Our photos can do that,” Waddell says. “We also do bi-weekly or monthly shots for construction projects to show what kind of progress has been made.”
Now to those cheaper-than-you-thought prices: airplane services for construction projects start around $200, while real estate jobs are closer to $350. The cost of taking the drone up is variable depending on the location and scope of the site.
Those perspective shots are available on a smaller scale with drones, which can only go 400 feet up. They are better for showing the personality of a property.
No matter whether you need photos from high altitude, low altitude or both, Pro Aire has expanded its capabilities and can work closely with clients to meet all their needs in the aspects of aerial photography. For more information, visit the company’s website at proaire.com.
“Both serve their purpose in this world. A lot of our clients use both because they want the closer-in 16
perspective and some video, but they also need to see and show potential buyers all of the higher-altitude stuff,” says Waddell.
ALSO AVAILABLE
ALSO AVAILABLE
ALSO AVAILABLE
GREAT RETAIL OPPORTUNITY RIVERBEND AT CLEAR CREEK
SITE
LEAGUE CITY, TEXAS ±6.45 usable acre tract with I-45 frontage, just north of FM 518/N. Main St. in League City, Texas one of the fastest growing cities in the region and the largest city in Galveston County. Property is part of Riverbend at Clear Creek, a burgeoning waterfront development. Site is ideal for retail development, with easy access off of both I-45 and FM 518, by way of Wesley Rd.
1 Hotel Currently underway, the future location of a hotel.
2 Marina Bend at Clear Creek Apartments (Phase 1) The newly opened, Phase 1 of 3, Marina Bend at Clear Creek Apartments. Phase 1 features 201 units.
3 Riverbend Marina The bulkhead is underway and the 30-slip Marina to be completed in the near future which will provide direct access to Galveston Bay via Clear Creek, creating a future waterway development destination and experience.
4 Marina Bend at Clear Creek Apartments (Phase 2) Coming soon.
Call for pricing. KRISTEN MCDADE Senior Director T: +1 713 469 4509 kristen.mcdade@berkadia.com
MATT DAVIS Associate T: +1 713 974 2407 matt.davis@berkadia.com
LAUREN GEARY Transaction Manager T: +1 346 444 8968 lauren.geary@berkadia.com
2229 San Felipe Street; Suite 1600 Houston, TX 77019
© 2017 Berkadia Real Estate Advisors LLC and Berkadia Real Estate Advisors Inc. Berkadia® and Berkadia Commercial Mortgage® are trademarks of Berkadia Commercial Mortgage LLC. Investment sales and real estate brokerage businesses are conducted exclusively by Berkadia Real Estate Advisors LLC and Berkadia Real Estate Advisors Inc. Commercial mortgage loan origination and servicing businesses are conducted exclusively by Berkadia Commercial Mortgage LLC and Berkadia Commercial Mortgage Inc. In California, Berkadia Real Estate Advisors Inc. conducts business under CA Real Estate Broker Lic. #01931050, Berkadia Commercial Mortgage LLC under CA Finance Lender & Broker Lic. #998-0701, Berkadia Commercial Mortgage Inc. under CA Real Estate Broker Lic. #01874116. For state licensing details for the above entities, visit: www.berkadia.com/legal/licensing.aspx
Leverage for Lending
Texas’ market creates new opportunities BY BRANDI SMITH
When oil prices started to drop a few years ago, they pulled Houston’s economy down with them. It took a big toll on the city built on black gold. Late in 2017, a barrel of crude started to become more valuable, helping Texas’ largest city bounce back.
That rebound is being noticed in just about every sector of the economy, including commercial real estate lending. “We're starting to see an uptick in transactions, in buyers and investors looking and more actively approaching properties,” says Bill Dampier, vice president of commercial lending for City Bank. “I think the increase in the price of oil has re-energized the market. It has given investors more optimism in regard to kicking the tires and looking for good buying opportunities.” Beyond the city limits of Houston and even the borders of Texas, Dampier says there is a lot of capital out there, which means competition among investors. Additionally, it’s likely interest rates will only continue to climb and real estate isn’t getting any cheaper. That means finding a deal might take a bit more effort than it has in the past. “Their expectation of returns is getting more in line with the market and with reality,” he says. “There's definitely still a lot of capital, but good buying opportunities are few and far between. Bill Dampier Investors are having to City Bank dig a little deeper, look a little harder and turn over more stones.” City Bank has been helping Houston investors turn over those stones since 2007, but the company got its start in Lubbock in 1941. “We are family owned and looking to continue to expand and grow,” says Dampier. “My goal is to add value to my customers. Our mission is to build long-
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lasting relationships by delivering extraordinary financial solutions through unrivaled customer service, one customer at a time. He joined City Bank’s Houston team in 2013 when the market was just creeping out of the Great Recession. “We have taken a more cautious, conservative approach. We tend to be a bit more selective in the clientele that we work with. The bank leans more in favor of the seasoned, financial-savvy real estate investor,” explains Dampier. That approach by traditional banks is what often leads clients to Vince Di Mare of Equity Secured Capital. “We fulfill a niche in
Vince Di Mare the commercial real Equity Secured Capital estate lending arena
by providing very quick bridge loans, primarily for situations that just need to move a lot quicker than the bank's able to move,” Di Mare says. His company specializes in speed and approving loans that traditional lending sources shy away from due to cash-flow issues. “Contrary to what a lot of people think, our clients are not the credit-impaired people. Ninety-nine percent of my clients are real estate developers or investors. They’re real estate movers and shakers, and we're one of many tools in their toolbox,” says Di Mare. “They have their bank relationships, they have their equity investor relationships and they have a relationship with us because sometimes they have to use us.” Continued on Page 20 >
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“ For us, it’s really about building and cultivating those long lasting relationships with our clients that we can continue to grow and develop with.” - Bill Dampier
Leverage for Lending
Texas’ market creates new opportunities
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Equity Secured Capital offers loans that bridge the gap between when the borrower needs the money and when he or she would be eligible for conventional financing. “It's short-term. Our loans have an average shelf life of about a year. There's usually a definable exit strategy in place that the borrowers have before they come to me,” Di Mare explains. A property’s sale is most often the “exit strategy” of choice for borrowers, he says. They have equity socked away in the land, but they need money for their next project. Di Mare says those clients typically do a cash-out loan and pay it off when they offload the property. Di Mare shares the story of a client in Austin, who was aiming to have the winning bid on a $10 million Lake Austin property. The borrower was putting $4 million down, but needed the other $6 million financed quickly. “The bank told him they wouldn’t be able to close for four or five weeks,” he recalls. “We got the loan on Tuesday and closed it on Friday.” Di Mare offers up another example of a loan in Little Rock, where a borrower wanted to buy a former 120,000-squarefoot Walmart shopping center. He won the property at auction, which dictated the deal had to close within three weeks.
JUNE 2018
He says his company was willing to back this borrower because “he’s putting his skin in the game.” The exit strategy in this case, according to Di Mare, is getting the center fully leased and then refinancing with a conventional lender. “It was a no-brainer to us. We condition for your real estate-related items on a commercial loan. We condition for your title, your survey, your operating document for the buying entity, your appraisal and your rent roll. Notice I didn't mention tax returns, pro formas or things like that because we don't care. We're asset-based,” says Di Mare.
“ We had plenty of situations in which the borrower is bankable. Often banks just can’t move fast enough,” - Vince Di Mare
“The borrower has perfect credit. He can put 25 percent down in cash. He's got massive real estate holdings and banking relationships in Austin,” says Di Mare. “But when he 20
told his bank the timeline, they told him, ‘There's no way we can close this in three weeks. Call Equity Secured Capital.’”
Di Mare is the first to point out, Equity Secured Capital isn’t usually the first stop for would-be borrowers because there’s a premium for its expedited services. An old motto the company wore out was “We’re more expensive than a bank, but we’re cheaper than a lost opportunity.” “We're certainly not going to give them a rate the bank would give them, but it's a short-lived scenario,” he says.
In other instances, he says Equity Secured Capital can be a fallback for clients. A recent borrower in Dallas had a Small Business Administration loan fall through the day before closing.
“He was buying a 35,000-square-foot commercial industrial building near downtown. The SBA literally pulled the rug on him, and his seller was not interested in extending the loan. He had to close or he was going to lose his earnest money as well as his contract,” Di Mare says. When asked whether his company saw a surge in queries during the Great Recession when SBA loans seemed to dry up, he explains that his business flow goes along with the overall market. “When the economy was in the dumps, our business slowed down incredibly. The fact was, everybody slowed down everywhere,” he says, pointing out that the situation has changed for the better in the past few years. “Now there's so much activity going on, we're getting more and more what we call ‘fallouts’ that come into our shop.” Di Mare calls the current market “amazing.” “There has been so much pent-up capital sitting on the sidelines for commercial real estate. Now things are getting done,” he says. That’s an observation echoed by City Bank’s Dampier. “The price of oil has helped bring out investors who have been hibernating, waiting for signs of an improving market,” he says. “I think with the Trump administration’s tax breaks and regulation rollback, it will offer buyers and developers even more incentive.” Whether borrowers decide to go the conventional route through lenders like City Bank or push the limits with lenders like Equity Secured Capital, they are guaranteed to keep the lending industry busy for the foreseeable future. Says Dampier: “There's a lot of optimism in the air right now.”
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ray’s buzz BY RAY HANKAMER rhankamer@gmail.com
UH Bauer College Institute for Regional Forecasting Robert W. Gilmer, Ph.D., Speaker Takeaway: Houston’s economy is on a solid footing moving forward, although there is lingering weakness in office and in multi-family as Harvey occupancy dissipates.
ROBERT W. GILMER, Ph.D
Bullets: •H ouston has moved into a new growth cycle, although oil prices are subject to international political risk, and improved technology can find and produce more oil with fewer rigs and fewer jobs
•O il jobs are returning, but slowly and the industrial
sector has still not gotten over the loss of oil fieldrelated shrinkage of manufacturing space; there is no anticipated return of oil & gas employment to the previous peak
• G lobal growth is accelerating and with it the growing need for oil & gas
•M ost of the big refining and chemical plants are
complete or nearing completion; their feasibility was based on lower-cost oil & gas; jobs in that construction sector are shrinking
• F racking has fundamentally changed American oil & gas production; it has made the industry more competitive and more responsive to demand; it has attracted huge amounts of private equity; shale oil production continues to climb
• T rade is overall good, and tariffs could disrupt Houston’s port, logistics, and industrial real estate sectors
• T he overall U.S. economy is performing well, with a moderate recovery continuing
• E xisting home sales rose with Harvey and oil prices; new home lot supply is in good shape, but recent deliveries are slowing; 36,000 single family permits are expected in 2018
• I n multi-family, there are few new projects in the
pipeline, and as Harvey victims move out, absorption resumes from job and population growth; there are still lots of Class A units with vacancy rates in excess of 20%
•O utlook for the office market is bleak, although
absorption is slowly turning around vacancy rates
• I n the retail sector, out-of-state merchants are now claiming more that 10% of taxable sales
• R etail construction shows healthy growth, in line with population growth
• T he industrial sector is still being pulled down by less oil-related manufacturing
A Rough 2015 - 17 for Houston Brought No Economic Reversal
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INTERVIEW WITH ARTIST - AND REAL ESTATE TALENT- DAVID ADICKES
RH: Welcome to RED News, David. You have been the Dean of the Houston Art Community for decades now, but most people don't know that you have had a shrewd eye for real estate deals over the years. Before we get into that, though, can you give our readers a summary of your career in painting and sculpture, including your early studies? David Adickes: Yes...I studied painting in Paris with Fernand Leger, one of the modern biggies, for two years: 1948-50. I returned to Houston and had shows at several galleries and museums, including the Museum of Fine Art. The first big sculpture I did was for real estate developer Joe Russo at his Lyric Center building, The Cellist. Joe was unsure if he had done the right thing putting this large sculpture up. (I wired it to 'play' classical music for about twelve hours a day.) About the same time, other building owners had put up large expensive sculptures by Miro and Dubuffet, one of which cost $1 million, so Joe commissioned a Houston poll to see where his The Cellist ranked of these three. It topped the list with 85% approval, so he was happy! RH: This leads us to your real estate activities. Can you describe your first big deal and how it came about? 26
JUNE 2018
DA: I had decided to create three sets of large busts/heads of all the U.S. presidents and I needed a roomy warehouse. Almost by accident, I found an abandoned paint factory in what was then one of the shabbier parts of Houston, on Summer Street. I bought 6.25 acres for $240,000 on a lease-purchase contract with rent payments going toward principal. The property was tied up with many others around the country in a master bankruptcy proceeding and after five years I heard the title on my warehouse had just cleared so I exercised the option in my lease and I closed the next day! I subsequently sold about half of the site for what is now a Target store, and eventually sold the residual piece with my warehouse workshop: total sales receipts were about $5 million. Much of the appreciation in the site came as people discovered 'the presidents' in the large parking lot and before I knew it individuals, couples, and even tour buses were coming in and taking selfies and photos of the presidents. The district became known as 'the art district'. While I had the warehouse for the production of the presidents, I rented out spaces to other artists, but frankly I was not too demanding to all of them for their rent. But it did establish for the first time the concept in that neighborhood of an incubator for artists. Now developers on Winter Street and elsewhere have established the largest concentration of art studios in the U.S. RH: Most young Houstonians know you for your giant statue of Sam Houston on I-45 just south of Huntsville, your home town, and your bronze sculpture of George Bush Sr. has stood in a prominent location in Terminal C of the Houston airport named for him. Was the Sam Houston statue a real estate play?
“My secret to a happy life: Do only what you love to do.” – David Adickes
DA: Indirectly, yes, but not for me and my donors. Several of us contributed and built the statue and gave it to the City to honor the 200th anniversary of Sam Houston's birth. Today TXDOT is creating a special feeder direct to the base of the statue. The real estate benefit has been to the reputation, businesses, and hotels of the City of Huntsville, which was formerly known primarily for being headquarters for the state prison system. 1,250,000 visitors have registered at the Visitors Center since 1994, not counting the millions who drive by and enjoy the statue without stopping. RH: Where did you move your art studio when you sold the Summer Street warehouse? DA: I moved to Nance Street in the Warehouse District and built a 5,000 SF building. TXDOT has plans to condemn it in about two years to build a large overpass, so we will see how that works out. RH: Can you tell our readers your views about how art increases the value of real estate in a community? DA: Huntsville is one example. In the Sawyer Street area near my old paint factory studio, ART is all around, including an art store, auction house, studios, and a party venue upstairs in my former studio that rents for as much as $10,000 per night. It has specialized as a marriage venue for super star athletes (I don't know if you can rent it for half price for a divorce party!) I currently am leasing my four giant Beatles statues to the Eighth Wonder Brewery and Beer Garden in Eado. I must assume the owners feel these sculptures add value.
Nearby the City has razed a long stretch of Bastrop Street, which will be turned into a mini-Discovery Green for the near East Side. Art will figure prominently in this new park, along with trees and other amenities to create an aesthetic focal point for real estate development. RH: Your are in your nineties and show no signs of slowing down. Can you tell us of any current or future projects and is there a secret to your Fountain of Energy? DA: People tell me all the time that I should retire, but I checked my tires and I still have 30-40,000 miles on them. But the fork lift I use to move around my giant sculptures needs tires. Does anyone know where I can find some used ones? And my secret to a happy life: Do only what you love to do. Easy to say, right? Everyone has to make a living, but make that living doing what you truly love. JUNE 2018
27
civil fair play
Dealing with Deed Restrictions BY: OMAR IZFAR, ATTORNEY, WILSON CRIBBS+GOREN
Private covenants and restrictions, often simply called “deed restrictions,” run with the land, bind future owners, and usually affect what you can do with your property. Deed restrictions for residential neighborhoods contain a variety of rules that impact development, such as land use controls, setback, lot size, and frontage rules. 28
JUNE 2018
I often see extremely old deed restrictions that don’t adequately address the needs of the current property owners, yet they are still in effect and enforceable. As cities continue to urbanize and developers find infill opportunities, outdated restrictions clash with modern development goals. Modifying these deed restrictions can be challenging and often requires professional assistance. Restrictions on commercial property, unlike restrictions for residential neighborhoods, are typicallymore recently drafted and often easier to amend, but may still contain land use restrictions and other provisions that interfere with new development plans.
So my deed restrictions seem to interfere with my proposed development. What can I do? There are a few options. The more straightforward approach is to attempt to amend the restrictions. Many older restrictions do not contain thorough amendment procedures, if they contain any at all. That often leaves property owners relying on provisions of state law that allow for amendments approved by a certain percentage of property
owners affected by the restrictions. Gathering the votes needed to approve an amendment requires leg work that includes getting in touch with the other property owners and securing their consent to the amendment. If you get this far, once recorded, the amendment serves as the new deed restrictions affecting your property. Deed restrictions that contain amendment procedures can also pose their own problems, especially if there are specific windows for the timing of restrictions. Few sets of deed restrictions are exactly alike and need to be studied on a case by case basis to determine your options. If an amendment is not feasible, and if you have good reason to believe the restrictions are not enforceable, you’ll have to file a lawsuit to have a judge declare that the deed restrictions are not enforceable. This can be based on the fact that enough property owners violate the restrictions that they have effectively been waived, or there is a change in circumstances that justifies treating the restrictions as unenforceable, or other reasons. Unfortunately, this is not fast or cheap, and requires you to sue all the individual property owners affected by the restrictions all at once.
Sometimes, but not often, the deed restrictions are not enforceable at all. There are methods under state law to reconstitute lapsed deed restrictions that are highly technical, complicated, and very easy to mess up. Sometimes, the mistakes render the deed restrictions completely void. Sometimes, your development is the type that is protected by law, and the deed restrictions that prevent the development are not enforceable. Again, these kinds of issues have to be examined on a case by case basis.
So what happens if I just ignore the deed restrictions? Several properties already violate these restrictions! Why do I have to comply? People used to be able to get permits much more easily than today. Older developments that violate the restrictions may have been approved without much scrutiny. Their existence
is no guarantee that you will get approvals or escape lawsuits against your proposed development. I would not recommend that anybody take the steps that people used to take to get projects approved that would violate deed restrictions. So what happens if you ignore the restrictions? In the first place, you will not be able to get a building permit. Securing permits these days typically requires the permit applicant to sign an affidavit that the plans will not violate any deed restrictions. Not being completely truthful about this is a crime in the State of Texas. You will also not be able to plat your property if your proposed development violates the deed restrictions. Cities and counties are prohibited by state law from approving subdivision plats that violate deed restrictions.
Worst of all, you’ll set yourself up to be sued. Deed restrictions are typically enforceable in court by any of the individual property owners bound by the restrictions or by a property owners association. The City of Houston also has the unique ability to file suit on behalf of a property owner to enforce deed restrictions, with the result that the City’s taxpayers collectively bear the cost of deed restriction enforcement rather than the individuals that benefit from those restrictions. That means that older areas with inactive property owners associations and several examples of deed restriction violations still contain individual property owners that can file suit to potentially prevent your development.
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SCOOP The following pages contain a calendar of Texas CRE events, networking photos, and deals/announcements. For more updates, log on to REDNews.com
JUNE FEATURE: Oâ&#x20AC;&#x2122;CONNOR & ASSOCIATES LAND FORECAST
Central South Texas
North Texas
Southeast Texas
CENTRAL SOUTH TEXAS
June MONDAY
TUESDAY
BOMA AUSTIN: bomaaustin.org/ BOMA SAN ANTONIO: bomasanantonio.org CBA: cbaaustin.org/ CCIM CENTRAL TEXAS: ccimtexas.com CREW AUSTIN: crewaustin.org CREW SAN ANTONIO: crew-sanantonio.org CTCAR: ctcaronline.com IREM AUSTIN: iremaustin.org IREM SAN ANTONIO: iremsanantonio.org
WEDNESDAY
RECA reca.org RECSA: recsanantonio.com/ RETAIL LIVE: retaillive.com TABB AUSTIN: tabb.org/austin_chapter.php TABB SAN ANTONIO: tabb.org/san_ antonio_chapter.php ULI AUSTIN: austin.uli.org ULI SAN ANTONIO: sanantonio.uli.org
THURSDAY
FRIDAY 1
REDNews Newsletter [4:00pm]
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RECA Austin - Real YP: Dealing with Difficult People [5:30pm - 7:00pm]
CTCAR - Professional Series: "Total Commercial" Property Listing [9:00am - 11:00am]
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RECA Austin - Policy Committee Meeting [12:00pm - 1:00pm]
REDNews Newsletter [4:00pm]
11
CREW San Antonio - Luncheon [11:30am 1:00pm]
12
REDNews July Issue Deadline [5:00pm]
13
CREW Austin - Lunch & Learn [11:30am - 1:00pm]
7
IREM San Antonio - Tour & Social [1:00pm - 4:00pm]
IREM Austin - Big Top Bowl 2018 [12:00pm 4:00pm]
8
BOMA Austin - Speed Networking [3:30pm - 4:00pm] ULI Austin - Info Session & Happy Hour 2018-19 Young Leader Mentorship Forum [5:30pm - 7:30pm]
CTCAR - Property Information Exchange [7:30am - 9:00am]
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ULI Austin - Coffee Chat [8:00am - 9:00am] BOMA Austin - Board Meeting [8:30am - 10:30am] CBA Austin - Summer Panel [11:30am - 1:00pm]
IREM San Antonio CPM Class: Asset Track [8:00am - 5:00pm]
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CREW Austin Luncheon [11:30am - 1:00pm]
19
ULI Austin - Breakfast [7:30am - 9:00am]
20
BOMA San Antonio Luncheon [11:30am - 1:30pm]
REDNews Newsletter [4:00pm]
BOMA Austin Luncheon [11:30am - 1:30pm]
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TABB Austin - Luncheon [11:30am - 1:00pm]
JUNE 23rd - 26th
BOMA San Antonio - 2018 International Conference & Expo [8:00am - 5:00pm]
BOMA San Antonio - 2018 International Conference & Expo [8:00am - 5:00pm]
25
REDNews Newsletter [4:00pm]
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BOMA San Antonio - 2018 International Conference & Expo [8:00am - 5:00pm]
26
CCIM Central Texas Luncheon [11:30am - 1:30pm]
CTCAR - CE Course: Broker Responsibility [9:00am - 4:00pm]
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TABB San Antonio Luncheon [11:30pm - 1:00pm]
The events listed are confirmed at the time of printing. Please make sure to check with the event host for any changes. For the full listing of events, visit REDNews.com.
BOMA AUSTIN SPRING WORKDAY
CENTRAL SOUTH TEXAS SOCIAL BOMA SAN ANTONIO 2018 GOLF OPEN
Community Outreach Committee
BOMA Austin Spring Workday at Community First! Village – Community Outreach Committee
CREW SAN ANTONIO
Committee Chair Matt Rose
25th Annual Forum Annual Forum Chairs and Committee Members
25th Annual Forum; Forum Chairs and Committee Members
BOMA San Antonio 2018 Golf Open Committee Chair Matt Rose
CREW San Antonio 25th Annual Forum L to R – Katherine Howe-Frilot, Dena Welch, Carrie Caesar, Shawn Mobley, Revathi Greenwood, Dawn Vernon, Erin Sa
L to R: Katherine Howe-Frilot, Dena Welch, Carrie Caesar, Shawn Mobley, Revathi Greenwood, Dawn Vernon, Erin Salinas, Beverly Fortner
BOMA DALLAS: bomadallas.org BOMA FORT WORTH: bomafortworth.org CCIM NORTH TEXAS: ccimconnect.com/ccimnorthtexas CORENET NORTH TEXAS: northtexas.corenetglobal.org CREW DALLAS: crew-dallas.org CREW FORT WORTH: crewfw.org GFW AR: gfwar.org IREM DALLAS: irem-dallas.org IREM FORT WORTH: fortworthirem.org
NORTH TEXAS
June MONDAY
TUESDAY
WEDNESDAY
LADIES IN CRE: ladiesincre.com NAIOP: northtexasnaiop.com NTCAR: ntcar.org SCR GFW: gfwar.org/home-top-commercial.html TABB DALLAS/FORT WORTH: tabb.org/dallas_ ft_worth_chapter.php TREC DALLAS: recouncil.com REC GFW: recouncilgfw.com ULI NORTH TEXAS: northtexas.uli.org
THURSDAY
FRIDAY 1
4
NTCAR - Golf Toutnament [11:00am - 7:00pm]
BOMA Fort Worth Luncheon [11:00am - 1:00pm]
5
BOMA Fort Worth - SAC Meeting [3:00pm - 4:30pm]
TREC Dallas - Foundation Board Meeting [12:00pm 1:30pm]
6
TREC Dallas - Community Fund Advisory Board Meeting [9:00am - 11:30am]
CREW Fort Worth - Luncheon [11:30am - 1:00pm] IREM Dallas - Executive Council Meeting [12:00pm 1:30pm]
REDNews Newsletter [4:00pm]
7
8
14
15
TREC Dallas Public Policy Committee Meeting [7:30am 9:00am] ULI North Texas - Summer Sizzler [5:30pm - 7:30pm]
REC of Fort Worth - Fireside Chat [4:30pm - 8:00pm]
11
CCIM North Texas CI103 User Decision Analysis [8:30am - 5:00pm] REDNews Newsletter [4:00pm]
BOMA Dallas Electrical Systems & Illumination [5:00pm 8:00pm]
12
13
BOMA Dallas - Law & Risk Management [9:00am 4:00pm]
IREM Dallas - Luncheon [11:30am 1:30pm] TREC Dallas - Programs Committee Meeting [12:00pm - 1:30pm] CCIM North Texas - Happy Hour [5:30pm - 7:00pm]
BOMA Dallas Engineer Lunch & Learn [11:30am - 1:00pm]
CCIM North Texas Luncheon [11:30am - 1:00pm] BOMA Fort Worth - Allied Appreciation Event [4:30pm - 6:30pm]
REDNews July Issue Deadline
REDNews Newsletter [4:00pm]
TREC Dallas - Executive Committee Meeting [4:00pm - 5:30pm]
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25
26
20
TREC Dallas - Young Guns Core Committee Meeting [11:30am - 1:00pm]
27
IREM Dallas Certificate of Insurance Update Seminar [2:00pm - 4:00pm]
TABB Dallas - Luncheon [11:30am - 1:00pm]
21
22
28
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REDNews Newsletter [4:00pm]
34
JUNE 2018
The events listed are confirmed at the time of printing. Please make sure to check with the event host for any changes. For the full listing of events, visit REDNews.com.
NTCAR HALL OF FAME EVENT
NORTH TEXAS SOCIAL REC OF FORT WORTH
L to R: Roger Staubach, Jerry Jones, Darrell Humis NTCAR Reunion and Hall of Fane Event 5-10-18 L-R Roger Staubach, Jerry Jones, Darrell Hurmis
TREC DALLAS
L to R: Monica Luera, Jeff Davis
CCIM NORTH TEXAS
REC of Fort Worth Monica Luera with Trademark Property 2018 Outstanding Young Leader and Jeff Davis with Republic Title 2018 Susan A. Halsey Founder's Award
L to R: Chairman Ran Holman, TREC Immediate Past Chairman Greg Kraus, Bill Vanderstaaten TREC Dallas 30th FightNight April 26 2018 Chairman Ran Holman, TREC Immediate Past Chairman Greg Kraus, Bill Vanderstraaten
BOMA FORT WORTH
L to R: Denny Lindsay, John Kappus, Justin Tatum, Jonathan Ferrell, John McClure, CCIM, Bo Carlton
BOMA FORT WORTH CCIM North Texas Topgolf May 9 2018 Winning Team Denny Lindsay, John Kappus, Justin Tatum, Jonathan Ferrell, John McClure, CCIM, and Bo Carlton
L to R; Kay Guarrera, Marvin Hagler, Steve Crosson L to R: Bruce Payne, Garin Giacomarro, Michelle Cunningham TREC Dallas 30th FightNight April 26 2018 Kay Guarrera, Marvin Hagler, Steve Crosson
ACRP: acrp.org BACREN: bacren.us BOMA HOUSTON: houstonboma.org CCIM HOUSTON: ccimhouston.org CETA: cetalliance.com CORENET HOUSTON: houston.corenetglobal.org C.R.E.A.M.: creamtx.com CREN: crengulfcoast.com CREW HOUSTON: crewhouston.org FBSCR: fbscr.com
SOUTHEAST TEXAS
June MONDAY
TUESDAY
WEDNESDAY
GREATER HOUSTON PARTNERSHIP: houston.org HAA HOUSTON: haaonline.org HRBC: houstonrealty.org HREC: houstonrealestatecouncil.org IREM HOUSTON: iremhouston.org NAIOP: naiophouston.org O'CONNOR & ASSOCIATES: poconnor.com SIOR: sior.com TABB HOUSTON: tabb.org/houston_chapter.php ULI HOUSTON: houston.uli.org
THURSDAY
FRIDAY ACRP Houston - Fishing Tournament
1
CREN Gulf Coast Luncheon [11:00am - 1:00pm] IREM Houston - Education Meeting [11:30am - 12:30pm]
REDNews Newsletter [4:00pm]
REDNews Newsletter [4:00pm]
5
4
11
12
CCIM Gulf Coast - CI 102 Course [8:30am - 5:00pm]
CREW Houston Luncheon [11:30am 1:00pm]
CREAM - Luncheon [11:30am - 1:00pm]
6
13
7
CREW Houston Luncheon [11:30am - 1:00pm]
8
14
15
21
22
CCIM Gulf Coast Luncheon [11:30am - 1:00pm]
REDNews July Issue Deadline [5:00pm]
REDNews Newsletter [4:00pm]
REDNews Newsletter [4:00pm]
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18
25
June 2018
19
FBSCR - Monthly Meeting [8:00am - 9:00am]
ACRP - Happy Hour [5:00pm - 7:00pm]
26
BOMA Houston Membership Meeting [8:00am - 9:30am]
20
27
IREM Houston - Ethics for the Real Estate Manager [8:00am - 5:00pm] BACREN - Luncheon [10:30am - 1:00pm]
TABB Houston Chapter Meeting [11:30am - 1:00pm]
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The events listed are confirmed at the time of printing. Please make sure to check with the event host for any changes. For the full listing of events, visit REDNews.com.
CCIM HOUSTON
SOUTHEAST TEXAS SOCIAL WESTCHASE DISTRICT CORPORATE CHALLENGE
L toCCIM R: Gulf Jason Joe Foty, Matt Moake CoastNybakken, L-R Jason Nybakken, Joe Foty, Matt Moake
L to R: Tim Johnson, Dave Gilkeson, Tom Gaden, Scott Odom 21st Westchase District Corporate Challenge 2018 CC Quillian Check (l-r), Tim Johnson and Dave Gilkeson, representing Westchase District Community Fund; Tom Gaden from Quillian Center; Scott Odom, Frost Bank
L to R: Esau Liu, Noemie Rui Yang, Anson Zheng Yao CCIM Gulf Coast L-R Esau Liu, Noemie Rui Yang, Anson Zheng Yao
BACREN
L to R: Dave Gilkeson, Louis Jullien, Kim Peck, Craig Eichhorn, Christina Meade, Ricky Gonzalez, Blair Johnson, Tim Johnson
2018 Nerdy Girl Check Presentation (l-r) Dave Gilkeson, Louis Jullien, Kim Peck, Craig Eichhorn, Christina Meade, Ricky Gonzalez, Blair Johnson, Tim Johnson
L to R: Randy Drake, Chad Burke, Daniel Henn
ACREN April 2018 Luncheon Left to right- Randy Drake- President of Bacren, Chad Burke-President and CEO of the Economic Alliance Houston Port, Daniel Henn- Bacren Partners Director
L to R: Sherry Fox, Trenton Bell, Johnny Davis, Dora Ruiz, Kyle Lloyd
2018 CC 1st Place Revere Middle School L - R Sherry Fox (Westchase District); Trenton Bell; Johnny Davis; Dora Ruiz and Kyle Lloyd (Revere School)
CENTRAL SOUTH TEXAS bulletin
SAN ANTONIO, TX DISTRIBUTION & MANUFACTURING DEVELOPMENT H-E-B now owns 871 acres at the southwest corner of East Houston Street & South Foster Road with plans to first build a 1 million sf warehouse. They will eventually develop a master-planned campus that includes manufacturing, warehouse facilities & transportation.
AUSTIN, TX MEDICAL OFFICE SALE Valor Capital Partners (VCP) purchased The Overlook at Rob Roy, a 100,000 sf medical office project located at 6836 Bee Caves Road. This is the fifth Austin acquisition for Valor. The seller was represented by Equitable Commercial Realty. MULTI-FAMILY DEVELOPMENT Transwestern Development Company is building a 263-unit micro-apartment complex on a 1.6 acre block between East 3rd & East 4th Streets on Waller Creek. The project will consist primarily of +/-443 sf studio apartments. The project is expected to be completed the first half of 2020. OFFICE DEVELOPMENT TIER REIT, Inc. is beginning construction on a 17-story, 320,000 sf spec office tower in The Domain near Alterra Parkway which should be ready by the end of 2019. TIER & Endeavor Real Estate Group are also constructing an adjacent building for HomeAway Inc’s future global headquarters. OFFICE LEASE Literacy Coalition of Central Texas leased 10,599 sf at 724 Eberhart Lane. John Gump with CBRE represented the tenant & Byram Properties represented the landlord.
Fred Polansky
Brent Saxon
Fred Polansky & Brent Saxon have joined DHRP’s Austin office
Matthew Baylor
Jeanne Blomster
Morgan Cannon Diaz
Dolores Schroeder
Ifeanyi Eke
Matthew Baylor, Jeanne Blomster, Dolores Schroeder, Morgan Cannon Diaz & Ifeanyi Eke have joined DHRP’s San Antonio office. Ace Schlameus has joined JLL as senior vice president in their industrial division
Carlos Marquez has joined the industrial division of NAI Partners San Antonio office.
OFFICE LEASE The General Land Office of Texas leased 19,707 sf at Lavaca Plaza located at 504 Lavaca Street. The landlord was represented by Jason Steinberg & Matt Levin with ECR & the tenant was represented by Jerry Frey, Eric Dejernett & Burke Kennedy with CBRE. OFFICE/RETAIL DEVELOPMENT Trammell Crow Company (TCC) & Principal Real Estate Investors plan to build a 709,000 sf office building with 10,600 sf of ground level retail/restaurant space at 200 W. 6th Street. The project includes the adaptive reuse of a historic 1914 building into 25,000 sf retail/ restaurant space with 20,000 sf of urban greenspace. The 1.75 acre site was formerly utilized by the UT System for its system headquarters. OFFICE SUB-LEASE Baylor Scott & White Health leased 14,738 sf at Corridor Park Pointe C located at 3500 Wadley Place. Ted Rohan, Mark Harris & Mike Kennedy with Avison Young represented the original tenant, Drillinginfo, Inc, & Rob Marshall with RK Marshall represented Baylor Scott & White Health. RETAIL SALE An unidentified buyer purchased the 5,553 sf building located at
38
June 2018
2414 S. 1st Street from Martha Zavala. Jeff Bodenman & John Baird with Avison Young represented the seller.
Blvd. The first phase of 160,000 sf is expected by Q3 of this year. Four buildings are planned for the project.
TECHNOLOGY OFFICE DEVELOPMENT Pacific Investment Management Company (PIMCO) is opening its third US location in Austin for 200 employees at an undisclosed location.
RETAIL LEASE Dogtopia leased 6,000 sf at Turtle Creek Market located at 1500 A.W. Grimes Blvd. Alex Reed & Shannon Diaz of Retail Solutions represented the landlord & Jeff Lewis & Brett Maze represented the tenant.
BROWNSVILLE, TX STEEL PLANT LEASE The Port of Brownsville board commissioners have signed a lease with Big River Steel for the construction of a $1.6 billion steel plant. The operation is expected to bring 500 fulltime jobs to the region.
CEDAR PARK, TX THEATER DEVELOPMENT A 40,000 sf, ten-screen Alamo Drafthouse theater will be built at the northeast corner of Ranch Trails & W. Parmer Lane in the Presidio development. There are also plans for 50,000 sf of restaurant, retail & office space.
CONVERSE, TX RETAIL SALE CA-based Limited Liability Company purchased Phase II of Lott’s Landing, two buildings totaling 6,300 sf located at 8320 & 8336 FM 78 from a local developer. The property was 100% leased to AT&T, Subway, Great Clips & Speedy Cash. Bradley Suttle with San Antonio Commercial Advisors (SACA), a member of the Cushman &Wakefield Alliance handled the transaction
CORPUS CHRISTI, TX SCHLITTERBAHN RIVERPARK & RESORT FORECLOSURE IBC Bank took over ownership of the Schlitterbahn Riverpark & Resort through a foreclosure auction in May for $20 million of the +/- $32 million owed by the previous owner. The bank is actively looking for a purchaser for the property.
INGLESIDE, TX DEEP WATER MARINE TERMINAL DEVELOPMENT Buckeye Partners formed a joint venture with Phillips 66 Partners & Andeavor to develop a deep-water, open access marine terminal at the mouth of Corpus Christi Bay. The 212-acre waterfront facility can ultimately be expanded to include over 10 million barrels of storage capital.
ROUND ROCK, TX INDUSTRIAL DEVELOPMENT EastGroup Properties is developing a 350,000 sf industrial project on 30 acres located at 900 E. Old Settlers
RETAIL LEASE Fogueira Gaucha leased 10,998 sf at Skyridge Plaza located at 2000 S. I-35. Andrew Perkel & Drew Smith represented the landlord & Alex Reed of Retail Solutions represented the tenant. RETAIL LEASE Dollar Tree leased 8,052 sf in Palm Valley Plaza located at the northwest corner of US Hwy 79 & CR 122. Brett Maze & Nicholas Naumann with Weitzman represented the landlord & Harry Scott with The Retail Connection represented the tenant.
SAN ANTONIO, TX INDUSTRIAL DEVELOPMENT Koontz Corporation is building Foster Ridge Distribution Center, a 327,000 sf industrial facility near the corner of I-10 East & Foster Road. It is designed to accommodate a large single user or multiple smaller tenants. MANUFACTURING PLANT OPENING After two years of construction, Japanese manufacturing company, Nissei Plastic Machinery, is opening their 115,000 sf facility on Lyster Road. OFFICE SALE San Antonio-based Redrock & equity partner, Riverside Resources, sold the 300,000 sf Highpoint Towers located at 8401 & 8415 Datapoint Drive to Atlanta-based real estate company, Richmond Honan. The majority of the tenants are medical companies. VACANT LAND SALE Bexar County purchased 75 acres adjacent to Randolph Air Force Base on the northeast side for the purpose of creating a development buffer around the military installation. The $10.7 million project funding came from Bexar County & a grant awarded by the Texas Military Preparedness Commission.
SCHERTZ, TX ENTERTAINMENT COMPLEX DEVELOPMENT San Antonio-based EVO Entertainment Group has stared construction on a $23 million, 72,000 sf entertainment complex at the northeast corner of Wiederstein Road & I-35 which is across the street from a proposed 307,170 sf residential & entertainment complex by Santikos Entertainment.
ALLEN, TX MIXED-USE DEVELOPMENT The Howard Hughes Corporation is planning an 8.7 million sf mixed-use development called Monarch City at the southwest corner of North Central Expressway & the Sam Rayburn Tollway. Upon completion the development will consist of office & retail along with urban residential & a hotel. Construction is expected to begin this year.
ALLEN, TX, CARROLLTON, TX RETAIL SALE Crow Holdinsg purchased the 42,651 sf center located at 1320 W. McDermott Drive in Allen, TX & the 134,484 sf center located at 3320 E. Hebron Parkway in Carrollton. David Disney & Adam Crockett with Disney Investment Group brokered the sale.
ARLINGTON TX INDUSTRIAL LEASE Blue Ribbon Delivery Inc leased 55,376 sf at 2115 Exchange Drive. Mark Graybill & Colton Rhodes with Lee & Associates represented the landlord & Reed Parker represented the tenant.
CARROLLTON, TX INDUSTRIAL SALE CCG Valwood LP purchased a 22,506 sf building on one acre located at 1208 Tappan Circle. Richmond Collinsworth with Bradford Commercial brokered the sale along with Scott Gregory with Caddo Holdings.
COPPELL, TX INDUSTRIAL LEASE Black Horse Carriers Inc leased 63,911 sf at Park West Crossing located at 501 Southwestern Blvd. Jeremy Kelly & Ryan Boozer with Stream Realty negotiated the lease along with Bryan Graham with BLG Commercial.
DALLAS, TX INDUSTRIAL LEASE Arcadia, Inc. leased 86,731 sf at 7601 Ambassador Row from FE-SI Ambassador Row, LP. Canon Shoults with Holt Lunsford represented the landlord & Keenan Cook with Mercer Company represented the tenant. INDUSTRIAL LEASE Baik Brands leased 46,535 sf at 2025 Royal Lane from G&I IX Royal Lane LLC. Jeremy Mercer with Mercer Company represented the tenant & Todd Poticny with Stream Realty represented the landlord. INDUSTRIAL LEASE Emission & Cooling Solutions leased 17,000 sf at 11455 Newkirk Street. Joe Santaularia, Brock Wilson & Clayton Hughes with Bradford Commercial represented the tenant & Brian Pafford & Jason Finch with Bradford represented the landlord. INDUSTRIAL LEASE Neenah Foundry Company leased 18,988 sf at 1275-1281 Round Table Drive.
Jason Moser with Stream Realty represented the landlord & Drew Feagin with Stream Realty represented the tenant. INDUSTRIAL LEASE New Glazing Industries Ltd leased 39,696 sf at Turnpike 4 located at 2130 French Settlement Road. OFFICE DEVELOPMENT Developer Billingsley Company is building a five-story, 250,000 sf building at 3200 Olympus Blvd within the mixed-use development called The Sound. OFFICE SALE The State Teachers Retirement System of Ohio purchased the 140,000 sf office building located at 3131 Turtle Creek Blvd. The building reportedly sold for over $350/sf. OFFICE SALE Dallas-based Gault Company & RTG Capital purchased the 170,000 sf office building at 5757 Alpha Road.
DENTON, TX RETAIL SALE Lincoln Retail Income & Growth Fund purchased Shops at Colorado, a 74,310 sf retail center located at the northwest corner of Colorado Blvd & South Loop 288 from RCG-Denton LLC. Chris Gerard, Chris Cozby & Blaine Dozier of CBRE Retail Partners represented the seller.
DFW AIRPORT, TX INDUSTRIAL DEVELOPMENT Robinson Weeks Partners has started construction of a 563,000 sf industrial building at Airport South Logistics Center located at 3400 East Airfield Drive.
GARLAND, TX INDUSTRIAL LEASE MASS.-based Barrett Distribution Centers leased 115,041 sf at 3800 Leon Road in IDI Logistics’ Garland Logistics Center. Stephen Cooper & Rick Medinis of NAI Robert Lynn negotiated the lease along with Joe Whitmer & Brian McKenzie with Transwestern who represented the tenant.
GRAND PRAIRIE, TX LOGISTICS CENTER DEVELOPMENT Stream Realty Partners has started construction on Parkway Logistics Center, a 271,794 sf speculative industrial development through a joint venture with LaSalle Investment Management. The project is located at 2911 S. Great Southwest Parkway. Todd Noonan with Stream represented the seller in the land transaction & Cannon Green & Luke Davis with Stream represented the purchaser.
IRVING, TX INDUSTRIAL DEVELOPMENT Jackson-Shaw & Stream Realty are building Parc SouthWest, a 292,700 sf, two building industrial development located south of DFW IAH with direct access to SH 161 & SH 183. INDUSTRIAL LEASE Freedom Furniture & Design leased 16,000 sf at PARC 114 located at 7601 North Belt Line Road. Blake Kendrick & Jeremy Kelly with Stream Realty represented the landlord & Bradford
Commercial Realty represented the tenant. INDUSTRIAL SALE Houston-based Hines purchased the DFW East Logistics Center, a three building, 259,555 sf industrial park located at 4400 Walnut Hill. Jonathan Bryan & Randy Baird with CBRE represented the seller.
MCKINNEY, TX
NORTH TEXAS
bulletin
INDUSTRIAL DEVELOPMENT Dalfen Americ a Corporation is building the 115,176 sf McKinney Fulfillment Center located at 1581 Corporate Drive. SELF-STORAGE SALE SmartStop Asset Management LLC purchased the 730-unit self-storage facility located at 2280 N. Custer Road for approximately $10.6 million.
Rendering Courtesy http://3plcentral.com
MESQUITE, TX OFFICE DEPOT SALE A New York investor purchased a 22,000 sf Office Depot in Mesquite from an undisclosed private investor. Adam Gottschalk with Strive represented the seller.
MURPHY/WATAUGA, TX ALBERTSONS SALE Dallas-based 356 Development purchased two former Albertsons located at 150 E. FM Road 544 in Murphy & one at 8428 Denton Highway in Watauga. Venture Commercial represented the seller in both of these transactions and the buyer was represented by Capstone Commercial.
RICHARDSON, TX BUSINESS PARK DEVELOPMENT Jackson Shaw is developing a 500,000 sf business park on more than 38 acres on Telecom Parkway. They are planning to build four buildings ranging from 92,000 sf to 140,000 sf. INDUSTRIAL LEASE Imogen, Inc leased 22,905 sf at 1380 Presidential Drive. Josh Barnes & Ben Wallace with Holt Lunsford represented the landlord.
ROWLETT, TX INDUSTRIAL SALE An undisclosed seller purchased a 21,000 sf industrial building at 5201 Grisham Drive from Favcon Partners. Taylor Stell, Brett Lewis & George Tanghongs with Lee & Associates represented the seller.
TEMPLE, TX RETAIL/HOTEL DEVELOPMENT The Temple Economic Development Corporation announced plans for an $18 million retail/hotel development called Bellaire North on N. HK Dodgen Loop 363. Two hotels & several retailers will occupy the space which will be completed within 12 to 18 months.
WACO, TX WAREHOUSE TO RETAIL CONVERSION Private developer Bill Wetterman is converting a warehouse located at 319 S. Fourth Street to a boutique retail & restaurant space. His concept includes using steel shipping containers to create 25,000 sf of leasable retail space.
DALLAS/FT. WORTH, TX INDUSTRIAL SALE The Pauls Corporation sold a 22-property, four parcel, 3.75 million sf industrial portfolio to Clarion Partners. Four of the 22 properties are located in Dallas/Ft Worth totaling 645,000 sf with the remainder in Las Vegas, Denver & Atlanta. CBRE handled the transaction.
Dennis Maher has joined CBRE’s valuation & advisory services team as a first vice president.
John Pharr has joined Trademark Property Company as senior vice president of asset & portfolio management.
Derek Schauer has joined Westmount Realty Capital as senior director of office acquisitions.
JUNE 2018
39
SOUTHEAST TEXAS bulletin
BAYTOWN, TX RESIDENTIAL DEVELOPMENT Friendswood Development Company is developing a 1,400 home residential community on 514 acres at Garth Road & Wallisville Road. The first home sites are expected to be available for builders in early 2019.
CYPRESS, TX MASTER-PLANNED INDUSTRIAL PARK
SW International Gateway Business Park El Campo, TX
69
345,000 SF
/I-
59
695,000 SF
425,000 SF
CR 42
US
345,000 SF
1
345,000 SF 440,000 SF 1,125,000 SF 600,000 SF
440,000 SF
450,000 SF
300,000 SF
CR 405
HOUSTON, TX
CR 400
EL CAMPO
(park site plan subject to change)
John Simons
Partner 713 275 9634 john.simons@naipartners.com
VACANT LAND SALE Land Tejas purchased 320 acres north of West Road & west of Fry Road from Fry Road Venture LP. The property will be utilized for expansion of Miramesa, a 600 acre section of the Canyon Lakes West master-planned community. Home sites will reportedly be available to builders mid-2019.
Holden Rushing
Vice President 713 275 9612 holden.rushing@naipartners.com
N
Steve Pastor
Vice President 201 478 7376 spastor@naihanson.com
HOUSTON | AUSTIN | SAN ANTONIO
EL CAMPO, TX
The information contained herein has been given to us by the owner of the property or other sources we deem reliable, we have no reason to doubt its accuracy, but we do not guarantee it. All information should be verified prior to purchase or lease. © 2017 NAI Partners. All rights reserved.
INDUSTRIAL PARK DEVELOPMENT Ridgeline Property Group is developing a 540-acre, rail-served industrial park called SW International Gateway Business Park located on US 59/I-69 NAFTA Superhighway. The development will have visibility, access & rail service via the Kansas City Southern Railway which is the premier carrier for rail traffic to and from Mexico. Upon completion the park will be able to accommodate up to 10 million sf of warehouse, manufacturing & rail-served distribution facilities. NAI Partners will be handling marketing for the facility.
Mike Harp has joined Moody Rambin as director of construction management.
Mark Witcher has joined CBRE as a senior vice president with their National Retail Investment Group.
HOTEL DEVELOPMENT Hotel Development Services is building a 5-story, 144-room, Courtyard by Marriott in McCord Development’s Redemption Square District of Generation Park located in North Houston in the vicinity of Sam Houston Tollway & W. Lake Houston Parkway. INDUSTRIAL SALE All Current Electrical purchased a 56,876 sf manufacturing building at 12550 N. Houston Rosslyn Road from TSC Manufacturing & Supply. Wes Williams & David Boyd of Boyd Commercial represented the seller & Chris Caudill & John Ferruzzo of NAI Partners represented the buyer. INDUSTRIAL SALE A local private investor purchased a 26,500 sf building at 188 White Road in Sterling Industrial Park. Jason Tangen with Colliers & Hart Schleicher with Capital Real Estate handled the transaction. INDUSTRIAL SALE H&B Development & Construction purchased a 55,000 sf warehouse at 14333 Sommermeyer from Vallourec Tube Alloy. Nick Peterson, John Ferruzzo & Ryan Searle with NAI Partners represented the seller & Justin Clark & Nathan Gaines with Clark Gaines Properties represented the buyer. INNOVATION DISTRICT DEVELOPMENT The former Sears store located on 2.5 acres at 4201 Main Street will be developed as the main campus of Houston’s innovation district. The property is owned by Rice Management Company & Rice University is the innovation district’s equity partner. The campus is expected to serve as the center of Houston’s innovation corridor. OFFICE FOR SALE OR LEASE DEVELOPMENT Clay Development & Construction is constructing a 150,000 sf office property on 7.5 acres located at 4435 W. 12th Street called Offices at North Post Oak. The development will include
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JUNE 2018
seven buildings which will be offered for sale or lease.
Berry & Robbie Kilcrease with CBRE represented the seller.
OFFICE LEASE Simmons & Company International leased 31,000 sf on the 38th & 39th floors in the 609 Main at Texas building. Lou Cushman & Tim Relyea with Cushman Wakefield represented the tenant & Michael Anderson & Damon Thames with Colvill Office represented the landlord.
VACANT LAND SALE A partnership led by Vincent Giammalva of Giammalva Property purchased 84 acres on the north side of I10 near the Katy Mills Mall & Pin Oak Road. The property is expected to be resold for various retail, restaurant & hotel projects.
OFFICE SALE Stream Realty & American National sold the 93,000 sf building located at 3120 Southwest Freeway to Level Office. Stream will continue to manage & lease the building. OFFICE WAREHOUSE LEASE Integrated Construction Services, Inc leased 5,500 sf at 5414 Ashbrook. David Gerber of Gerber Realty represented the landlord, SG Enterprises. RETAIL RE-DEVELOPMENT Hartman Income REIT Management Inc is reconditioning the 95,000 sf Garden Oaks Shopping Center located at 3800 N. Shepherd Drive. RETAIL SALE Khaled Properties purchased the 103,000 sf Commons at Lincoln Green retail center located at 11303 Veterans Memorial Drive from Thomas Alan Wertheim, Trustee. Shawn Ackerman with Henry S. Miller represented the seller & Charles El Moussa represented the buyer.
HUMBLE, TX INDUSTRIAL DEVELOPMENT Jackson-Shaw & Thackeray Partners are constructing a 320,000 sf, three building industrial development called Parc Air 59. The development is the first with Archway Properties’ 111 acre, Park Air 59 mixed-use business park located at US 59 with direct access to Beltway 8. Cushman Wakefield will be handling leasing & management of the project.
KATY, TX ATHLETIC CLUB & SPA DEVELOPMENT VillaSport Athletic Club & Spa is building their third location at Gaston Road & Falcon Landing Blvd. The facility will be 90,000 sf with construction expected to start summer 2018 & completion within 15 months. BUSINESS PARK DEVELOPMENT Katy Partners Ltd & Hines plan to develop a 150-acre Class A business park called Pintail Crossing located at the northwest corner of I10 & Igloo Road. Upon completion the development will have up to 2.2 million sf of distribution space. RETAIL SALE An undisclosed buyer purchased the 74,000 sf Highland Plaza center located at 1520 S. Mason Road. Matt
PASADENA, TX INDUSTRIAL DEVELOPMENT CA-based Carson Companies has started construction on four buildings within Bayport Industrial Park. Upon completion the project will include one 207,000 sf warehouse & three 25,000 sf crane-ready buildings.
SHENANDOAH, TX OFFICE MEDICAL DEVELOPMENT Everson Developments has started development on the 58,000 sf Vision Park Medical Office Building located on 3.5 acres in Shenandoah. Lisa Hughes &Tim Maczko with The J. Beard Real Estate Company will be handling the leasing.
SPRING, TX RETAIL LEASE Gander Outdoors leased an 87,500 sf freestanding retail building on I45 in Spring, Tx. Gander Outdoors is a rebrand & renovation from the previous tenant, Gander Mountain. National Asset Services handled the lease.
STAFFORD, TX INDUSTRIAL SALE Black Creek Group purchased Stafford Grove Industrial Park, three Class A industrial warehouses totaling 325,000 sf located at Airport Blvd & Murphy Road. The seller was Crow Holdings Industrial, et al, who was represented by Trent Agnew, Rusty Tamlyn & Dane Petersen with HFF.
SUGAR LAND, TX OFFICE SALE Radler Enterprises Inc sold the six-story 154,263 sf Three Sugar Creek West building located at 3 Sugar Creek Center Blvd to Wedge Properties Management LLC. HFF handled the transaction. RESIDENTIAL EXPANSION Scottsdale, AZ-based Taylor Morrison purchased 107 acres from Brazos Bend Trust for the expansion of the Avalon at Riverstone. The property will be utilized for the development of 300 lots for the buye’s two divisions, Taylor Morrison & Darling Homes.
WEBSTER, TX HOSPITAL CLOSING The 191- bed Bay Area Regional Medical Center located at 200 Blossom Street has closed & filed for bankruptcy.
classifieds & index
ADVERTISER INDEX A. A. Realty Company 15
National Environmental Services 43
ABC Realty Advisors 19
Phase Engineering 30
Abraham & Company Realtors 22, 23
Plus Corp 11
Berkadia 1-SE Texas, 2, 3, 17
Pro Aire 25
Caldwell Companies 7
RE/MAX Southwest 21
City Bank Texas 44
RetailLive! 29
Cushman & Wakefield 11
Robert C Watson Associates 11
Equity Secured Investments 19
Showalter Law Firm 13
First Warrant Realty 13
Stream Realty Partners 1- C/So Texas, 10
Garver Real Estate 11
WA Development 5
Greenberg & Company 13
Waller County 25
Hankamer & Associates 25
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North Texas CCIM Chapter
JUNE 2018
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Summer Special! 50,000+ PRINT & DIGITAL DISTRIBUTION
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January
Vacant Land / Texas Growth Areas Industrial & Retail Recaps
February
Office / Industrial / Retail Trends & Hot Spots
Dec 11, 2017
Jan 12, 2018
- RECA KnockOut Night - CCIM Forecast Competition - BOMA Southwest Region Conference
Retail / Vacant Land / Texas Development Texas Economic Development
Feb 12, 2018
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Vacant Land / Industrial Industrial Hot Spots
Mar 13, 2018
May
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Apr 13, 2018
- CCIM & CREW Austin Real Estate Summit - Texas A&M Land Markets Conference - BOMA Dallas Trade Show - RECon Las Vegas
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Land / Texas Development Opportunities September Texas Economic Development Industrial / Office Service / Land Industrial Hot Spots
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Retail / EDCs Texas Economic Development Vacant Land / Retail ICSC Recap
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May 14, 2018
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NATIONAL ENVIRONMENTAL SERVICES
GABRIEL ENVIRONMENTAL GROUP
Houston, Texas
Redlands, California
National Environmental Services, based in Houston, Texas and Gabriel Environmental Group, based in San Bernardino, California, are sister environmental consulting companies, established in 1995, that conduct a full range of reliable and cost-effective environmental assessment and corrective services, with competitive pricing and convenient turnaround.
Licensed, certified and qualified to perform a wide range of services, including: • Phase I Environmental Site Assessments (AAIs-ASTM E 1527-13) • Transaction Screens (ASTM E 1528-06) • Asbestos & Lead-Based Paint Inspections (Licensed Texas Asbestos Consulting Agency) • RSRAs (Records Search with Risk Assessments) • Phase II Subsurface Investigations* • Remediation and Corrective Activities* • Soil, Water, and Air Testing Services • Indoor Air Quality/Mold Surveys (Licensed Mold Consulting Agency) • Underground Ground Storage Tank Testing Services* *Performed in Texas in partnership with Terrain Solutions, Inc., Texas Geoscience Firm Registration # 50018
National Environmental Services, LLC 5773 Woodway Drive, Suite 96 Houston, Texas 77057 Tel: 281.888.5266 Toll Free: 833-4Phase1 hgabriel@nationalenv.com www.nationalenv.com Satellite Offices: Portland (Tigard), Oregon and New York (Little Neck), New York
Gabriel Environmental Group 700 East Redlands Blvd, Suite U618 Redlands, California 92373 Tel: 951.545.0250 Toll Free: 833-4Phase1 hgabriel@gabrielenv.com www.gabrielenv.com
POSTMASTER: PLEASE EXPEDITE TIME SENSITIVE MATERIAL 5909 West Loop South,Suite 2537 S. Gessner, Suite 135, Bellaire, TX 77401 Houston, TX 77063
PRSRT STD U.S. POSTAGE PAID PERMIT NO. 2436 DALLAS, TX
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AL ROSS SIGN GROUP SET TO MAKE ITS MARK ON HOUSTON
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Group, LLC recently acquired a large sign
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Al Ross, CEO
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713.661.1500
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alrosssigngroup.com