REDNews Feb 2014 issuu by RE Journals

February 2014

In this issue: FOR 100,000+ CRE BROKERS,INVESTORS & DEVELOPERS

Texas Office & Industrial Markets Dallas/Ft.Worth On The Move Rebuilding East End Houston

Colonial Parkway

RESERVE 1

RESERVE 8A

24.0 ac.

13.4 ac.

RESERVE 6 Grand Park way

4.4 ac.

RESERVE 2 12.8 ac.

RESERVE 7 4.6 ac.

RESERVE 5 8.15 ac.

Merchants Way

The Parc

8B 0.8 ac.

Westside Parkway

Blvd. ntile rca e M

RESERVE 3

RESERVE 4

22.3 ac.

12.0 ac.

Grand Circle Blvd. 8C 2.5 ac.

Detention

8D 2.1 ac.

Detention Detention

Interstate 10

see page 3 for more information

EXCELLENT

M ixed -U se D evelopment O pportunities

Retail and Office Pad Sites Available

Proposed Live, Work, Play Development

NOW PRE-LEASING

District W est A We s t H o u s t o n M i x e d D e v e l o p m e n t

LO CAT E D AT P E E K ROA D & W E S T PA R K T O L LWAY PROPOSED OFFICE • 6 Buildings (25k SF/Floor) • Over 800,000 SF Proposed • Tiltwall 2-4 Stories • Lake/Park Amenities

PROPOSED RETAIL • Over 1,000,000 SF Proposed • Pad-Sites (Sale/Lease) • Pre-Leasing 25,000 SF Now • AGGRESSIVELY SEEKING RESTAURANTS

IN CONTRACT/DEVELOPMENT 2 Multi-family Sites (600 Units) Senior Living Site (150 bed) 72 Bed Hospital 24 Bed Specialty Hospital National Childcare Facility Sam’s Club

PEEK ROAD

For More Information Contact:

Corey Ferguson 281.860.2272

corey@raintreecommercial.com

“The Energy Corridor is outgrowing itself and continues to expand westward. The Grand Parkway will act as an accelerator of growth and serve as a natural corridor for residential, retail, office and commercial development. The ease of connectivity to the Grand Parkway will make Verde Parc an ideal location for energy expansion as well as residential and commercial development.” - Joe Moody

Verde Parc is at the northeast corner of the Grand Parkway and Interstate 10 in West Houston. The Grand Parkway will fundamentally change the dynamics of Houston by linking the quality growth markets of the southwest, west, northwest and north submarkets. Verde Parc is at the center of this transformation, therefore ideally positioned for office, retail, restaurant, multi-family, hotel and conferenceColonial uses. Verde Parc will be developed with the same high standard of our previous business parks, West Ten and Mason Parkway Creek Corporate.

5 %CBoromkmeriss

Property Highlights: • Highly visible regional property

RESERVE 1

ion

• Multiple points of ingress & egress to both the Grand Parkway and I-10

24.0 ac.

• Existing utilities

• Detention provided off-site • Deed restriction & master-planned

F-1

• Direct6access to Telfair, Cinco Ranch, Bridgelands, Fairfield, RESERVE

RESERVE 2

Barker Cypress

KATY

Fry Road Westgreen Blvd Fry

Mason Road

Clay Road

8 Energy Corridor

Katy Fwy

Energy Corridor 7 minutes

HOUSTON

Downtown 28 minutes

Tollway Westpark

w y tF

Open

610

ou th w

Sugar Land 18 minutes

59 6

22.3 ac.

288

Westgreen Blvd.

Cinco Ranch 2 minutes d

Mason Road

Park Row Dr

Colonial

Kin g sland Rd.

k Road Pee S.

Saums Road

Parkway

Park Row Dr. R

3003 W. Alabama Houston, Tx 77098 713.773.5521 joe.moody@parksidecap.com

Mason Rd.

Morton Road

oa R

President

8D 2.1 ac.

290

Clay Road

Franz Road

Saums Road

d Grand Circle Blv ac. Detention Joe2.5Moody

rth

Barker Cypress

Fry Road

Merchants Way

K i n s la

Sam Houston Tollway

Open

12.0 ac. g

RESERVE 3

RESERVE 4nd Rd.

Westside Parkway

Coloni al Parkway

ll P

ek Rd. Pe S.

Franz Road

Mason Road

The Parc

decap.com

Morton Road

n Pi

tice.

8.15 ac.

To m

Fwy

RESERVE 5

290

North

Clay Road

45 249

The Woodlands 35 minutes

4.6 ac.

Opening 2015

THE WOODLANDS

CYPRESS

12.8 ac.

RESERVE 7

F-2

Opening 2015

South Fwy

4.4and ac. The Woodlands

Opening 2015

George Bush Park/Eldridge

SUGAR LAND 6

Detention

288

Dan Moody Detention Vice President

3003 W. Alabama Houston, Tx 77098 713.773.5503 Interstate 10 dan.moody@parksidecap.com

PEARLAND

Opening 2019

For More Information: www.verdeparc.com

Dan Moody - Vice President • 713.773.5503 • dan.moody@parksidecap.com

Table of Contents

Dallas & Ft. Worth On The Move

10 – 12

Texas Office & Industrial MarketViews

14, 16, 18, 20

Rebuilding East Houston

24, 26 – 28

Ray’s BUZZ

Last Page: Social Media & Commercial Real Estate Brokerage

Properties for Sale/Lease

1-3, 5, 7-9, 13, 15, 17, 21, 24, 25, 29, 31

Commercial Services Environmental Services

What’s Happening in Texas CRE Calendar of Events Networking Photos Deals & Announcements

4 REDNews.com

34 – 35 36 – 37 38 – 40, 43, 44

THE PLAZA AT WALDEN

Walden Rd

WALDEN PLAZA

Conroe

Publisher’s Letter

PUBLISHER

Ginger Wheless

ginger@rednews.com

FOR 100,000+ CRE BROKERS, INVESTORS & DEVELOPERS

EDITOR Marjorie Gohmert marjorie@rednews.com STAFF WRITER Janis Arnold CONTRIBUTING WRITERS Ray Hankamer rhankamer@gmail.com Austin - Rosalie Keszler San Antonio - Suzanne Scott North Texas - Dave Sorter ART DIRECTOR Connie Marmolejo - connie@rednews.com ACCOUNTING Benton Mahaffey accounting@rednews.com DATABASE MANAGER Jason Marshall jason@rednews.com

Dear Readers, This issue’s market focus is on the Texas office and industrial markets and the words CBRE used to describe the third quarter of 2013 in these markets consistently include: strong, steady, highest and best. Although several Texas economists and seasoned CRE professionals have expressed opinions that this market may plateau in 2014 and we may not be boasting “highest and best” this time next year, they still expect it to be an exceptional year in all aspects of leasing and development in the commercial and residential real estate markets.

SALES Ginger Wheless ginger@rednews.com

Print & Digital Distribution

REDNews is directly mailed each month to commercial real estate brokers, investors & developers in the following cities /areas as well as 200+ locations throughout Texas: Texas Brokers 7,650 Texas Leasing / Tenant Rep 6,232 Texas Investors 4,979 Texas Developers 4,710 Outside Texas Investors, Brokers, Developers, etc 81,577 Total redNews Distribution 105,148

REDNews Has Gone Green Using Recycled Content To subscribe to redNews call 713.661.6300 or log on to www.redNews.com/free 5959 West Loop South, Suite 135 Bellaire, Texas 77401

Our editorial focus each month continues to be Texas development opportunities as it relates to transportation as well as development. The Dallas/Ft. Worth area seems to be at the top of their game in creating opportunity with their Mobility 2030 Plan which includes $17.7 billion in Tollway construction and $9.6 billion in light rail construction. We consistently hear a lot about west & north Houston (ExxonMobil) growth. When was the last time you took a tour of East Houston? I had breakfast several weeks ago with Sonny Flores, who was referred to me by a CRE broker who called Sonny “Mr. East End”. Sonny is a really interesting guy who has a passion for international travel and the east side of Houston. This is the oldest part of the city with a real flavor of vintage Houston. Eastwood and Idylwood residential neighborhoods are heavily wooded areas of pristine older bungalows and new residential homes (similar to West University many years ago). The Gus Wortham Golf Course is beautiful so you golfers who don’t want to wait to tee off, check it out. At the end of this year, MetroRail will complete the connector of east Houston to the CBD so there will be an easy commute via rail from east Houston to downtown. The efforts that the Greater East End Management District, along with developers and residents have made, are impressive in terms of development, redevelopment, low crime rates, and there is not one scrap of trash on the streets! Have a wonderful February and Happy Valentine’s Day!

Ginger Wheless

6 REDNews.com

FOR SALE FREE STANDING! FREE STANDING! FREE STANDING! Office/Warehouse - SW Houston

• 14,030 SF; tilt wall w/ 24’ eaves • One dock at grade w/ overhead door • 14,030 SF; tilt wall w/ 24’ eaves • Full A/C. Fenced • One dock at grade w/ door overhead semi dock w/OH • 1.08 Acres • door Full A/C.Land Fenced • Multiuse property • Full A/C. Fenced 1.08 Acres Land • PRICE • 1.08 Acres Land $795,000 Multi-REDUCED: use property

FOR SALE FOR SALE NEW LISTING - LENDER OWNED! The Villa Shopping Center – SW Houston NEW LISTING - LENDER OWNED! NEW LISTING - Center LENDER OWNED! The Villa Shopping – SW Houston

NEW LISTING! NEW NEW LISTING! LISTING! Office/Warehouse – SW Houston

The Villa Shopping Center – SW Houston

• Multiuse property $795,000 PRICE REDUCED: • PRICE REDUCED: $795,000

owner occupant • $899,000 REDUCED $ 840,000

9369 Country Creek, Houston, TX 3903 Stoney Brook Drive @ Westglen

9369 9369Country CountryCreek, Creek,Houston, Houston,TX TX

3903 Stoney Brook Drive @ Westglen

3903 Stoney Brook Drive @ Westglen NEW LISTING!

HIGH VISIBILITY!

North Fry Center HIGH VISIBILITY! Retail - West Houston North Fry Center Retail - West Houston

• 17,217 SF Free-standing, brick building, on 1.1 acre corner 6000 SF • • 17,217 SF Free-standing, brick warehouse on spaces 1.1 acre corner •building, 44 parking ••Full a/caccess with offices & +/6000 SF Good via US 59/Westpark warehouse & Tollway • 44 parking spaces Multi-use property. for ••Good access via US Ideal 59/Westpark occupant &owner Tollway •• Multi-use $899,000property. Ideal for

• 7,200 SF with high visibility • Excellent condition; built in 2006 • 7,200 SF with high visibility • On&.7traffic acres Land w/adjoining 1 acre availablecondition; built in 2006 • Excellent • Easy to Land I-10;w/adjoining Excellent 1 • Onaccess .7 acres acre potential available with opportunity income • Easy access to I-10; Excellent for expansion income potential with opportunity • $1,100,000 for expansion • $1,100,000

5516 Fry ATASCOCITA, Road, Katy, TXTX 7506North FM 1960,

3110 – 3398 Dairy Ashford, Houston, TX

• • • • •

Southwest Corner of Wilcrest and Harwin Southwest Wilcrest and and Harwin Harwin Southwest Corner Corner of of Wilcrest • 7,145 SF Night Club/Lounge - New Construction 1,509 SF Former Office Use • 1,509 SF Former Office Use • 1,500 SF Former Gameroom - New Construction. 1,509 SF Former Office Use 1,500 SF Former Former Gameroom -- New New Construction. Construction. • 4,700 SF Shell SpaceGameroom •• 1,500 SF 4,700 SF Shell Shell Space Space • Second Generation, Recently Constructed Spaces •• 4,700 SF •• Second Second Generation, Recently Constructed Spaces • Circular FloorGeneration, Plan Layout (Night Club) Recently Constructed Spaces Circular Floor Plan Layout Layout (Night (Night Club) Club) • Ample Parking LotPlan •• Circular Floor • Ample Parking Lot • Outside Door DecksLot and Pylon Sign Included (Night Club) • Ample Parking Outside Door Decks Decks and Pylon Pylon Sign Included Included (Night (Night Club) Club) • Base Rate: $9.60 - $12.00/sf plus NNN •• Outside Door and Sign Base Rate: Rate: $9.60 $9.60 -- $12.00/sf $12.00/sf plus plus NNN NNN •• Base

32,000 SF NRA on 2.5 Acres Land condition; in 2005 2.5 Acres Land •Excellent 32,000 SF NRA onbuilt Surrounded by residential • Excellent condition; built indevelopment 2005 access to/from Westpark Tollway •Easy Surrounded by residential development $2,499,000 • Easy access to/from Westpark Tollway • $2,499,000

3777 Sienna Parkway @ Steep Bank Trace 3777 Sienna Parkway @ Steep Bank Trace

FOR LEASE FORLEASE LEASE FOR Hillcroft West Center

Wilcrest Village West SW Houston Wilcrest Village Wilcrest Village West West SW Houston Houston SW

Elmsworth Shopping Center SW Houston Elmsworth Shopping Center Center Elmsworth Shopping SW Houston Houston SW

SW Houston Hillcroft West Center Hillcroft West Center SW Houston Houston SW

8200 Wilcrest Drive, Houston, TX 8200 Wilcrest Drive, Houston, NWC Beechnut Wilcrest DriveTX 8200 Wilcrest & Drive, Houston, TX NWC Beechnut & Wilcrest Drive Drive NWC Beechnut & Wilcrest •

SF available, to Crawfish • Busy centernext w/high visibilityHouse & great signage •• 700shopping • Busy shopping center w/high visibility & District great signage • Fast growing SW Houston & International • Busy shopping center w/high visibility & great signage • Fast growing SW Houston & International District • $12/SF $15/SF + NNN • Fast growing SW Houston & International District • $12/SF - $15/SF + NNN • $12/SF - $15/SF + NNN

FOR SALE - REAL ESTATEESTATE & BUSINESS FOR SALE - REAL & BUSINESS FOR SALE REAL ESTATE & BUSINESS Day Care Building, Improvements & Business Very Established Restaurant w/Real Estate

Very Established Restaurant w/Real Estate Very Land, Established Sugar TXTX Restaurant w/Real Estate Sugar Land, Sugar Land, TX

2719 • 2723 Hillcroft, Houston, TX 2719 •• 2723 2723 Hillcroft, Hillcroft, Houston, Houston, TX TX 2719

• High Visibility just south of SEC Westheimer/Hillcroft, behind CVS • High Visibility just south ofRestaurant SEC Westheimer/Hillcroft, behind CVS • 1,400 7,700 SF & Grocery Store) • High–Visibility just(Former south of SEC Westheimer/Hillcroft, behind CVS • 1,400 – 7,700SF SF (FormerEye Restaurant & Grocery Store) • 1,200 Care Store) • 1,400––4,479 7,700 SF(Former (Former Restaurant & Grocery Store) 1,200 – 4,479 SF (Former Eye Care Store) • ••In1,200 process for remodel – 4,479 SF (Former Eye Care Store) • In process for remodel • $21 $24/SF+ • In -process forNNN remodel • $21 - $24/SF+ NNN • $21 - $24/SF+ NNN

1.39 1.39Acres AcresVacant VacantLand Land 1.39Houston Acres Vacant Land SW SW Houston SW Houston

• •• •• •• •• •• •• • •

9370 – 9380 S Sam Houston Prkwy West, Houston TX 9370 –– 9380 9380 S S Sam Sam Houston Houston Prkwy Prkwy West, West, Houston 9370 Houston TX TX

Great Location! NWC W. Sam Houston Pkwy & Elmsworth Great Location! NWC W. Excellent Visibility & Access Great Location! NWC W. Sam Sam Houston Houston Pkwy Pkwy & & Elmsworth Elmsworth Excellent Visibility Access 1,000 to +/-14,500 Available Excellent Visibility & &SF Access 1,000 to +/-14,500 SF Available Shadow anchored by Walmart, Food Town 1,000 to +/-14,500 SF Available Shadow anchored by Food Town Next to Mambo’s, in the Box, Shadow anchored Jack by Walmart, Walmart, FoodDiscount Town Tire, Nova Medical Next Next to to Mambo’s, Mambo’s, Jack Jack in in the the Box, Box, Discount Discount Tire, Tire, Nova Nova Medical Medical Ideal for+business, $15/SF NNN restaurant, retail, medical office, etc. $15/SF + NNN $15/SF + NNN

Quality service today... Relationships for life. LAND SALE LANDFOR FOR SALE Quality service today... Relationships for life. LAND FOR SALE 4.0 Acres Vacant Land

4.0ACRES Acres Vacant Land IN SUGAR LAND BUSINESS PARK TRACT 4.1+/4.0 Acres Vacant Sugar Land, TX Land Sugar Land, TX IN SUGAR LAND BUSINESS PARK TRACT ACRES 4.1+/Sugar Land, TX Dairy Ashford Dairy Ashford

Day Care Building, Improvements & Business Day Care Building, Improvements & Business West/SW Area West/SW Area West/SW Area

car concrete parking on .812 acres of land building with 30 • Free-standing •car 3,837 SF+/- parking Professional Building concrete on .812 •acres Former Builders center of land • 3,837 SF+/- Professional Building ••Former Buildersviacenter Good access Fort Bend transformed into Tollway & SH 6 luxury offices ••Good access via Fort $765,000 or lease forBend $15/SF Tollway & SH 6 • $765,000 or lease for $15/SF

3110 – 3398 Dairy Ashford, Houston, TX

5516North North FryATASCOCITA, Road,Katy, Katy,TX TXTX 5516 Fry Road, 7506 FM 1960,

Shopping Center SWShopping Houston Shopping Center Center SW SW Houston Houston

NEW LISTING! For Sale/Lease – Missouri City, TX Sienna Plantation Office/Medical Building For Sale/Lease – Missouri City, TX • Free-standing building with 30

West/SW Area West/SW Area West/SW Area

• Existing Daycare Business, +/- children 80 children presently enrolled • Existing Daycare Business, withwith +/- 80 presently enrolled • 7,000 SF building on 1 acre • 7,000 SF building on 1.9487 acres • $1,900,000 for Daycare building, business • $1,900,000 for Daycare building, business • Owner is willing to sell 1 acre ($9.99/SF) separately • Owner is willing to sell extraextra 1 acre ($9.99/sf) separately • • Ideal for office, medical, professional development • Prospects must sign a Confidentiality Agreement & show ability • to Purchase purchase

Sugar Land, Texas Sugar Land, Texas Sugar Land, Texas

• 3,926+/restaurant in Sugar Land 2 AcresLand Land • 3,926+/SFSF restaurant in Sugar Land onon 2 Acres • Good sales, great business with discretionary income $200,000 • Good sales, business has discretionary income $200,000 year perper year • Full equipped with seating capacity • Full equipped with 180180 seating capacity • Owner wants to retire & sell land, improvements& &business business • Owner wants to retire & sell land, improvements • • $1,990,000 Prospects must sign a Confidentiality Agreement & show ability to Purchase show ability to purchase

Jimmy Chang MikeStich Stich Jimmy Chang Mike jimmy.chang@gmail.com stichmike1@gmail.com stichmike1@gmail.com jimmy.chang@gmail.com 713.939.8181 Ext.114 713.939.8181 Ext.105

Eastside sideBeltway Beltway88between betweenW. W.Bellfort Bellfort && W. W. East East side BeltwayTX 8 between W. Bellfort & W. Airport, Houston, TX Airport, Houston, Airport, Houston, TX

• Goodaccessibility accessibility&&visibility, visibility 1.39 acres • Good • Wellsuited suitedfor formany manyuses uses • Well • Tollfree freeexit exitramp rampdrops dropsinto intothe thesite sitewith withaatoll toll free free back back on on • Toll ramp.Both Bothatatgrade gradelevel level ramp. • REDUCED! $12.50/SF or $756,855 • REDUCED! $12.50/SF or $756,855.

DonnieChang, Chang,CCIM CCIM Donnie changdonnie@gmail.com changdonnie@gmail.com 713.939.8181 Ext.118

SITE SITE

St. S.Main St. S.Main Across from Sugar Sugar Land Land Business BusinessPark Park

90 90

ForAcross more information: from Sugar Land Business Park For more information: ABC Realty Advisors, Inc. opposite Sugar Land •• Situated Situated opposite Sugar LandBusiness BusinessPark Park ABC Realty Advisors, Inc. 6830 Wilcrest Drive Next Houston, TX •• Centrally located. to Oak77072 Grill Centrally located. to Live Live Grill 6830 Wilcrest Drive Next Houston, TXOak 77072 Office: 713/939-8181 Fax: 713/981-8880 • All utilities; zoned for general business • All utilities; zoned for general business Office: 713/939-8181 Fax:abcahoustontx.com 713/981-8880 jimmy.chang@gmail.com Ownerwill willsell sellabcahoustontx.com allor or part part •• $9.90/SF; $9.90/sf; Owner all jimmy.chang@gmail.com

LOCATION: LOCATION: 12935 Dairy Ashford and Stiles Lane (dead-end), Fort Bend 12935 Dairy Ashford and Stiles Lane (dead-end), Fort Bend County. County. KEYMAP: 568 M KEYMAP: 568 M LEGAL DESC: LEGAL DESC: DREIER S/D, BLOCK 1, LOT 4, ACRES 2.032 DREIER S/D, S/D, BLOCK DREIER BLOCK 1, 1, LOT LOT 4, 3,ACRES ACRES2.032 2.070 DREIER S/D, BLOCK 1, LOT 3, ACRES 2.070 ASKING PRICE: $9.99/S.F. ASKING PRICE: $9.99/S.F.

www.abcahouston.com www.abcahouston.com

4.1 +/- Acres Dairy

4.1 +/- Acres Dairy A Sugar Land, Sugar Land, T

TAXES: TAXES: Approximately $2.52385 Approximately $2.52385 p

Quality today... Relationships Relationships for for life. life. Quality service service today... LAND SIZE: LAND SIZE:

Personalized Service. Proven Results.

www.tarantino.com

NOW LEASING | 8313 Southwest Freeway

Up to 25K Open Concept Space Ideal For School/Engineering Firms

Visit the new Center website for all the amenities, photos and floor plans! www.thecenterbuildings.com

Kris Lilly| klilly@tarantino.com | 713-772-6633

450 N. Sam Houston Pkwy

Airport Office Building | For Sale or Lease

450 N. Sam Houston Pkwy, Houston, TX

8031 Airport Boulevard, Houston, TX

• Up to 10,000 SF Available

• • • •

• L ocated just 15 minutes from George Bush Intercontinental Airport • Covered Reserved Parking Available • Monitored After-Hour Card-Key Access System

Eric Ohlson | eohlson@tarantino.com

Excellent Owner/User Purchase Opportunity Full Building Available - 33,854 SF Across From Hobby Airport Great Location - Perfect Combination of Local Access and Global Reach • Building Identity Available

Peggy Rougeou | peggy@tarantino.com

Corporate Office:

San Antonio Office:

7887 San Felipe, #237 Houston, TX 77063 (713) 974-4292

12770 Cimarron Path St. 122 San Antonio, TX 78249 (210) 212-6222

Austin Office:

502 East 11th Street, #400 Austin, TX 78701 (512) 302-4500

Woodland Hills (Frontage)

Ella Plaza

11603 Sam Houston Pkwy Humble, TX 77396 | $1.9M ($21.81/SF)

1319 FM 1960 Houston, TX 77090 | $5.9M

•N W Corner of the Intersection of N Sam Houston Pkwy & Woodland Hills Pkwy

• • • •

• 2.00 Acres or 87,120 SF • Prime Commercial Land - Humble, TX

2005 Construction Strong Tenancy 5.86% Actual Cap Rate at 61% Occupancy NOI $345,987.20 Actual

Larr y Vickers | larr y@tarantino.com

De Zavala

12770 Cimarron Path San Antonio, TX 78249 • 3,000-10,000 SF, Flex Office & Biomedical Space Available • Generous Tenant Finish-Out Allowance • Northwest Location with Easy Access to I-10 & 1604

Coni Jenkins| cjenkins@tarantino.com

601 E. Main Street

601 E. Main | Alice, TX • • • • • •

Rare Opportunity for Well-Established Bank Class A Space Separate ATM Pad Site with 11 Lane Motor Bank Exceptional Deposit Base Estimated at $180-$210M 13,722 SF 1st Floor Individual Offices Available

Larr y Vickers | larr y@tarantino.com

Dallas & Fort Worth on the Move by Dave Sorter REDNews’ Contributing Writer Talk to someone who has lived in the Dallas-Ft. Worth area for the past 40 years, and they’ll tell you Plano was nothing but a prairie back then. The Central Expressway north of Interstate 635, and Plano, Allen, Fairview and McKinney have caused Collin County’s population to increase from 66,000 in 1970 to more than 800,000 today, according to the U.S. Census Bureau.

ly open for about three years, the time is ripe for the Legacy area of south Plano to fill in, as well as the portion of southern McKinney along the tollway.

KDC’s Van Amburgh agrees that the Sam Rayburn Tollway area in Collin County is among the popular future development areas.

Peter Aberg, a partner with Legacy Capital Development, is a young man looking west. With the 27.6-mile Chisholm Trail Parkway (an extension of SH 121) from downtown Ft. Worth to Cleburne scheduled to open this spring, Aberg sees the area of southwest Ft. Worth along this tollway to be next in line for a growth spurt.

“In the Legacy area, there’s a lot of activity in multifamily,” Van Amburgh said. “On (SH) 121, now that all the infrastructure is in place, people want to take advantage of the live/work/play scenario, and avoid long commutes.”

People who have lived in DFW for the past 20 years will tell you they remember when Frisco was a sleepy little town with some old houses. Then came the widening of State Highway 121, which morphed into the Sam Rayburn Tollway and two extensions of the Dallas North Tollway. Frisco’s Peter Aberg population has grown from about 6,000 in 1990 to more than 135,000 in November 2013, according to North along the Dallas North Tollway is one spot city statistics. most often mentioned. Offices, retail centers and The same rate of development can be seen as In- other commercial entities have popped up within a terstate 35E (Lewisville, Flower Mound, Carrollton), few years of the roads’ extensions to Far North DalInterstate 35W (north Ft. Worth), the President las, then Plano, then Frisco. The latter city scored a George Bush Turnpike (Garland, Rowlett) and Inter- coup last year when Dallas Cowboys owner, Jerry state 20 (south Arlington, Grand Prairie) have been Jones, announced it would be the site of the football improved and expanded. team’s new complex of offices and practice facilities. Conventional wisdom in Texas has been, build the highway and development will follow – most of the time. With construction crews more abundant than ever across the DFW landscape, commercial and residential real estate experts are starting to speculate about what the next, currently beneaththe-radar hot spots, will be. Matt Heidelbaugh, executive director of Cushman and Wakefield, believes the compass still points north, as yet another planned Dallas North Tollway extension – a 13.7 mile path between U.S. 380 and the Collin/ Grayson county line, reaches Prosper and Celina, north of Frisco. A two-lane road Matt Heidelbaugh currently carries traffic, with the first phase of the new road under development. And southern Collin County isn’t done yet. Steve Van Amburgh, CEO of KDC (formerly Koll Development Company), said that since the Sam Rayburn Tollway (State Highway 121) has been complete-

10 REDNews.com

“It’s something (U.S.) 75 did,” Heidelbaugh said referencing the effect the DNT has had on development. “There’s a big area north. More people are living there, saving themselves a big commute. Developers are going to be expanding into Prosper; there’s a lot of retail development happening.” For example, Lincoln Property Company is working – with Jerry Jones as a partner – on a 300,000 square-foot retail development at U.S. 380 and Preston Road, just east of the tollway’s current northern terminus. It is scheduled to open in late 2015, according to reports, and is part of the 800acre Gates of Prosper mixed-use project that will also feature single- and multi-family housing.

“More companies are leaving LBJ than are going to LBJ,” he added.

Steve Van Amburgh

Though more and more roads are being built/expanded, light rail, another form of transportation infrastructure is attracting development.” One of KDC’s current projects – the 2.3 million-square-foot CityLine Plaza at the newly improved intersection of Central Expressway and the President George Bush Turnpike – is an example.

Heidelbaugh sees the area from the Sam Rayburn Tollway/Dallas North Tollway intersection north past U.S. 380 as “sort of a new LBJ,” he said. “The Sam Rayburn Tollway could be thought of in the same way,” he added.

The office/retail/hotel/multi-family complex is across the tracks from a DART station that feeds downtown Dallas and, by the end of 2014, will provide a oneseat, though lengthy, ride to Dallas/Fort Worth International Airport. State Farm insurance has leased 1.5 million square feet of office space there.

“I also think there is room in McKinney for more commercial and more housing,” Heidelbaugh said. “We have Craig Ranch (a mixed-use development centered on a professional-level golf facility). It will be thoughtfully developed.”

“State Farm wanted to offer DART service to its employees,” Van Amburgh said. “That’s one reason they chose this site. Offices have been popular around the Bush Turnpike. Employees want to live in that area.

It also opens up parcels of land in southwest Ft. Worth and unincorporated areas near Crowley, Burleson, Joshua and Cleburne that now look like Plano did before the 1970s. “It’s more of a secret than you think,” said Aberg. “The real estate community doesn’t pay a whole lot of attention to it, but in the past 60 days, there has started to be some interest.” Aberg is a little biased. His Legacy Capital Development is attracting interest in its Chisholm Trail Ranch project, a 600-acre mixed-use facility planned for the intersection of the Chisholm Trail Parkway and the newly extended McPherson Road in southwest Ft. Worth. “In the last 90 days, we’ve been talking to Target and Cinemark,” Aberg said, adding that other big box stores have put out feelers. “The market feels kind of rural, but in the primary trade area, there are roughly 100,000 folks there.” The CTP, Aberg added, “will kick hous-

In addition to being the halfway point of the new toll road, the development is also near North Crowley High School and Summer Creek Middle School, and Legacy Capital is donating about 12 acres to the Crowley ISD for a new elementary school. Farther south, the Chisholm Trail Parkway is almost right behind the Joshua ISD’s Loflin Middle School and Caddo Grove Elementary School.

today – the LBJ Express work on I-635 and I-35E and the North Tarrant Express construction on SH 183, SH 121 and I-820, which are creating managed toll lanes – will not inspire

much new business…except, as Heidelbaugh said, companies hurt by all the construction will be revived once the work is done.

Dallas North & Sam Rayburn Tollways

Other spots of interest, according to the experts, may be: • Uptown Dallas. Though no new roads are going in, the year-old Klyde Warren Park over Woodall Rodgers Freeway is attracting a resurgence of interest, both Heidelbaugh and Van Amburgh said. The live/work/play theory is playing out there, they said.

y wa

oll nT

• 7th Street in Ft. Worth. The new bridges the city built on this street known for funky shops, bars and eateries are helping draw more and more people to the area, Van Amburgh said. • The area around DFW Airport. Now that the Airport Connector project on SH 114, SH 183, SH 121 and I-635 is complete, “there’s room for commercial infill,” Heidelbaugh said. • The Alliance Airport/north Ft Worth area. As I-35W improvements are made and the Texas Department of Transportation expands SH 170 from near Southlake past Alliance, industrial development could pick up, Aberg said. One thing all three developers agreed on is that the projects that are probably the most painful to motorists

t h en s id Bu e s e e ik Pr org np e ur G T

Dallas North Tollway

The Chisholm Trail Parkway will open this spring after three years of construction and 50 years of planning, negotiating and politicking among representatives of Tarrant and Johnson counties, and the cities of Fort Worth, Cleburne and multiple smaller towns in between. It will cut the travel time from Cleburne to downtown Fort Worth in half, and save drivers the frustration of more than 20 stoplights along SH 174 between downtown Cleburne and the entrance to I-35W in Burleson.

ing into gear in 2014.” He expects retail to start booming in 2015 and 2016.

Dallas North Tollway

Though many eyes are on these various areas of Collin County, Legacy Capital’s Aberg believes he has unearthed the best-kept secret in the region: Southwest Ft. Worth.

continued on page 12

R E D N e w s . c o m 11

continued on page 11

DENTON

FORT WORTH

MCKINNEY FRISCO

DALLAS

ARLINGTON

12 REDNews.com

REDNews.com 13

MarketView Houston Office OFFICE FOURTH QUARTER Houston Office

2013

2012

2011

2010

2009

2008

2007

2006

2005

2004

All the net absorption this quarter occurred in suburban markets, MARKET STATiSTicS

2003

under 1 million sq. ft. of net absorption. The Woodlands was not ConstruCtion remains strong While rates Continue to Climb. MarketView OFFICE DEMAND Vacancy far behind with just over 700,000 sq. ft. of net absorption. Due to With strong net absorption over the quarter and year, leasing Overall Net Absorption TRADE VOLUME UNEMPLOYMENT JOB GROWTH VACANCY CONSTRUCTION DELIVERIES limited availability, none of the west Houston submarkets broke the Houston activity seems to be holding at a steady pace. However, the Q4 CBRE Global Research and Consulting Q42013 2013 Office | Marketview CBRE Global Research and Consulting 500,000 sq. ft. net absorption mark for the year. However, the

Quick Stats

11.8%

CBRE Global Research and Consulting Class A

especially in west Houston. The West Loop closed the year with just

Class B

Vacancy Overall

Source: CBRE Research, Q4 2013.

makeup of lease transactions has changed from previous years. 21 Trades 14,231,324Vacancy Sq. Ft. Rate 756,383 Sq. Ft. CBD stagnated, finishing the year with negative absorption in three and Net Absorption While the number of large lease transactions increased this year

6.0%

21%

79,600

6,000,000

19%

5,000,000 17%

Houston Office | MarketView

of the four quarters in 2013. This quarter, the negative absorption TRADE VOLUMETRADE VOLUME UNEMPLOYMENT UNEMPLOYMENT JOB GROWTH VACANCY CONSTRUCTION DELIVERIES compared to the past two years, the total number of transactions is CONSTRUCTION DELIVERIES Directional arrowsVACANCY based on change quarter. Data reflects market totals. is due primarily to Exxon vacating 78,000 sq. ft. at 1301 Fannin Q4 2013 QoQ from YoYthe previous down. While it is difficult to predict whether this trend will continue 17%79,600 6,000,000 21 Trades 6.0% 11.8% 14,231,324 Sq. Ft. 756,383 Sq. Ft. 11.8% 14,231,324 Sq. Ft.and METRO vacating 26,000 sq. ft. at 1900 Main. 756,383 Sq. Ft. 21 Trades 6.0%

JOB GROWTH 79,600

4,000,000 15% 3,000,000 13% 11% 2,000,000

and for how long, the predictions of continued job growth indicate 5,000,000 based on change Data that the Houston market will continue to experience strong demand reflects market totals. Lease Rates PerDirectional Sq. Ft./yr arrows$24.62  from  the previous quarter. The quarter closed with the overall vacancy rate decreasing to for office space. Directional arrows based on change from the previous quarter. Data reflects market totals. 11.8% from 12.1%. The Katy Freeway submarket has hit an all-time 4,000,000 low vacancy of 3.2%, while Class A vacancy has dropped to a All the net absorption this quarter occurred in suburban markets, Absorption 1,343,850 $ $ 3,000,000 historic low of 1.2%. Deals of note this quarter include: Subsea 7 especially in west Houston. The West Loop closed the year with just occupied 100,000 sq. ft. at Westgate I, GEICO occupied 135,000 under 1 million sq. ft. of net absorption. The Woodlands was not 2,000,000 sq. ft. at Mason Creek Office Center, and Alliant Group occupied far behind with just over 700,000 sq. ft. of net absorption. Due to 125,000 sq. ft. at 3009 Post Oak. Houstonlimited availability, none of the west Houston submarkets broke the experienced another record breaking year Hot Topics

9% 1,000,000 7%

16%

2012

2011

2012

2011

2010

2009

Vacancy Overall

2008

2006

2005

2004

2003

2002

MarketView Vacancy Rate and Net Absorption

14%

2009

2008

Class B

ConstruCtion remains strong While rates Continue to Climb. Sq. Ft. Source: CBRE Research, Q4 2013.

2007

Class A

2007

15%

2006

2003

(3,000,000)

2004

2002

(2,000,000)

2005

Houston ConstruCtion remains strong Office While rates Continue to Climb. 5% (1,000,000)

2013

Q4 2013

2013

MarketView

2002

fice | MarketView Q4 2013

Directional arrows based on change from the previous quarter. Data reflects market totals. for office space.

Net Absorption ConstruCtion remains strong While rates Overall Continue to Climb. Lease Rates (Gross, Annual, Average Asking, Per Sq.Ft.) 1,000,000

• 5.4 million sq. ft. of new construction Quick Stats

Quick Stats broke ground this quarter in sixteen 2013 Q4Q42013 buildings; eleven of which began as

QoQ QoQ

YoYYoY

6,000,000 5,000,000 $35 4,000,000

Overall Net Absorption

CBRE Global Rese

12%

Hot Topics INDUSTRIAL FOURTH QUARTER ConstruCtion remains strong While rates 5.4 million sq. ft. of new construction Hot Topics MARKET STATISTICS broke ground this quarter in sixteen 5.4 million sq. ft. of new construction buildings; eleven of which began as Vacancy Rate and Net Absorption broke ground this quarter in sixteen Quick Stats speculative projects. buildings; eleven of which began as Q4 2013 QoQ YoY

Q4 20132013

20122012

2011 2011

UNEMPLOYMENT 6.0%

2010 2010

2009 2009

2008 2008

2007 2007

2006 2006

2005

TRADE VOLUME 21 Trades

2005

DELIVERIES 756,383 Sq. Ft.

2004

CONSTRUCTION 14,231,324 Sq. Ft.

2004

VACANCY 11.8%

2003

YoY

2002

QoQ

Vacancy Rate and Net Absorption

2003

(1,000,000)

2002

Q4 2013

•

Class B

13%

is due primarily to Exxon vacating 78,000 sq. ft. at 1301 Fannin 3,000,000 $30 17% 6,000,000 17% 6,000,000 $36.02 per sq. ft. in Q4 2013, from $35.03 in Q3 2013, for an 2,000,000 and METRO vacating 26,000 sq. ft. at 1900 Main. 11% increase of just over two dollars since the end of 2012. CBD Class lion square feet (sq. ft.) of net absorption. Demand for (2,000,000) speculative projects. $25 1,000,000 5,000,000 Lease Rates Per Sq. Ft./yr $24.62   16% A rates increased to $42.12 per sq. ft. in Q4 2013, from $40.66 in 5,000,000 0 The quarter closed with the overall vacancy rate decreasing to Lease Rates Per Sq. Ft./yr $24.62  (3,000,000)  space 17% 16% $20 10% office has6,000,000 not been this strong since 2006. With Q3 2013. The suburban markets saw rate increases as well. In the (1,000,000) 4,000,000 11.8% from 12.1%. The Katy Freeway submarket has hit an all-time The Katy Freeway submarket has 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Energy Corridor, overall rates jumped to $22.83 per sq. ft. in Q4 (2,000,000) 15% 4,000,000 low vacancy of 3.2%, while Class A vacancy has dropped to a $15 5,000,000 Absorption new construction 2013, from $22.07 in 3Q 2013. Katy Freeway Class A rates 3,000,000tenants continue (3,000,000)Rate Q2 to find Q4 Annual Net Absorption Vacancy Lease Rates Per Sq. Ft./yr 1,343,850 $24.62 $ $limited  supply, reached a historic low vacancy rate of 16% historic low of 1.2%. Deals of note this quarter include: Subsea 7 Directional arrows basedQ1 on change fromQ3the previous quarter. Data reflects market totals. 15% Sq. Ft. jumped by three dollars per sq. ft. to $38.81 per sq. ft. in Q4 $10 Absorption 1,343,850 $ $ occupied 100,000 sq. ft. at Westgate I, GEICO occupied 135,000 3,000,000 14% 3.2%. 4,000,000 2,000,000 Source: CBRE Research, Q4 2013. highly desirable. 2013, from $35.63 in Q3 2013. Along with the rising rental rates, sq. ft. at Mason Creek Office Center, and Alliant Group occupied Class A Class B Overall Net Absorption Source: CBRE Research, Q4 2013. owners are offering healthy tenant improvement allowances, Class A Class B Overall Avg. Asking Rates15% Hot Topics 14% Absorption 1,343,850 $ $ 125,000 sq. ft. at 3009 Post Oak. 1,000,000 2,000,000 13% 3,000,000 especially in the new construction projects. New construction Source: CBRE Research, Q4 2013. The Greater Houston Partnership Lease Rates (Gross, Annual, Average Asking, Per Sq.Ft.) • 5.4 million sq. ft. of new construction deliveries, changes in demand by tenant size, limited Class A Sq. Ft. RATES LEASE 0 Houston experienced another record cost. Even with the high amount of forecasts Houston to create just 14% Under Construction 12% availability, and operating expense increases will all be factors for 1,000,000 2,000,000 broke ground this quarter in sixteen $35 Overall asking rates increased slightly this quarter to $24.62 per 13% rental rate movement going forward. breaking year of net absorption, construction in our market, strong preover 69,000 new jobs in 2014. The (1,000,000) sq. ft., from $24.40 in Q3 2013. Overall CBD rates jumped to • buildings; eleven of which began as Sq. Ft. $30 14,000,000 1,000,000 0 $36.02 per sq. ft. in Q4 2013, from $35.03 in Q3 2013, for an 13% continuing the strong momentum of leasing means only a portion of that 11% professional and business services CONSTRUCTION (2,000,000) 12% increase of just over two dollars since the end of 2012. CBD Class 12,000,000 • speculative projects. $25 Industrial demand Sq. Ft. Currently, 14.2 million sq. ft. is underway in 41 buildings, and 67% recent years. The market closed the year space is coming to the market vacant. sector is expected to see some of the A rates increased to $42.12 per sq. ft. in Q4 2013, from $40.66 in 0 Market Availability (1,000,000) Quasar Navigation 10,000,000 (3,000,000) Ltd. acquired a 302,800 sq. ft. multi-tenant industrial 10% of it is pre-leased. Sixteen projects broke ground this quarter totaling $20 12% Q3 2013. The suburban markets saw rate increases as well. In the 500,000,000 warehouse building in Houston’s Downtown submarket. • The Katy Freeway submarket has with 4.9 million square feet (sq. ft.) of net 2002 2003 2004 Eastside 2005 Industrial 2006 2007 2008 2009 12% 2010 8,000,000 2011 2012 2013 greatest gains. 5.4 million sq. ft., eleven of which are spec. New starts include 11%450,000,000 Energy Corridor, overall rates jumped to $22.83 per sq. ft. in Q4 (1,000,000) The facility, situated on 21.5 acres at 6501 Navigation, made the news last (2,000,000) $15 Westchase Park II, West Memorial Place, Four Oaks Place and 609 absorption. Demand for office space has Record setting construction starts Q1 Q2 Q3 Q4 Annual Net Absorption Vacancy Rate reached a historic low vacancy rate of 10% 6,000,000 2013, from $22.07 in 3Q 2013. Katy Freeway Class A rates 400,000,000 summer when Crane Worldwide Logistics signed an expansion lease for 6,000,000 Main, which are all over 300,000 sq. ft. 609 Main is the first 11% The Houston market closed 2013 with 350,000,000 150,000 jumped by three dollars per sq. ft. to $38.81 per sq. ft. in Q4 sq. ft. At the time, the local media reported occurred this quarter, with sixteen that the property itself $10 not been this strong since 2006. With 3.2%. (2,000,000) 8% 4,000,000 Source: CBRE Research, Q4 2013. building under construction in the CBD since Hess Tower began (3,000,000) 10% 3 undergoing 300,000,000 2013, from $35.63 in Q3 2013. Along with the rising rental rates, was a major redevelopment, which included demolishing some of 4.9 million sq. ft. of positive absorption, 2,000,000 5,000,000 • construction in Q1 2008. Speculative starts have increased from 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 limited supply, tenants continue to find buildings breaking ground. Of the 6% 250,000,000 the buildings on site and owners are offering healthy tenant improvement allowances, Lease Rates Per(3,000,000) Sq.selling Ft./yr 10 acres.$24.62   Class A Class B Overall Avg. Asking Rates10% two groundbreakings last quarter, to eleven groundbreakings this • The Greater Houston Partnership new construction highly desirable. 0 200,000,000 the most since 2006, and the second especially in the new construction projects. New construction Source: CBRE Research, Q4 2013. forty-one buildings currently under • 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Q1 Q2 Q3 Q4 Annual Net Absorption Vacancy Rate 4% quarter. New spec projects include The Reserve at Sierra Pines II, 4,000,000 150,000,000 Monmouth Real Estate Investment Corporation acquired an114, 923 sq. deliveries, changes in demand by tenant size, limited Class A Houston experienced another record cost. Even with the high amount of forecasts Houston to create just highest absorption totals the market Beltway Lakes III, Town Center I and Park 10 Center I. Three construction, thirty are multi-tenant 100,000,000 ft. industrial building located at 21200 Spring Plaza Drive inQ1 Spring. The Under Annual Construction Q2 Q3 Net Absorption Vacancy Rate availability, and operating expense increases will all be factors for 2% Q4 Under Construction Deliveries Source: CBRE Research, Q4 2013. Absorption 1,343,850 $ $ breaking year of net absorption, construction in our market, strong preSource: CBRE Research, Q4 2013. 50,000,000 buildings, all in the Energy Corridor, totaling 756,000 sq. ft. over 69,000 new jobs in 2014. The property is net leased for 10 years to FedEx Ground Package System, Inc. 3,000,000 has seen since 1997. rental rate movement going forward. Rates are rising with less space available, buildings with 4.7 million sq. ft. available 0% 0 Sq. Ft. delivered this quarter and were 81% pre-leased. The building is situated approximately 17 acres and is expandable by continuing the strong momentum of leasing means only a portion of that Source:on CBRE Research, Q4 2013.

Quick Stats

•

500,000 sq. ft. net absorption mark for the year. However, the

LEASE RATES of net0 absorption, continuing strong momentum of CBD stagnated, finishing the year with negative absorption in three Vacancy Rate and Netthe Absorption Overall asking rates increased slightly this quarter to $24.62 per of the four quarters in 2013. This quarter, the negative absorption Q4 2013 sq. ft., from $24.40 in Q3 2013. Overall CBD rates jumped to recent years. The market closed the year with 4.9 mil-

Sq. Ft.

Class A

Source: CBRE Research, Q4 2013.

Continu

3.2%. professional and business services

2013

2012

Q4 2013

2011

2010

2009

2008

2007

2006

2005

2004

2002

Houston Industrial Houston Industrial Houston Industrial INDUSTRIAL FOURTH QUARTER MarketView MarketView MARKET STATISTICS

2003

2002

Houston Industrial | MarketView Q4 2013

speculative projects.

The Katy Freeway submarket has The Katy Freeway submarket has reached a historic low vacancy rate of 3.2%.reached a historic low vacancy rate of

2003

Q4 2013

•

Net Absorption

Total Market RBA*

Vacancy

2013

2012

2011

2013

2010

new construction highly desirable. forty-one buildings currently under the most since 2006, and the second CONTRIBUTE A U.S. SURGE U.S.CHEMICAL CHEMICAL EXPORT CONTRIBUTE TO TO A IN SURGE ININ U.S. EXPORTNUMBERS. NUMBERS. new construction highly desirable. forty-one buildings currently under Source: CBRE Research, Q4 2013. CONTRIBUTE TO A SURGE CHEMICAL EXPORT NUMBERS. Industrial International Incorporated (IDI) purchased three • Developments The Greater Houston Partnership highest absorption totals the market

2013 2012

2012

2012 2011

2009

2011

20112010

2008

2010

20102009

2007

2009

2006

20092008

2008

2005

2004

2006 2007

2007 2008

2007

2006

2005 2006

2005

2004

2002

Houston Industrial | MarketView

approximately 80,000 additional sq. ft. the most since 2006, and the second Tanner Business Park from John English.

2003

MarketView

2005

2004

14,000,000 approximately 80,000 additional sq. ft. causing tenants to begin their search for for pre-lease. 2,000,000 CONSTRUCTION EXCERPTS FROM FOURTH QUARTER MARKETVIEW 12,000,000 recent years. The market closed the year space is coming to the market vacant. © 2013, CBRE, Inc. Total Market RBA* Vacancy Availability Currently, 14.2 million sq. ft. is underway in 41 buildings, and 67% space earlier than ever before in order Industrial Developments International Incorporated (IDI) purchased three Hotwith 4.9 million square feet (sq. ft.) of net Topics • The Greater Houston Partnership 10,000,000 Source: CBRE Research, Q4 2013. of it is pre-leased. Sixteen projects broke ground this quarter totaling Houston experienced another record cost. Even with the high amount of greatest gains. 1,000,000 forecasts Houston to create just properties in town as part of an 11-property industrial portfolio. The local to find the right space at a manageable 5.4 million sq. ft., eleven of which are spec. New starts include 8,000,000 Q4forecasts Houston to create just 2013 CBRE Global Research and Consulting Houston experienced another record cost. Even with the high amount of Industrial demand properties purchased are Greenspoint Business Center D at 101 Esplanade • absorption. Demand for office space has 5.4 million sq. ft. of new construction Record setting construction starts Absorption Sq. Ft. and Vacancy breaking year of net absorption, construction in our market, strong preSq. Ft.Market Availability Westchase Park II, West Memorial Place, Four Oaks Place and 609 over 69,000 new jobs in 2014. The 0 6,000,000 Road, spanning 244,557 sq. ft., the 106,700sq. sq.ft.ft.multi-tenant Greenspointindustrial Business Quasar Navigation Ltd. acquired a 302,800 Industrial | Marketview Q4Houston 2013 CBRE Global Research Consulting • The Houston market closed 2013 with Q4 2013 CBRE Globaland Research and Consulting not been this strong since 2006. With occurred this quarter, with sixteen breaking year of net absorption, construction in our market, strong preMain, which are all over 300,000 sq. ft. 609 Main is the first 8,000,000 9% over 69,000 new jobs in 2014. The broke ground this quarter in sixteen Center B at building 51 Esplanade Road.; Downtown and the 54,818 sq.Industrial ft. Greenspoint 12% 500,000,000 warehouse in Houston’s Eastside submarket. 4,000,000 continuing the strong momentum of leasing means only a portion of that professional and business services 8% building under construction in the CBD since Hess Tower began 4.9 million sq. ft. of positive absorption, 7,000,000 Business Center A aton 11710 Freeway. Park Underwood, LLC purchased 3CONSTRUCTION 450,000,000 facility, situated 21.5 North acres at 6501DELIVERED Navigation, made the news last limited supply, tenants continue to find buildings breaking ground. Of the (1,000,000) VACANCY JOB GROWTH UNDERThe CONSTRUCTION UNEMPLOYMENT RATE continuing the strong momentum of leasing means only a portion of that professional and business services 10% 2,000,000 buildings; eleven of which began as 7% construction in Q1 2008. Speculative starts have increased from approximately 90 acres at Bayport North Industrial II in Pasadena. 400,000,000 6,000,000 summer when Crane Worldwide Logistics signed anPark expansion lease for The recent years. The market closed the year space is coming to the market vacant. the most since 2006, and the second VACANCY JOB GROWTH VACANCY JOB GROWTH sector is expected to see some of the UNDER CONSTRUCTION DELIVERED CONSTRUCTION UNEMPLOYMENT RATE UNDER CONSTRUCTION DELIVERED CONSTRUCTION UNEMPLOYMENT RATE new construction highly desirable. forty-one buildings currently under 6% two groundbreakings last quarter, to eleven groundbreakings this industrial land will be developed into finished lots for sale or build-to-suits. 5.3% 79,600 YoY 350,000,000 0 150,000 sq. ft. the time, the local media reported that the 7,779,183 Sq. Ft.Atrecent years. The market closed the year 3,442,144 Sq.property Ft. itself (2,000,000) 5.9% 5,000,000 space is coming to the market vacant. 8% sector is expected to see some of the speculative projects. 5% quarter. New spec projects include The Reserve at Sierra Pines II, highest absorption totals the market 300,000,000 5.3% 79,600 YoY was undergoing aFt. major redevelopment, which included demolishing some of Sq. 3,442,144 Sq. Ft. 5.9% 5.3% 79,600 YoY construction, thirty are multi-tenant with 4.9 million square feet (sq. ft.) of net 7,779,183 Sq. Ft. 7,779,183 3,442,144 Sq. Ft. 5.9% 4,000,000 greatest gains. 4% Enerflex Energy Systems purchased 31 acres in Telge Industrial Park from Beltway Lakes III, Town Center I and Park 10 Center I. Three 6% 250,000,000 with 4.9 million square feet (sq. ft.) of net buildings on site and selling 10 reflects acres. greatest gains. Under Construction Deliveries Directional arrows based on change fromthe the previous quarter. Data market totals. has seen since 1997. 3,000,000 (3,000,000) Source: CBRE Research, Q4 2013. Rates are rising with less space available, buildings with 4.7 million sq. ft. available Wyman-Gordon Forgings. 3% buildings, all in the Energy Corridor, totaling 756,000 sq. ft. 200,000,000 absorption. Demand for office space has Record setting construction starts Directional arrows based changequarter. from• theData previous quarter. Data reflects market totals. Directional arrows based on change from the on previous reflects market totals. The Katy Freeway submarket has 2,000,000 2002 2003 2004 2005 2006 2007 2008 2009 2010 2 4% absorption. Demand for office space has Record setting construction starts 2% 150,000,000 delivered this quarter and were 81% pre-leased. Monmouth Real Estate Investment Corporation acquired an114, 923 sq. causing tenants to begin their search for for pre-lease. • The Houston market closed 2013 with 1,000,000 MWH closedbuilding three purchases: a21200 15-acre unimproved landintract on Highway 6 1% 100,000,000 not been this strong since 2006. With occurred this quarter, with sixteen ft. industrial located at Spring Plaza Drive Spring. The • The Houston market closed 2013 with 2% Q1 Q2 Q3 Q4 Annual Net Absorptio reached a historic low vacancy rate of Sq. Ft. not been this strong since 2006. With occurred this quarter, with sixteen N from NW Copper; a 28,000 sq. ft. office/warehouse at 10851 Train Court 0% 0 50,000,000 property is net leased for 10 years to FedEx Ground Package System, Inc. CBRE, Inc. 4.9 million sq. ft. of positive absorption, CHEMICAL EXPANSIONS INspace earlier than ever before in order HOUSTON’S $15 BILLION PETROCHEMICAL COMPLEX in Brittmoore-Tanner Business Park from Deepwater Corrosion Services; CHEMICAL EXPANSIONS IN HOUSTON’S $15 BILLION PETROCHEMICAL COMPLEX WILL WILL © 2013, buildings breaking ground. Of the 0% 0 Sq. Ft. 4.9 million sq. ft. of positive absorption, The building islimited supply, tenants continue to find situated on approximately 17 acres and is expandable byand aSource: CBRE 3.2%. to find the right space at a manageable CHEMICAL EXPANSIONS IN HOUSTON’S $15 BILLION PETROCHEMICAL COMPLEX WILL limited supply, tenants continue to find buildings breaking ground. Of the Research, Q4 2013. 15,000 sq. ft. office/warehouse at 12029 Brittmoore Park Drive in Brittmoore-

• The Greater Houston Partnership sector is expected to see some of the

Availability

Source: CBRE © Research, 2013.Inc. asking rates 2013, Q4 CBRE, highest absorption totals the market construction, thirty are multi-tenant construction, thirty are multi-tenant properties in town as part IndustrIal of an 11-property industrial Is portfolio. The local Asking actIVIty BooMIng tHetHe Texas,Rates wherewhere there isthere an advantage from bothfrom lower Tight market conditionsIndustrIal are favoring annual rent increases and minimal near freenear actIVIty Is BooMIng isboth an advantage both lower Houston experienced another record cost. Even with the hig INDUSTRIAL ACTIVITY IScomes BOOMING NEAR forecasts Houston to create just properties purchased actIVIty are Greenspoint Business Center D at 101 Esplanade IndustrIal Isproduct BooMIng near tHe Texas, where there isTexas, an advantage from lower to attract Absorption Sq. Ft. and Vacancy rent periods. Rates are rising with less space available, UntilRates are rising with less space available, deliveryPort of more to market, we do not buildings with 4.7 million sq. ft. available of Houston taxes and operational costs, continuing buildings with 4.7 million sq. ft. available Road, spanning 244,557 sq. ft.,of the Houston 106,700 sq. ft. Greenspoint Business Port taxes and operational costs, continuing to attract Quick Stats Port of Houston taxes and operational costs, continuing to attract expect thisover 69,000 new jobs in 2014. The trend to change course in the Houston market area. Houston’s breaking year of net absorption, construction in our m 9% THE PORT OF HOUSTON The Houston Business Journal released its “Deals 8,000,000 build-to-suit businesses going forward. at 51 Esplanade Road.; and the 54,818rental sq. ft.rate Greenspoint Q4 2013Center YoY causing tenants to begin their search for citywideBQoQ average quoted gross monthly industrial forreleased all productits “Deals for pre-lease. causing tenants to begin their search for for pre-lease. The Houston Business Journal build-to-suit businesses going forward. The Houston Business Journal released its “Deals build-to-suit businesses going forward. Q4 2013 QoQ YoY 8% 7,000,000 Center from A at 11710 North Freeway. Park Underwood, Q4 2013 QoQ YoY Business of to the Year” winners InLLC thepurchased Commercial continuing the strong momentum of leasing means only a types increased $6.48 $7.58 per sq.released ft. infor the2013. fourth quarter. By professional and business services The Houston Business Journal its “Deals 7% Vacancy 5.3%   of the Year” winners for 2013. In the Commercial approximately 90 acres at Bayport North Industrial Park II in Pasadena. The 6,000,000 of the Year” winners forEstate 2013. In the rental Commercial space earlier than ever before in order property type, the space earlier than ever before in order average quoted gross monthly rates are as follows: Real category, Frontier Logistics signed the A recent visit by Vice President Joe Biden to the Port Vacancy  Estate  category, 6% Vacancy 5.3%  5.3%industrial land will be developed into finished lots for sale or build-to-suits. recent years. The market closed the year space is coming to th $0.45 per sq. ft. for warehouse/distribution space; $0.79 per sq. ft. for flex/ 5,000,000 sector is expected to see some of the Real Estate category, Frontier Logistics signed the A recent visit by Vice President Joe Biden to the Port Real Frontier Logistics signed the A recent visit by Vice President Joe Biden to the Port of the Year” winners for 2013. In the Commercial largest industrial prelease. The La Porte based of Houston encouraged seaport facilities to handle Net Absorption 1,768,753 service Sq. Ft. space;  to find the right space at a manageable  $0.45 per sq. ft. for manufacturing space. 5% andto find the right space at a manageable 4,000,000 largest industrial prelease. The La Porte based of Houston encouraged seaport facilities to handle largest industrial prelease. The La Porte based of Houston encouraged seaport facilities to handle with 4.9 million square feet (sq. ft.) of net FrontierFrontier Logistics Logistics LP signed signed a 600,000 4% 1,768,753  Realgreatest gains. Estate category, Net AbsorptionNet Absorption1,768,753 Sq. Ft.  Sq. Ft.Enerflex Energy Systems purchased 31 acres in Telge Industrial Park from the square larg- feet 3,000,000expanded ship traffic generated from the widening Under Construction 7.8 million Wyman-Gordon Sq. Ft.   Forgings. 3% construction Frontier LogisticsFrontier LP(sq. signed a 600,000 squarea feet ft.)Logistics lease in build-to-suit construction near the feet of theexpanded ship traffic generated from the widening Panama Canal and help ignite job creation. LP signed 600,000 expanded ship traffic generated from the widening square absorption. Demand for office space has Record setting constru 2,000,000 2% Under Construction 7.8 million Sq. Ft.   During Q4 2013, 32 buildings totaling 7.8 million sq. ft. were completed in Under Construction 7.8 million Sq. Ft.   est industrial prelease. The La Porte based Frontier Lo-Houston Port of Houston situated on 46 acres. The The Panama Canal project will double the shipping (sq. ft.) lease in build-to-suit construction near the of the Panama Canal and help ignite job creation. (sq. ft.) lease in build-to-suit construction near the of the Panama Canal and help ignite job creation. Delivered Construction 3.4 million MWH Sq. Ft.  1,000,000 closed three This purchases: a 15-acre unimproved land2.5 tract on Highway 1% the Houston area. compares to 34 buildings totaling million sq. ft. 6 • The Houston market closed 2013 with not been this strong since 2006. With occurred this quarter, Business Journal reports that Frontier plans to utilize capacity of a canal system that has been limited by Sq. Ft. Port of Houston situated on 46 acres. The Houston The Panama Canal project will double the shipping N from NW Copper; a 28,000 sq. ft. office/warehouse at 10851 Train Court the of third quarter The top completion Katy-based Igloo © 2013,Canal CBRE, Inc.project will double the shipping0% Port aof2013. Houston situated on is46 acres. The Houston 0 The Panama Delivered Construction million Sq.ft./mth Ft.  Sq. Ft.at$0.63 gistics LP signed 600,000 square feet (sq. ft.) lease Delivered Construction 3.4 million end the Lease3.4Rates per sq.   4.9 million sq. ft. of positive absorption, in Brittmoore-Tanner Business Park from Deepwater Corrosion Services; and a Products new 420,000 sq. ft. distribution facility in West Ten Business Park at the building as a logistics facility serving clients in the the locks’ inability to accommodate ships wider than Business JournalBusiness reports that Frontier plansthat to utilize capacity of a canalcapacity system that has beensystem limitedthat by has been limited supply, tenants continue to find buildings breaking gr Journal reports plans to utilize of a canal limited by 15,000 sq. ft. office/warehouse at 12029 Brittmoore Park Drive in Brittmoore28501in Hwy The new 120-dock distribution center will help build-to-suit construction near thebuilding, Port of Frontier Houston Lease Rates perLease sq. ft./mth plastics industry. The called 225the RailPort, 110average feetasking andrates longer 1,050 feet. Trade Net Absorption Vacancyarriving Monthly gross per sq. ft.than the building asfrom athe logistics facility clients in the the locks’ inability to ships wider than Rates sq. ft./mth$0.63  $0.63Tanner  company Boulevard. the most since 2006, and the second cooler keep up with itsEnglish. growing of products. The company Business Park John building asline aserving logistics facility serving clients in theCBRE theaccommodate locks’ inability to accommodate ships wider than new construction highly desirable. forty-one buildings cu HotperTopics Source: Research, Q4 2013. will include 20,000 linear of new through the Port of Houston accounts for more than Source: longer CBRE Research, Q4 2013. manufactures about products, totaling between 17 and 20feet million units situated on 300 46 acres. Thenearly Houston Business Journal plastics industry. The building, called RailPort, 110rail. feetThe and than 1,050 feet. Trade arriving plastics industry. The225 building, called 225 RailPort, 110 feet and longer than 1,050 feet.billion Trade arriving highest absorption totals the market Houston is one of the most dynamicasking industrial annually. The new building, combined with about the existing facilities, will increase construction, thirty are project will cost $50-to-$70 million to develop. one million jobs in Texas, an estimated $179 rates Construction and Absorption Hot Topics Hot Topics willreports include nearly 20,000 linear feet ofsq. new rail. isThe through theAsking Port of Rates Houston accounts for more than that Frontier plans to utilize the as a the rate company’s footprint inThe the area to 1.8 million ft. building Igloo among the markets in the U.S. with a low vacancy of 5.3%, will include nearly 20,000 linear feet of new rail. The through the Port of Houston accounts for more than Tight market conditions are favoring annual rent increases andcompletion minimal free building has an anticipated by the in economic activity and $4.5 billion in tax revenue has seen since 1997. Houston is one of the most dynamic industrial buildings with 4.7 mil project will cost about $50-to-$70 million to million jobs in Texas, an estimated $179 billion top 10 employers inof themore region and will employ an develop. estimated rent periods. Until delivery product comes to market, we do 1,100 notoneRates are rising with less space available, $0.90 Houston 1.8 is one of the dynamic industrial million sq. most ft. of net absorption and 7.8largest million project will cost about $50-to-$70 million to develop. oneand million in Texas, $179 billion third quarter 2014. for state local jobs authorities. Thean portestimated is the busiest markets in the U.S. with a low vacancy rate of 5.3%, expect logistics facility serving in the plastics industry. workers by the end of 2013. this trend to change course inclients the Houston market area. Houston’s $0.80activity and $4.5 billion in tax revenue The building has an anticipated completion by the in economic sq.the ft. under construction as of Q4rate 2013. markets in U.S. with a low vacancy of 5.3%, causing tenants to begin their search for seaport in the nationactivity in terms of foreign tonnage The building has an anticipated completion by the in economic and $4.5 billion infor pre-lease. tax revenue citywide average quoted gross monthly industrial rental rate for all product 1.8 million sq. ft. of net absorption and 7.8 million $0.70 third 2014. forft.state and local authorities. The port is the busiest Thequarter building, called 225per RailPort, will include nearly There are currently 95 buildings under construction totaling 7.8 million sq. 1.8 million sq. ft. of net absorption and 7.8 million types increased from $6.48 toquarter $7.58 sq. ft. in distribution the fourth quarter. Bythat The Frontier Logistics center, will be second busiest in United States for overall $0.60 and the third 2014. for state and local authorities. The port is the busiest space earlier than ever before in order sq. ft. under constructionHouston-Sugar as of Q4 2013. in the greater Houston industrial market. The largest project is the 600,750 seaport in the nation in terms of foreign tonnage property type, the average quoted gross monthly rental rates are as follows: ranked eighth • construction Land-Baytown $0.50 shipping tonnage. Biden’s visit to Houston is part built specifically near the Houston Ship Channel, will sq. ft. under as of Q4 2013. 20,000 linear Crossing feet of new rail. The project will cost sq. ft. building at Greens 1 in the 971-acre Pinto Business Park seaportUnited in theStates nationforinoverall terms of foreign tonnage $0.45 per sq. ft. for warehouse/distribution space; $0.79 per sq. ft. for flex/ to find the right space at a manageable The Frontier Logistics distribution center, that will bebuilding and the second 4 for job among the top 25 U.S. cities creation $0.40 provide packaging, transportation ofbusiest a widerinadministration effort to expand seaport located in north Houston, nearsq. Interstate 45 andwarehousing Beltway 8. Theand is service space; and $0.45 per ft. for manufacturing space. The Frontier Logistics distribution center, that will be and the visit secondHouston busiestisinpart United States for overall Houston-Sugar Land-Baytown ranked eighth • $0.30 about $50-to-$70 million toaplastics develop. The has built specifically near the Houston Ship Channel, will tonnage. Biden’s and retention, according to the Milken Institute’s already 83% preleased and has secured major tenant, HD building Supply thatshipping has © 2013, CBRE,for Inc. services to the industry. Near the northwest operations across to the United States that account

has seen since 1997. Quick Stats has seen since 1997. Quick Stats

$0.90 $0.80 $0.70 $0.60 $0.50 $0.40 $0.30 $0.20

2013

2012

2011

2012

Manufacturing

2011

2010 2010

2009 2009

Flex/Service

2008 2008

2007

2006

Warehouse/Distribution

2006

2005

2004

$0.00

2004

$0.10

Rental Rates Overall

11,000,000 9,000,000 7,000,000 5,000,000 3,000,000 1,000,000

2004 Q1 2007 Q2 2007 Q3 2007 2005 Q4 2007 Q1 2008 Q2 2008 2006 Q3 2008 Q4 2008 Q1 2009 2007 Q2 2009 Q3 2009 Q4 2009 2008 Q1 2010 Q2 2010 2009 Q3 2010 Q4 2010 Q1 2011 2010 Q2 2011 Q3 2011 Q4 2011 2011 Q1 2012 Q2 2012 Q3 2012 2012 Q4 2012 Q1 2013 Q2 2013 2013 Q3 2013 Q4 2013

Houston-Sugar ranked leased eighth $0.20 • top among the 25 U.S. cities Land-Baytown for job creation 500,000 sq. ft. built specifically near the Houston Ship Channel, will in thewarehousing cross dock facility. HD Supply, which distributes shipping tonnage. Biden’s visit©to Houston is part “Best-Performing Cities” report. The report said provide packaging, transportation of a wider(1,000,000) administration expand seaport 2013, CBRE, Inc. construction corner of products, Beltway 8said and Texas 225, the nearly 80% effort of the to volume of U.S. international trade, an anticipated completion byand the third quarter 2014. $0.10 maintenance, repair and operations it plans to move to tilt-wall the new among the top 25Milken U.S. cities for job creation Sq. Ft. and retention, according to the Institute’s During Q4 2013, 32 buildings totaling 7.8 million sq. ft. were completed in provide packaging, warehousing and transportation of aUnited wider administration effort to expand seaport some cities in the top tier “reflect how the surging services to the plastics industry. Near the northwest operations across the States thatmillion account for building will about feet deep by 1,250 feet supporting more than 13 U.S. jobs. distribution facility at Pinto Business Parkbe because it450 needs more space. $0.00 the Houston area. This compares to 34 buildings totaling 2.5 million sq. ft. and retention, according the Milken Institute’s “Best-Performing Cities” The report said U.S.report. energy sector istolighting up local economies. services to athe plastics industry. northwest operations across the United States that account for corner 8long and Texas 225, the nearly 80% of the volume of U.S. international trade, with rail yard bigtilt-wall enough toNear housethe about at the end ofof theBeltway third quarter 2013. The top completion is Katy-based Igloo Under Construction Deliveries Net Absorption “Best-Performing report. report said some cities in the top tier “reflect how the surging The shale Cities” oil and gas boomThe thrust nine metros intobe about Products new 420,000 sq.200 ft. distribution facility in Ten Business Park at which more corner of Beltway 820,000 and Texas the tilt-wall nearly 80% ofFlex/Service thethe volume of Ship U.S. Channel international trade, building will 450 feetwith deep byWest 1,250 feet supporting 13 million U.S. jobs. rail cars feet of225, rail access, It isthan understandable why Houston Warehouse/Distribution Manufacturing Rental Rates Overall Source: CBRE Research, Q4 2013. 28501 Hwy Boulevard. The new enough 120-dockto distribution center will help the the top 25, including Houston, San Antonio and U.S. energy sector is lighting up local economies. some cities in the top tier “reflect how the surging is big enough to contain 10 football fields, said the is one ofasking its key economic drivers. The Greater long with a rail yard big house about building will be about 450 feet deep by 1,250 feet supporting more 13 million U.S. jobs. Monthly gross average rates per sq. ft. than © 2013, CBRE, Inc. cooler company keep up with its growing line of products. The company EXCERPTS FROM FOURTH QUARTER Christi. and gas boom thrust nine metros into economies. RThe E Dshale N eoilw s .energy c oCorpus msector Source: CBRE Research, Q4the 2013. U.S. is lighting up local developer, Avera Cos. At17 the site, will Houston Bureau reported that shipMARKETVIEW channel 200 rail about cars with 20,000 feet ofyard rail access, which It isdeliver understandable whyPort Houston Ship Channel long with a rail big enough to house about manufactures 300 products, totaling between and 20 trains million units the top 25, including San Antonio and nine plastic that will be vacuumed from cars, through 2015 are create Ship Channel annually. The new building, combined the existing facilities, increase The shaleHouston, oil and gas boom thrust metros into and Absorption is big enough to contain 10 football fields, said the israil one of itsConstruction keyinvestments economic drivers. The Greater 200 rail pellets cars with with 20,000 feet of will rail access, which It is understandable whylikely the toHouston The recently released C2ER Cost the of Living Index company’s the area toand ft. Igloo is among thefor use in Corpus Christi. packaged sent tosq. customers 111,700 direct and indirect jobs with tax the top• 25, including Houston, San Antonio and footprint developer, Avera inCos. At the 1.8 site,million trains will deliverworldwide Houston Port Bureau reported that154,100 ship channel

11,000,000 is big enough to contain 10 football fields, said the is one of its key economic drivers. The Greater top 10 largest employers in the region and will employ an estimated 1,100 shows that Houston’s overall after-taxes living costs making everyday products, such as sunglasses, cups, through contributions are likely projected at $800 million. Most of plasticthe pellets that will be vacuumed fromAtrail 2015 are to create Corpus Christi. workers 9,000,000 developer, Avera Cos. thecars, site, trainsinvestments will deliver Houston Port Bureau reported that ship channel are 5.3% below the average for all 306 by urbanend of 2013.

The recently released C2ER Cost of Living Index

cell phones and car parts. Many of the pellets will be

the ship channel’s activity is driven by Houston’s $15

713.690.0000 CaldwellCos.com Office - 7515 S. Main, Houston TX 77030

Greenpark One

FEATURES • Medical Center location with easy access • On-site deli, bank, pharmacy & medical lab • Recent exterior and interior renovations • Valet & reserved garage parking • Covered drop-off area • On-site property management

Office

7670 Woodway, Houston TX 77063 FEATURES • Large block available Q1 2014 • Convenient to Tanglewood, The Villages and Uptown/Galleria • Adjacent to high-end restaurants and retail • Recent interior renovations • Free garage parking • On-site, full-time engineer and day porter

For more information, contact Blake R. Virgilio, CCIM Office: 281.664.6651 | Cell: 281.433.9505 Email: BVirgilio@CaldwellCos.com

Jack A. Russo Office: 281.664.6637 | Cell: 713.819.2888 Email: JRusso@CaldwellCos.com

Q4 2013

MarketView MarketView

Q4 2013

23%

2,000,000 1,500,000

22%

CBRE Global Research and Consulting

TRADE VOLUME UNEMPLOYMENT GROwTh CBREOffice Global ResearchJOB and Consulting Dallas/Fort Worth 38% YoY 6.0% QoQ 97,000 YoY TRADE VOLUME UNEMPLOYMENT JOB GROwTh MarketView TRADE38% VOLUME UNEMPLOYMENT JOB GROwTh YoY 6.0% QoQ 97,000 YoY 38% YoY CONSTRUCTION 6.0% QoQ TRADE VOLUME 97,000 YoY JOB GROwTh VACANCY DELIVERIES UNEMPLOYMENT Dallas/Fort Worth Office | MarketView

20% 19%

18%

(500,000)

17%

97,000 YoY

Directional arrows based on change from the previous quarter. Data reflects market totals. AnnuAl net Absorption for DfW hits highest level since 2006. AnnuAl net Absorption for DfW hits highest level since 2006. AnnuAl net Absorption for DfW hits highest level since 2006. Rates AnnuAl net Absorption for DfW hits highest levelLease since 2006. Direct Absorption Sq. Ft. Directional arrows based on change from the previous quarter. Data reflects market totals.

ForVacancy the 14th consecutive quarter, the Dallas/Fort Q4 2013 Rate and Net Absorption Sq. Ft.QoQ

Source: CBRE Research, Q4 2013.

18.0%



22%

Vacancy Rate and Net Absorption Sq. Ft. Net Absorption 436,746   economic and employment given its aggregate Vacancy Rate andgrowth, Net Under Absorption Sq. Ft. Construction 5,068,047  YoY 2,800,000

$22

2,400,000

$21

21%

2,000,000

$20 1,600,000

2,000,000 1,200,000

1,600,000  office market. the

22%

(1,200,000)

2011

2012

21%

Q4 2013

21%

18%

17%

2013

Total Annual Absorption

20%

19%

Q3 2013

Q3 2012

Overall

2010

Q2 2012

Q4 2011

Q2 2011

Q3 2011

20%

Class B

2009 Q2

Q1 2011

Q4 2010

Q3 2010

Q2 2010

Q1 2010

Class A

2007 2008 Sq. Ft. CBRE Research, Source: Q4 2013.

streak for 14 consecutive quarters and netted the highest annual absorption for the market since 2006.

Q4 2009

(800,000)

Q3 2009

Per Sq.(400,000) Ft.

Q2 2009

Q1 2009

$16

Q1 2012

21%

$17400,000

22% Q2 2013

$18800,000

Q1 2013

$19 1,200,000

Q4 2012

3,200,000

Deliveredput Construction 185,841on  recovery3,200,000 in fundamentals. Q4 2013 the cap  2,400,000 2,800,000 Hot Topics the highest annual absorption seen in DFW office since 2,800,000 • Dallas/Fort Worth led the nation’s largest  2,000,000 2,400,000 metropolitan areas in job growth for the year 2006, pushing vacancy down to levels on2013, par with ending October up 3.1% compared to 2,400,000 1.7% nationally. 1,600,000 2,000,000  2008 before the recession made •aNetpalpable impact on absorption activity has sustained its positive

Q4 2008

Q4 2013  QoQ Q4 2013 QoQ YoY Lease Rates Total Vacancy $19.85 18.0%  Total Vacancy 18.0%    Net Absorption 436,746 Lease Rates $19.85  Lease Rates $19.85    Under Construction 5,068,047 Net Absorption 436,746  NetConstruction Absorption 436,746    Delivered 185,841 Under Construction 5,068,047  Under Construction 5,068,047   185,841  Hot Topics Delivered Construction Delivered Construction 185,841   • Dallas/Fort Worth led the nation’s largest Hot Topics metropolitan Hot Topics areas in job growth for the year

Total Vacancy

Worth office market served as a barometer for healthy Lease Rates $19.85   3,200,000

Q3 2008

YoY

Q2 2008

18.0%

QoQ

22%

3,200,000 $23 2,800,000

Q1 2008

Q4 2013

$24

YoY

Vacancy Rate

Source:CBRE CBRE Research, Q4 2013. Source: Research, Q4 2013. 20% 1,600,000 800,000 • Metrowide vacancy continues to fall and has not 1,200,000 20%to be the Dallas/Fort Worth continues For the 14th consecutive quarter, the Construction seen a level this low in five years. 19% leading large metro area for job growth, Dallas/Fort Worth office market served 1,200,000 400,000 6,000,000 800,000 registering a 3.1% growth rate for the as a barometer for healthy economic and • Sales volume is up 38% based on year-overyear data from Real Capital Analytics. Capital 12 months ending October 2013. Of employment growth, given its aggregate 5,000,000 19% 800,000 0 flow from institutional investors has increased in recovery in fundamentals. Q4 2013 put the this growth, office-using employment 400,000 general, with high-quality assets as a particular 19% strong, 4,000,000 in DFW has proven especially cap on the highest annual absorption seen 18% focus. 400,000 (400,000) Dallas/Fort led the nation’sto largest in DFW office since 2006, pushing vacancy with the Professional & Business Services ending •October 2013,Worth up 3.1% compared 0 3,000,000 • Construction volume has reached a five year down to levels on par with 2008 before the supersector outpacing all other industries • Dallas/Fort Worth led the nation’s largest metropolitan areas in job growth for the year high as the pipeline broke the five million sq. ft. 1.7% nationally. 0 (800,000) at 6.4% year-over-year, well above the recession 2,000,000 made a palpable impact on the 18% mark over the quarter. (400,000) metropolitan areas in 2013, job growth for the year to ending October up 3.1% compared national expansion of 3.5%. With only the office market. • A recent report released by the Dallas Federal 18% 1,000,000 New York metro posting more new jobs (400,000) (1,200,000) 17% • Net absorption activity has sustained positive to Reserve indicates that the region has ending October 2013, up 3.1%its compared 1.7% nationally. (800,000) for this period, DFW is well positioned for In Q4 2013, nearly 500,000 sq. ft. of outperformed the Texas economy based on 0 2007 2008 2009 2010 2011 2012 2013 Sq. Ft. streak1.7% for 14 consecutive quarters and netted multiple factors including employment, nationally. continued growth in the commercial office absorption was posted in North Texas, (800,000) unemployment, employment growth, home sector. Additionally, Moody’s projects supplementing earlier quarters in the year (1,200,000) 17% • Net absorption activity the highest annual absorption forhas the sustained market its positive Q1 Q2 prices andQ3 Q4 Total Annual Absorption Vacancy Rate business-cycle index. employment grow by another to total roughly 3.1 million sq. ft. in annual 2007 2008 2009 2010 2011Under 2012regional 2013 to17% Construction Delivered Construction Source: CBRE Research, Q4 2013. (1,200,000) Sq. Ft. • Net absorption activity has sustained its positive streak for 14 consecutive quarters and netted Source: CBRE Research, Q4 2013. since 2006. 3.1%-to-3.8% per year through 2016. net absorption. Stalled delivery activity and 3 Source: CBRE Research, Q4 2013. 2007 2008 2010 2011 2012 2013 office-using employment conditions Sq. Ft. streakthe forhighest 14 consecutive quarters and netted annual absorption for the market Q1 Q22009 Q3 Q4 robust Total Annual Absorption Vacancy Rate

Q4 2013

Q3 2013

Q2 2013

Q1 2013

Q4 2012

Q3 2012

Q2 2012

Q1 2012

Q4 2011

Q3 2011

Q2 2011

Q1 2011

Q4 2010

Q3 2010

Q2 2010

Q1 2010

Q4 2009

Q3 2009

Q2 2009

Q1 2009

Q4 2008

Q3 2008

Q2 2008

Q4 2007

Q1 2008



Dallas/Fort Worth Industrial MarketView

While dea overall ma and contin limited new positive ne quarter an est amoun market ha post-reces impact on since Q3 2 perspectiv vacancy, p fice classifi space, at 2 volatile inv

LEASE R

Vacancy Rate and Net Absorption Sq. Ft.

Q4 2007

Quick Stats Total Quick VacancyStats

Total Absorption Sq. Ft. Total Vacancy Rate

Direct Vacancy Rate

Quick Stats

15%

Q4 2013

Q3 2013

Q2 2013

Q1 2013

Q4 2012

Q3 2012

6.0% QoQ

Q2 2012

Q1 2012

Q4 2011

Q3 2011

Q1 2011

Q4 2010

Q3 2010

38% YoY

Q2 2010

Q1 2010

Q4 2009

Q3 2009

Q2 2009

Q1 2009

185,841 Sq. Ft.

Q4 2008

Sq. Ft.

Q3 2008

(1,500,000)

5,068,047 Sq. Ft.

Q2 2011

CBRE Global Research and Consulting 16%

(1,000,000)

Q2 2008

18.0%

21%

500,000

Q1 2008

Q4 2013

1,000,000

Q4 2007

Q4 2013

CONSTRUCTION DELIVERIES Q4 VACANCY 2013 Dallas/Fort Worth Office 18.0% 5,068,047 Sq. Ft. | Marketview 185,841 Sq. Ft. VACANCY CONSTRUCTION DELIVERIES Directional arrows based on change from theCONSTRUCTION previous quarter. Data reflects market totals. VACANCY DELIVERIES 18.0% 5,068,047 Sq. Ft. 185,841 Sq. Ft. 18.0% 5,068,047 Sq. Ft. 185,841 Sq. Ft. Directional arrows based on change from the previous quarter. Data reflects market totals.

VACANC

Direct and Total Vacancy Ratios

CBRE Global Research and Consulting

have contributed to DFW’s status as an Source:CBRE CBRE Research, Q4Q1 2013. • Metrowide vacancy continues to fallfor and not EXCERPTS FROM FOURTH Vacancy QUARTERRate MARKETVIEW Source: Research, Q4 2013. the highest annual absorption thehas market Q2 Q3 Q4 Total Annual Absorption since 2006. outperforming market in 2013. Dallas/Fort Worth continues to be the For the 14th consecutive quarter, the Source: CBRE Research, Q4 2013. seen since a level2006. this low in five years. Source: CBRE Research, Q4 2013. • Metrowide vacancy continues to fall and hasDallas/Fort not Q4 CBRE Global Research Consulting leading large area for joband growth, Worth office market served Q4 2013 2013 CBREmetro Global Research and Consulting Dallas/Fort Worth continues to be the For the 14th consecutive quarter, the • Metrowide fall and has not seen avacancy level thiscontinues low in fivetoyears. a 3.1% growth rate fortothe as aFor barometer healthy economic and • Salesseen volume is upthis 38% year-overDallas/Fort continues thegrowth, the 14thfor consecutive quarter, theservedregistering a level lowbased in fiveon years. leading Worth large metro area forbejob Dallas/Fort Worth office market year dataTOTAL from Real Capital Analytics. Capital NET ABSORPTION 12 months ending October 2013. Of growth, given its aggregate CONSTRUCTION DELIVERIES ASKING RATES NET ABSORPTION CONSTRUCTION DELIVERIES ASKING RATES employment UNEMPLOYMENT VACANCY UNEMPLOYMENT TOTAL VACANCY large metro area for job Dallas/Fort Worth office marketeconomic served and leading registering a 3.1% growth rategrowth, for the as a barometer for healthy • Sales volumeinvestors is up 38% based on year-overflow from institutional has$3.93 increased in Ft. 7.9 Million Sq. 10 Sq. Ft. 4.6 Million Sq. Per 7.9in Million Sq.Ft. Ft. healthy 10Million Million Sq. Ft.this growth, 4.6office-using Million Sq.Ft. Ft.employment $3.93 PerSq. Sq. Ft. recovery 6.0% QoQ 6.6% fundamentals. Q4 2013 put the 6.0% QoQ 6.6% registering a 3.1% growth rate for the as a barometer for economic and • Sales volume is up 38% based on year-overyear data from Real Capital Analytics. Capital general, with high-quality assets as a particular 12 months ending October 2013. Of employment growth, given its aggregate in DFW has proven especially strong, cap on the highest annual absorption seen Directional arrows based on change from the previous quarter. Data reflects market totals. Directional arrows on change fromhas the previous in quarter. Data reflects market given totals. its aggregate year flow data from based Real Capital Analytics. Capital from institutional investors increased focus. ending October 2013. Of employment this growth, office-using employment recovery growth, in fundamentals. Q4 2013 put the12 months flow from institutional investors assets has increased in in DFW office since 2006, pushing vacancy general, with high-quality as a particular with this the growth, Professional & Business Services office-using employment recovery in fundamentals. Q4 2013 put the in DFW has proven especially strong, cap on the highest annual absorption seen general, with high-quality assets as year a particular focus. • Construction volume has reached a five outpacing other industries downcap to on levels on par with 2008 before theseensupersector in DFW provenallespecially strong,Services the highest annual absorption focus. with has the Professional & Business in DFW office since 2006, pushing vacancy high as the pipeline broke the five million sq. ft. MARKETVIEW at 6.4% year-over-year, well above the recession made a palpable impact on the with the Professional & Business Services in DFW office since 2006, pushing vacancy • Construction mark over the quarter. volume has reached a five year industries down to levels on par with 2008 before the supersector outpacing all other Net Absorption Sq. Ft. Vacancy • Construction volume has broke reached fivemillion year sq.office national expansion ofand 3.5%. With only the market. high as the pipeline theafive ft. down Vacancy falls further supersector outpacing all other industries to levels on par with 2008 before the Vacancy falls further at 6.4% year-over-year, well above the recession made a palpable impact on the • A recent report released by the Dallas Federal Vacancy falls further GDP 12% GDP and and Vacancy Vacancy high mark as theover pipeline broke the five million sq. ft. the quarter. 18,500,000 York metro posting more new jobsthe The Dallas/Fort Worth Industrial Themark Dallas/Fort Worth Industrial market’s fourth fourth quarter quarter 6.4% year-over-year, well above recession made a palpable impact on the Newat Reserve indicates that the region has market’s national expansion of 3.5%. With only the 11% office market. over the quarter. The Dallas/Fort Worth Industrial market’s fourth BOTH INVESTMENT for this period, DFW is well3.5%. positioned for the In2013, Q4 2013, nearly 500,000 sq. ft. of • not A recent report released by theon Dallas Federal posted only some of figures for outperformed the Texas economy based posted not only some of the the strongest strongest figures for 2013, 12% $17,000 12% $17,000 national With only office market. 13,500,000 New expansion York metroofposting more new jobs • posted Aalso recent report released by theregion Dallas Federal Reserve indicates that the has multiple factors including employment, quarter not only some of the strongest but also some of the best results inin over aafigures decade. With continued growth in the commercial office absorption but some of the best results over decade. With aa was posted in North Texas, Newfor York posting jobs for 10% thismetro period, DFW more is wellnew positioned InVOLUME Q4 2013, nearly 500,000 sq. ft. of AND Reserve indicates that region has based on outperformed thethe Texas economy unemployment, employment growth, home direct vacancy rate at 6.5% and total vacancy rate at 6.6%, direct vacancy rate at 6.5% and total vacancy rate at 6.6%, sector. Additionally, Moody’s projects supplementing earlier quarters in the year 8,500,000 for 2013, but also some of the best results in over for this period,growth DFW isinwell foroffice 9% In Q4 2013, nearly 500,000 sq. ft. of the Texas economy based on factors including employment, pricesoutperformed andmultiple business-cycle index. continued thepositioned commercial absorption was posted in North Texas, vacancy is at its lowest level since the first quarter of 2001 vacancy is at its lowest level since the first quarter of 2001 8% regional employment to by another office roughly 3.1 million sq. ft. in annual multiple factors including employment, unemployment, employment home $16,500 a decade. With a direct vacancy rate growth, at 6.5% andto total $16,500 LEASING ACTIVITY in grow the Moody’s commercial absorption was posted in North Texas, sector.growth Additionally, projects supplementing earlier quarters in the year continued 3,500,000 11% 11% with space options further withunemployment, space options further tightening. tightening. employment growth, prices and business-cycle index. home 3.1%-to-3.8% per year through 2016. net absorption. Stalled delivery activity and 7% Additionally, Moody’s projects supplementing earlier in the year total vacancy rate business-cycle at 6.6%, vacancy regional employment to grow by another to total roughly 3.1quarters million sq. ft. in annual sector. prices and index. is at its lowest CONTINUE TO

Much like DFW witne a gross ba due to non rising rents classes rec especially growth am has increa ized Class Over the la East Dalla Creek hav growth. Inv Fort Worth degree, ra

CONSTR

The constr Texas with Q4 2013, 5 million s recorded a trated in th with more pre-leased Frost Towe Dominion FAA’s build North For about 800 were comp included t Worth (Th Plaza in So sq. ft. expa along with I and Mye

Dallas/Fort Worth Industrial | Marketview

INDUSTRIAL FOURTH QUARTER DFW THE DFW WITNESSES WITNESSES HIGHEST HIGHEST ABSORPTION ABSORPTION SINCE SINCE THE LATE LATE 1990S. 1990S. Q4 2013 Dallas/Fort Worth Industrial | MarketView

robust office-using employment conditions

(1,500,000) 6% employment grow by2011another to total 3.1 million ft. in activity annual and regional 3.1%-to-3.8% perto year through 2016. net roughly absorption. Stalled sq. delivery levelDFW since posts the firstpositive quarter ofabsorption 2001 with space 2006 2007 2008 2009 2010 2012 2013 for DFW posts positive absorption for thirteenth thirteenth havenet contributed to DFW’s status asactivity an Q1 Q2 Q3 Q4 Total Annual Net Absorption Vacancy Rate $16,000 $16,000 3.1%-to-3.8% per year through 2016. absorption. Stalled delivery and consecutive quarter robust office-using employment conditions Source: CBRE Research, Q4 2013. consecutive quarter BENEFIT FROM options further tightening. outperforming market inemployment 2013. 10% 10% Construction robust office-using conditions For For the the thirteenth thirteenth straight straight quarter, quarter, the the DFW DFW metroplex metroplex have contributed to DFW’s status as an haveoutperforming contributed tomarket DFW’sinstatus as an DFW’S UNIQUE posted an posted positive positive net net absorption. absorption. The The fourth fourth quarter quarter posted posted an 2013. $15,500 $15,500 unprecedented sq. outperforming market in 2013. unprecedented post-recessionary post-recessionary figure figure of of 7.9 7.9 million million sq. ft. ft. The The continually continually positive positive numbers numbers for for the the DFW DFW industrial industrialSTATUS AS AN 9% 9% market market demonstrate demonstrate not not only only the the strength strength of of our our recovery, recovery, INLAND PORT but but also also indicate indicate the the sustainability sustainability of of demand demand going going © 2013, CBRE, Inc. $15,000 $15,000 forward. forward. Sq. Ft.

Source: CBRE Research, Q4 2013.

18,000,000 16,000,000 14,000,000 12,000,000 10,000,000 8,000,000 6,000,000 4,000,000

$14,500 $14,500

Source: CBRE Research, Q4 2013.

Under Construction

14% 13% 12%

7% 7%

Q4 2013

Q3 2013

Delivered Construction

Vacancy Rates EXCERPTS FROM FOURTH QUARTER MARKETVIEW

$14,000 $14,000

Q2 2013

Q1 2013

Q4 2012

Q3 2012

Q2 2012

Q4 2011

Q3 2011

Q2 2011

Q1 2011

Q4 2010

Q3 2010

Q2 2010

Q1 2010

Q4 2009

Q3 2009

Q2 2009

Q1 2009

Q4 2008

Q3 2008

Q2 2008

Q1 2008

Q4 2007

2,000,000

Sq. Ft.

Indices Indices point point to to positive positive outlook outlook According According to to the the Texas Texas Manufacturing Manufacturing Outlook Outlook Survey Survey 16 REDNews.com conducted conducted by by the the Federal Federal Reserve Reserve Bank Bank of of Dallas, Dallas, manufacturing manufacturing conditions conditions inin the the fourth fourth quarter quarter remained remained favorable. favorable. The The production production index index for for November November of of 2013 2013

The fourth q quarter of p market. Ma year, the fou compared t million sq. f highest abs again ware quarter with flex space p submarket t the quarter far behind w Fort worth w respectively.

Fourth quar representing figure was n previous thr should cont up sharply o this quarter construction significant 1 portion of th impressive 1 this figure is growth for D already pre supply acro completion to shift mar

Driven dow absorption, low figures.

Beltway Lakes III & IV 540,000 SF Class A Office Space Northwest Houston’s Premiere business address is expanding. Beltway Lakes III & IV are the newest additions to the master-planned Beltway Lakes development located at the intersection of Beltway 8 and Highway 249. The twin nine-story Beltway Lakes III & IV office buildings feature over 540,000 square feet of Class A office space and set the standard for aesthetic and environmental office design.

Features • Under Construction - Delivery September 2014 • On-site Deli and Conference Center • On-site Fitness Facility with Locker/Shower Facilities • After Hours Controlled Card-Key Access • Monument Signage Available • Beltway 8 & Highway 249 Visibility • Convenient 4-Way Signaled Access to Beltway 8 and Highway 249 • Hotels, Shopping and Restaurants within Two Miles • Conference and Management Office Included • On-site Experienced Management • Sam Houston Parkway Address • Structured Covered Parking with Reserved Spaces Available • Enclosed Climate-Controlled Walkway • Centrally Located Landscaped Courtyard with Outdoor Seating • Efficient and Sustainable Design & Materials Throughout • Distributed Audio in Common Areas, Restrooms and Elevators • Expansion Options with Future Phase of Development

For Leasing Information Please Contract: Tom Radom | 281.440.8595 | tradom@radlertx.com

LEVCOR, INC. PHARR TOWN CENTER LEASING INFORMATION

Dan Smith

713.268-3716 dsmith@levcor.com

www.levcor.com

Pharr

REDNews.com 17

Q4 2013 Austin Office Q4 2013

ustin Office | MarketView

Austin Office MarketView MarketView MarketView Q4 2013 | Marketview

VACANCY ASKING ASKING RATE RATE 12.1%$28.15 $28.15 Per Sq. Ft. Per Sq. Ft.

VACANCYVACANCY 12.1% 12.1%

Area CBD Northwest

Sq. Ft.

Rate

9,084,414

1,089,995

12.0%

6,826

64,099

12,636,460

1,309,649

10.4%

84,474

179,614

Sq. Ft.

Constr Sq.

Sq. Ft.

CBRE Global Research and Far Northwest 4,110,579 502,631 12.2% 74,314 366,763 CBRE Global Research and Consulting CBRE Global Research and Consulting North Central

2,905,950

Round Rock ASKING RATEABSORPTION ABSORPTION East $28.15 Per Sq. Ft. 205,463 205,463 Sq. Ft. Sq. Ft.

691,279

23.8%

(21,640)

90,741

26,097

South

93,864 15.1% 10,354 ABSORPTION UNEMPLOYMENT UNEMPLOYMENT 1,958,021 327,848 16.7% 18,205 205,463 Sq. Ft.5.1% 5.1% 1,746,355 346,742 19.9% 17,619

Southwest

9,382,293

15,311

149,911

205,463

904,306

122

620,894

789,711

8.4%

Totals 42,444,966 5,151,719 12.1% NEWREACHES CONSTRUCTION REACHES FIVE-YEAR HIGH NEWNEW CONSTRUCTION FIVE-YEAR HIGH CONSTRUCTION REACHES FIVE-YEAR HIGH OFFICE FOURTH QUARTER

UNEM 5.1%3

1,722 25,359

Source: CBRE Research, Q4 2013.

Quick Stats Quick Stats

Quick Stats

17%

Hot Topics

1,366,682 21% 64,459 19%

 

 

15%

15% 13%

25%

$34

23%

$32 $30

21%

$28

19% 17%

$26

$27.50

$24

(200,000) $22

$27.00

(600,000)

15%

$27.50

13%

$27.00 $26.50 2006 2008 2007 2008 20092010 2010 2011 2011 2012 2013 2009 2012 2013 Sq. Ft. 2007 $26.50 Class A Class B Market Average Q1 Q2 $26.00 Q3 Q4 $26.00 Source: CBRE Research, Q4Total 2013.Annual Net Absorption Vacancy Rate $25.50 $25.50 ABSORPTION Construction BY CLASS $25.00 $25.00 1,000,000 3,000,000 $24.50 800,000 INDUSTRIAL FOURTH QUARTER $24.50 2,500,000 600,000 $24.00 MARKETVIEW $24.00 400,000 $20

11%

(1,000,000) $18

Northwe

also saw The CBD East and bringing a suburbs lowest it h decline Central wa ofOFFICE significa Q420,0 saw over in the So avoid beco San Cle a187,000 negative occupancy San Cle E.FM 5th224 Stre 94,000 is to be hotel.

Major dea

Q1 2007 Q2 2007 Q3 2007 Q1 2007 Q4 2007 Q2 2007 Q1 2008 Q3 2007 Q2 2008 Q4 2007 Q3 2008 Q1 2008 Q4 2008 Q2 2008 Q1 2009 Q3 2008 Q2 2009 Q4 2008 Q3 2009 Q1 2009 Q4 2009 Q12009 2007 Q2 Q1 2010 Q22009 2007 Q3 Q2 2010 Q32009 2007 Q4 Q3 2010 Q4 2007 Q1 2010 Q4 2010 Q12010 2008 Q2 Q1 2011 Q22010 2008 Q3 Q2 2011 Q32010 2008 Q4 Q3 2011 Q4 2008 Q1 2011 Q4 2011 Q12011 2009 Q2 Q1 2012 Q22011 2009 Q3 Q2 2012 Q32011 2009 Q4 Q3 2012 Q4 2009 Q1 2012 Q4 2012 Q12012 2010 Q2 Q1 2013 Q22012 2010 Q3 Q2 2013 Q32012 2010 Q4 Q3 2013 Q4 2010 Q1 2013 Q4 2013 Q12013 2011 Q2 Q22013 2011 Q3 Q32013 2011 Q4 Q4 2011 Q1 2012 Q2 2012 Q3 2012 Q4 2012 Q1 2013 Q2 2013

11%

27%

MARKET With the e OFFICE submarke After eig net absorp to $28.1 or negativ Yet, rent the Northw Despite remains th increase

Q4 2013

2,000,000

•

200,000

A For

Addition ft. at the com (200,000) • Austin in retains ranking as the top economy in Austin retains ranking as the top economy and G • ft.,Net K&L 1,000,000 • Austin retains ranking as the top economy in Rentable Vacant Vacancy Available Availability (400,000) vacant Market Absorption Plazaa Average Lease Rate Total Average Lease Rate Per Sq. Ft. Total Vacancy the U.S., according to The Business Journals’ AreaPer Sq. Sq.Ft. Ft. Rate Sq. Ft.Vacancy Rate the U.S., according to The Business Journals’ 500,000 (600,000) construc Sq. Ft. Average Lease Rate Per Sq. Ft. Total Vacancy the U.S., according to The Business Journals’ • sq. Zeno ft. al (800,000) On Numbers report. On Numbers report. 0 CBD 26,776 3,700 13.8% 15,476 57.8% 0 On Numbers report. complet 2 Centr (1,000,000) 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 1,500,000 Sq. Ft.

Austin Industrial | MarketView Q4 2013

Austin Industrial Austin Industrial Austin Industrial MarketView MarketView MarketView •

19% 17%

17%

15% After reaching historic highs, quarterly average After reaching historic highs, quarterly average 13% After reaching historic highs, quarterly average rates slipped for the13% first time since 2011. asking rates slipped for the first time asking since 2011. asking rates slipped for the first time since 2011. Deliveries a four year Deliveries reached a four year high with more reached11% 11%high with more Deliveries reached a four year high with more scheduled completions in 2014. scheduled completions in 2014. scheduled completions in 2014.

Hot Topics Hot Topics

21%

Austin Office | MarketView

QoQ YoY Q4 2013 QoQ 12.1% Vacancy Vacancy   12.1% Vacancy  Rates $28.15 Asking Asking Rates  $28.15 Asking Rates  205,463 Net Net Absorption  Absorption  205,463 Net Absorption  Construction 21% 1,366,682 Under Under Construction   1,366,682 Under Construction   Construction 64,459 Delivered Delivered Construction   64,459 Delivered Construction  19%

Q4 2013

Total Vacancy andMARKET DirectSTATISTICS Asking Rate RATE ABSORPTION AND VACANCY Total Vacancy and in Direct Asking Rate Rate Citywide vacancy Q4Direct 2013 dropped Total Vacancy and Asking 2,200,000 Q4 2013 QoQ YoY Gross Annual Average Asking Rates, Per Sq. Ft. for YoY the fifth straight quarter, and eleven of the past 1,800,000 12.1%   twelve. By falling 30 basis points (bps) quarter1,400,000  $29.00 $29.00 25% 25% 1,000,000 $28.15   $28.50 over-quarter 25% (QoQ), vacancy reached 12.1%,  $28.50 600,000 23% 23% is down $28.00 205,463 210  bpsyear-over-year which (YoY). 200,000 23% $28.00 

Market Statistics 0

INDUSTRIAL FOURTH QUARTER Central 1,426,566 147,799 10.4% 164,871

11.6%

Q4 2013 Q4 2013 Austin Industrial

Q1 2007 Q2 2007 Q3 2007 Q4 2007 Q1 2008 Q2 2008 Q3 2008 Q4 2008 Q1 2009 Q2 2009 Q3 2009 Q4 2009 Q1 2010 Q2 2010 Q3 2010 Q4 2010 Q1 2011 Q2 2011 Q3 2011 Q4 2011 Q1 2012 Q2 2012 Q3 2012 Q4 2012 Q1 2013 Q2 2013 Q3 2013 Q4 2013

Under Construction Sq. Ft. Delivered Sq. Ft. Source: CBRE Research, Q4 2013. Source: CBRE Research, Q4 2013. MARKET STATISTICS East 3,554,975 883,995 24.9% 903,975 25.4% Source: CBRE 2013.in Source: CBRE Research, Q4 2013. Austin topped 200Research, large Q4 cities • Austin topped the list among 200 •large cities in the list among Far Northeast 2,236,336 345,056 15.4% 407,164 18.2% • Austin topped the list among 200 large cities in EXCERPTS FROM FOURTH QUARTER Class A Class B OverallMARKETVIEW Net Absorption Unemployment Citywide vacancy in Q4 2013 dropped Citywide vacancy in Q4 2013 Far Northwest 510,465 18,344 3.6% 18,344 3.6% the Milken Economic Index. the Milken Economic Index. Source: CBRE Research,CBRE Q4 2013. Citywide vacancy in Q4dropped 2013 dropped Unemployment the 2013 Milken Economic Index. Q4 Global Research and Consulting Georgetown 1,238,554 32,452 2.6% 57,062 4.6%

(3,008) 5,273 • UNEMP NextI The32,594 Aus sq. ft.

UNEMPLO

was unc (2,200) Austin•The D&S nation (7,325)a unchanged respecti 9,100 state unem to emplo 93,805 struction ha America 65,097 ciated Gen sector o 30,520 over 14,50 Texas to 182,902 October 2 all majo 0 jobs all m thatinthe 63,022 that the Tex national (9,066) rate. 460,714

The North Central submarket saw th for the quarter, and eleven of the CBRE Global Research and North Central submarket saw theConsulting only for the fifth straight quarter, and eleven of fifth the straightThe CBRE Global Research and Hays CountyCentral 399,089 9,100 saw2.3% 4.8% | Marketview The North submarket theConsulting only19,100 for the fifth straight quarter, and eleven of the 10%

10%

Austin Industrial | MarketView

13,497,922 873,907 negative net 1,460,172 absorption10.8% in Q4, large past(bps) twelve. By falling 30 basis points (bps) 9% netNorth negative absorption in Q4, largely due6.5%to twelve.report By falling 30 basis points • the According November by the U.S. • According to a November report by U.S. to a past negative in678,415 Q4, largely due to past twelve. By falling 30 basis points (bps) ASKING RATE Northeastnet absorption 7,517,603 9.0% 1,334,655 17.8% • According to a November report by the U.S. VACANCY ABSORPTION UNEMPLOYMENT 8% IntelUNEMPLOYMENT moving out of Waterford D. Ho quarter-over-quarter (QoQ), vacancy reached VACANCY ASKING RATE UNEMPLOYMENT Intel moving out of Waterford However, the VACANCY ASKING RATE ABSORPTION quarter-over-quarter (QoQ), vacancy reached Conference ofABSORPTION Mayors, Austin is expected to Northwest 2,600,971 D. 71,851 2.8% 177,866 6.8% Conference of Mayors, Austin is expected to 7% Intel moving out3,274,070 of Waterford D. However, the quarter-over-quarter (QoQ), vacancy reached Conference to 9.8%of Mayors, Austin is expected 460,714 460,714 Sq. Ft. $0.63 per Sq. Ft. 5.1% Round Rock 416,135 12.7% 548,966 16.8% submarket should see better activity 12.1%,$0.63 whichper is down 210 year-over-year Sq. Ft. Sq. Ft. 5.1% 6%bps submarket should see better activity in Q1 2014 9.8% $0.63 per Sq. Ft. Sq. Ft. 5.1% which is down 210 bps year-over-year have the largest12.1%, GMP460,714 growth in 2014. have9.8% the largest GMP growth in 2014. South 1,751,200 29,883activity 1.7%in Q1 42,496 submarket should see better 2014 2.4% 12.1%, which is down 210 bps year-over-year have the largest GMP growth in 2014. 5% Southeast 10,210,364 1,233,120 12.1% 1,535,308 15.0% Directional arrows based on change from the previous quarter. Data reflects market (YoY). totals. with Wincor’s occupation of Park Ce with Wincor’s occupation of Park Central I. (YoY).quarter. Directional arrows based change from thefrom previous quarter. Data reflects 4% Directional arrowson based on change the previous Data market reflects totals. market totals. with Southwest Wincor’s occupation of Park Central I. (YoY). 415,046 36,972 8.9% 68,928 16.6% 3% USAAfor ranks Austin as the fifth Best Places for • USAA ranks Austin as the fifth Best• Places Totals 48,659,937 4,780,729 9.8% 6,754,383 13.9% Austin, a • USAA ranks Austin as the fifth Best Places for 2% Source: CBRE Research, Q4 2013. Afterasking eight straight quarters ofAustin, growt With 205,463 ft. of eight positive absorption, Q4 local an and straight quarters of growth, sq. ft. of positive absorption, Q4 sq. After Veterans in theirWith 2013205,463 rankings. 2007 2008 2009 2010 2011 2012 2013 Veterans in their 2013 rankings. After eight straight quarters of growth, asking With 205,463 sq. ft. of positive absorption, Q4 Veterans in their 2013 rankings. unemplo and nation US Texas Austin - Round Rock - San Marcos MSA 9% 8% 7% 6% 5% 4%

CITYWIDE RATES CONTINUE STEADY CLIMB, OCCUPANCY EXCEEDS 90.0%. CITYWIDE RATES CONTINUE STEADY CLIMB, OCCUPANCY EXCEEDS 90.0%. CITYWIDE RATES CONTINUE STEADY CLIMB, OCCUPANCY EXCEEDS 90.0%. rates decreased in Q4. The citywide completes the third straight year of positive net 3%

2007

2008

2009

2010

Texas

2011

2012

Q4 2013

Austin - Round Rock - San Marcos MSA

rates decreased Q4. The citywide completes the third straight year of positive net U.S.in Bureau of Labor and Statistics, October 2013. average boom. A MARKET D ment numb ratesSource: decreased in Q4. The citywide average completes the third straight year ofAsking positiveRate net3 ABSORPTION AND VACANCY RATE Source: U.S. Bureau of Labor Statistics, October 2013. Quick Stats Marcos Total Vacancy and Direct ing toonce Forba fell $28.15 sq. ft. on aAustin full-ser absorption posted each quarter, the first time vacancy finished 2013 by NNN Monthly Asking Rates PertoSq. Ft. and per Vacancy fell to $28.15 per sq. ft. on a full-service gross posted each quarter, the first time Quick Stats asCitywide the absorption top city for Quick • Austin was Stats rated as the top city for• Austin was ratedabsorption Total Vacancy and Direct Asking Rate Total Vacancy and Direct Asking Rate adding absorption, to fell to $28.15 per sq. ft. on a full-service gross posted each quarter, the first time cities in mid • Austin was rated as the top city for Q4“20somethings” 2013 QoQ YoYbydropping 95,000 year the mark (FSG) basis, decrease QoQ this(bps), has happened since basis, 2004-to-2007 saw all QoQ. (FSG) a $0.22 decrease But, thesea $0.22 has happened since 2004-to-2007 saw all CreditDonkey.com. growth, am “20somethings” by CreditDonkey.com. $0.85 30% 90 basis points quarter-overYoY Q4QoQ 2013 QoQ YoY this (FSG) basis, a $0.22 decrease QoQ. this has$0.85 happened since 2004-to-2007 saw all wide net abso “20somethings”Q4by2013 CreditDonkey.com. $0.85 30% But, 30%these historically high rents are still more th quarters post positive net absorption. This also historically high rents are still more then $2 per quarters post positive net absorption. This also absorption. Vacancy 9.8%   INDUSTRR historically high rents are still more then $2 per quarters post positive net absorption. This also (QoQ), to 9.8%. This completes the Vacancy Vacancy 9.8% 9.8%    quarter other submar Citywide a $0.80 sq. ft. above rates a year ago. With brings the year-to-date (YTD) total to 904,306 sq. ft. above rates a year ago. With more active bringsranks the year-to-date (YTD) total to 904,306 UrbanitsLand Institute Austin among its • Urban Land Institute ranks Austin • among for anquarte astoun $0.80 $0.80 ous sq. ft. above rates a year ago. With more active brings the year-to-date (YTD) total tototal 904,306 Asking Rates, $0.63 among • Urban Land NNN Institute ranks Austin  its  third consecutive year of Asking NNNRates, $0.63 $0.63  Top 10  Real Estate requirements new construction, ft.,than which is annual overrequirements 600,000 sq.than ft. less no change NNNmarkets.  sq. ft., newthan construction, rents are than which is over 600,000 sq. positive ft.sq. less markets. Top Rates, 10Asking Real Estate 25% requirements than new construction, rents are sq. ft., which is over 600,000 sq. ft. less than By the close o ft., reaching Top Real Estate markets. $0.75 25% 25% Net 10 Absorption 460,714   2012 to achieve modestingrowth the almost 2.5 million modest sq. ft. ofgrowthexpected $0.75 absorption. This marks the2012 citywide vacancy expected to achieve in the neartotal.$0.75 With almost 2.5 million sq. ft.total. of With the market average as Net Absorption 460,714 460,714   Net Absorption  thenet expected to achieve modest growth in the nearthe 2012 total. With almost 2.5 million sq. ft. of the sq.continued ft. term. active office requirements in the market, seven term. active office requirements in the market, seven • The Center for Digital Government lists Austin • The Center for Digital Government lists Austin Under Construction 622,883 lists to rise as the  Austin  reaching over half of whatinitthe was just seven three $0.70 term. active $0.70 office requirements market, •Under TheConstruction Center for Digital Under Construction 622,883 Government   622,883  $0.70 potential. Landlord a projects totaling over 1.3 million sq. ft. expecting projects totaling over 1.3 million sq. ft. expecting city”projects in nation. as the sixth “digital city” in nation. as the sixth “digital 20% another. H totaling over 1.3 million sq. ft. expecting Construction 0   years ago, when it was 20.5% in 2010. asDelivered the sixth “digital city” in nation. 20% 20% Delivered Construction 0  0  dence deal With the completion of 9225Notable Beethat C to year be completed year look toBee Caves, Delivered Construction  to be completed $0.65 With the following completion of 9225 within the following look to within $0.65 WithSource: theCBREcompletion of 9225 Bee Caves, to be completed within the following year look to $0.65 to Research, Q4 2013. •electing The Travis Building E earlier this quarter and 20 fill the needs for future tenants. Building E earlier this quarter and 2021 E. 5th fill the needs for future tenants. Source: CBRE Research, Q4 2013. in order toM Intercraft Hot Topics Building E earlier this quarter and 2021 E. 5th fill the needs Hot Topics $0.60for future tenants. Hot Topics Genesis To December, deliveries•Itfor the and Absorption in December,Construction total deliveries for theinyear rose total Citywide vacancy fell to 10.0%, the lowest level $0.60 $0.60 is importa 15% in December, total deliveries for 15% the year rose CitywideCitywide vacancyvacancy fell to 10.0%, the lowest fell to 10.0%, thelevel lowest level Flextronics 15%ft. This marks•negotiable since 2001. Flex outpaces warehouse product inNorthwest submarket saw the The to 122,459 sq. the mo Northwest submarket the majority of to 122,459 ft. This marks the most office The majority of 2 sawsq. •drastically Genesis Tod since 2001. outpaces warehouse productproduct in $0.55 submarket saw the majority of sinceFlex 2001. Flex outpaces warehouse in to 122,459 sq. ft. This marks the most office The Northwest net absorption, while also posting a rise in aver$0.55 $0.55 nego •These Hostgator product delivered since 2009, when tenants as an unnamed product delivered since 2009, when 1.3 million with such tenants as anabsorption unnamed with such net absorption, while also posting a rise inaavernet absorption, while also posting rise in aver-absorption product delivered since 2009, when 1.3 million absorption with such tenants as an unnamed age asking rates. • J.B. Hunt v to the market. 100 Company, and McKesson age asking agerates. asking rates. sq. ft. D&S, was added to the market. sq. ft. was added Fortune 100 Company, D&S, and Fortune McKesson $0.50 Center - C 10% sq. ft. was added to the market. 10% Fortune 100 Company, D&S, and McKesson $0.50 $0.50 INDUSTR 10% Corporation occupying over 84,000 sq. ft. occupying over 84,000 sq. ft. Build-to-su • Austin retains ranking as the top economyCorporation in Corporation occupying over 84,000 sq. ft. • Austin• retains as the top in Austin ranking retains ranking as economy the top economy in $0.45 Austin and 23%

2,500,000

$0.85 $0.85

22%

$0.80 $0.80

20%

NNN, Monthly Asking Rate Per Sq. Ft.

NNN, Monthly Asking Rate PSF

1,500,000$0.75

18%17%

$0.70

500,000$0.65 $0.65

15%

$0.60 $0.55

$0.55

14%

$0.50

11% 12%

$0.50 $0.45

12%

2006

$0.40

16%

13% 14%

(500,000)

(1,000,000)

Sq. Ft.

18%

16%

$0.60

$0.40 $0.45

20%

19%

$0.75

1,000,000$0.70

(1,500,000)

22%

21%

2,000,000

2007

2008

2009

2008

2009

Warehouse/Distribution Q12007 Q2 2008Q3 Q4 Average Asking2009 NNN

Warehouse/Distribution

Flex/R&D

2010

2011

2012

2010

2011

2013

2012

10%

10% Flex/R&D Total Annual Net Absorption Total Vacancy 2010 2011 2012 Vacancy OverallQ4 2013 Average Asking NNN

Vacancy Overall

2,700,000 2,400,000 2,100,000 1,800,000 1,500,000 1,200,000

900,000 600,000 300,000 0

the U.S., according to The Business Journals’ $0.45 $0.45 the U.S.,the according to The Business Journals’ U.S., according to The Business Journals’ On Numbers report. On Numbers report. report. On Numbers 5% $0.40 5% 5% • Austin topped the list among 200 large cities $0.40 $0.40 • Austin• topped the list among large cities Austin topped the list 200 among 200 large cities © 2013, CBRE, Inc. in the Milken Economic Index. © 2013, CBRE, Inc. 3 Source: CBRE Research, Q4 2013. in the Milken Index. Index. in the Economic Milken Economic EXCERPTS FROM FOURTH QUARTER MARKETVIEW • According to a November report by the U.S. to sa .November report by the U.S. Average Lease Rate - Warehouse Average Lease Rate - Flex a November report by the U.S. 1 8 •RAccording E D •N According ew c to om Average Lease Rate - Warehouse Rate - Flex Conference of Mayors, Austin is expected to Average Lease Rate - Warehouse Average Lease Average Lease Rate - Flex Vacancy Rate - Warehouse Vacancy Rate - Flex Conference of Mayors, Austin isAustin expected to Conference of Mayors, is expected to Vacancy Vacancy Rate - Warehouse Vacancy Vacancy Rate - Flex Rate - Warehouse Rate - Flex have the largest GMP growth in 2014 have thehave largest growth 2014 in 2014 the GMP largest GMP in growth Source: CBRE Research, Q4 2013. Research, 2013. Q4 2013. CBREQ4Research, • USAA ranks Austin as the fifth Best PlacesSource: for CBRESource: • USAA• ranks the fifth Bestfifth Places USAAAustin ranksas Austin as the Bestfor Places for Veterans in their 2013 rankings. Citywide vacancy finished 2013 by dropping 90 Austin Lighthouse, moving into the Intercraft (300,000) (600,000) (900,000)

early 2014 with almos

2007

2008

2009

Under Construction

2010

Deliveries

2011

Q4 2013

Q3 2007 Q1 2007 Q4 2007 Q2 2007 Q1 2007 Q1 2008 Q3 2007 Q2 2007 Q2 2008 Q4 2007 Q3 2007 Q3 2008 Q1 2008 Q4 2007 Q4 2008 Q2 2008 Q1 2008 Q1 2009 Q3 2008 Q2 2008 Q2 2009 Q4 2008 Q3 2008 Q3 2009 Q1 2009 Q4 2008 Q4 2009 Q2 2009 Q1 2009 Q1 2010 Q3 2009 Q2 2009 Q2 2010 Q4 2009 Q3 2009 Q3 2010 Q1 2010 Q4 2009 Q4 2010 Q2 2010 Q1 2010 Q1 2011 Q3 2010 Q2 2010 Q2 2011 Q4 2010 Q3 2010 Q3 2011 Q1 2011 Q4 2010 Q4 2011 Q2 2011 Q1 2011 Q1 2012 Q3 2011 Q2 2011 Q2 2012 Q4 2011 Q3 2011 Q3 2012 Q1 2012 Q4 2011 Q4 2012 Q2 2012 Q1 2012 Q1 2013 Q3 2012 Q2 2012 Q2 2013 Q4 2012 Q3 2012 Q3 2013 Q1 2013 Q4 2012 Q4 2013 Q2 2013 Q1 2013 Q3 2013 Q2 2013

Q2 2007

Q1 2007

(1,500,000)

Q4 2013 Q3 2013

(1,200,000)

2012

Net Absorption

YTD 2013

The initial p is 100% p© and will be and FedEx. increasingl in early 201

Great Office Space For Lease!

Up to 11,500 SF Available on Top Floor

• 2 Miles West of Beltway 8 on Westheimer • Covered/Surface Parking • Card-Key Access • Professional on-site management • 791–11,500 SF Available

2550 Gray Falls

Bill McGrath, CCIM

www.LandParkCommercial.com bmcgrath@landparkcommercial.com | 713-789-2200

Beachfront Investment Opportunity! The Preserve at Grand Beach Galveston, Texas

Proposed Hotel Site

General Land Plan approved by the City of Galveston for up to 350 room hotel with Water Attractions and Cabanas

230 East Beach Drive

A Project of Giles Jordan, Inc. Donald Jordan - don@jordanproperties.com Michael Giles - mgiles@mgilescpa.com

409.737.9779 Licensed Texas Real Estate Brokers

REDNews.com 19

San Antonio Office San Antonio Office MarketView MarketView MarketView MarketView

2013 | MarketView San Antonio Office | MarketView San AntonioQ4 Office

to 5.8%, from unemploymen and 10 basis p 8% reported for O is below the na 7% MARKETVIEW flat. C Q4 2013 CBRE and Global Research relatively and Con CBRE Research Global Research Consulting Q4 2013Q4 2013 CBRE6% Market Global and Consulting Statistics Q4 2013 CBRE Global Research and Consulting of the nation, 5% over the month Total Net Rentable Vacant Total Vacancy The national u Market Absorption 4% Area Sq. Ft. Rate Ft. theSq.month, bu 3% CBD 5,137,693 1,321,825 25.7% (4,519) national unem North Central 10,606,503 1,594,891 15.0% 26,780 2% the November 2007 2008 2009 2010 2011 2012 Directional arrows based on change from the previous quarter. arrows based on change from thequarter. previous quarter. Data reflects market Data totals.reflects market totals. Northeast 1,986,652 264,051 13.3%2013 (5,829) sho Directional Directional arrows based on change from the previous Data reflects market totals. expansion US Texas San Antonio Northwest 8,947,182 1,963,716 21.9% 86,381 gains Directional arrows based on change from the previous quarter. Data reflects market totals. housing Source: Bureau of Labor Statistics, October 2013. South 473,871 29,919 6.3% Shale.671 In the lo Totals 27,151,901 5,174,402 19.1% 103,484 employment in Source: CBRE Research, Q4 2013. medical, along Gross Annual Average Asking Rates, Per Sq. Ft. VACANCY it is likely theAN A Vacancy and Absorption $25 Net absorption The San Antonio office market was steady economically. Quick Stats Quick Stats Quick Stats Asking Rent & Vacancy

San Antonio Office | Marketview OCCUPANCY OCCUPANCY OCCUPANCY 80.9% 80.9% 80.9%

OCCUPANCY AVAILABILITY AVAILABILITY AVAILABILITY 80.9% 22.1% 22.1% 22.1%

10% 9%

OFFICE FOURTH QUARTER

AVAILABILITY ASKING RATE ASKING RATE ASKING 22.1% $19.82RATE PSF $19.82 PSF $19.82 PSF

ASKING RATE UNEMPLOYMENT UNEMPLOYMENT $19.82 PSF 5.8% UNEMPLOYMENT 5.8% 5.8%

UNEMPLOYME 5.8%

ANDDEFINES STEADY” DEFINES OFFICE MARKET “STRONG AND STEADY” OFFICE MARKET FOR 2013. FOR 2013. “STRONG AND“STRONG STEADY” DEFINES OFFICE MARKET FOR 2013. “STRONG AND STEADY” DEFINES OFFICE MARKET FOR 2013. Quick Stats

Asking Rent & VacancyAsking Rent & Vacancy

Q4Asking 2013. Rent & Vacancy Q4 2013YoY QoQ over YoY Q4 2013 QoQ YoY QoQ $21 $21 $21net absorption Q4 2013 QoQ YoY Total for the quarter was positive Vacancy  19.1% $21 Vacancy  19.1%     Vacancy 19.1% 103,484 sq. ft., bringing the total net absorption for Vacancy 19.1%    $19.82  Asking Rates  Asking Rates Asking Rates $19.82 $19.82   2013 to 622,269 sq. ft. and rendering this year the Asking Rates $19.82   $20 $20 103,484    103,484 since Net AbsorptionNet Absorption 103,484  Net Absorption   for San$20Antonio. Much of the healthiest 2007 $20 Net Absorption 103,484   Under Construction 0 Construction Under Construction 0 1 1  office market’s as well as the commercial Under 0 1 success,  Under Construction 0 1  real estate market as a whole, can be attributed to Delivered Construction Delivered Construction43,500 43,500    43,500  DeliveredConstruction  $19 $19 $19 Delivered 43,500  an above average performing economy. Source: CBRE Research, Q4Construction 2013. Source: CBRE Research, Q4 2013. $19

Dollars Per Sq. Ft.

Dollars Per Sq. Ft. Dollars Per Sq. Ft.

Source: CBRE Research, Q4 2013. Source: CBRE Research, Q4 2013.

Dollars Per Sq. Ft.

Q4 2013

$24 1,100,000

with a vacancy for 2013 to 62 OFFICEover REN activity th Full Servicesub Gr Northwest ft. of net absor space decreas the are recession highest in tt absorption all and Northwest

19%

$23

900,000

18%

$22

20%

700,000

$21

17%

20%

500,000 $20

16%

$19

300,000

15%

$18

18%

100,000

$17

and $18.97 pe

14%

Notable transa slipped slightlyw • WellMed sq. ft. Overall, Oaks. • Konica Mi range over the 18,581 sq market remain • Christus S continue into 2 Internation • Office Ally OFFICE spacePRO at H

18%

(100,000) $16

13%

$15 (300,000)

2007

2008

(500,000)

2007 Sq. Ft. Source: CBRE Research, Q4 2013.2008 Q1

2009 Class A

2010 Class B

2009

2010

2011 Average 2011

12%

2012

2013

16% 2012

16%

11%

2013

Total Annual Absorption

16%

Vacancy Rate

Construction, Sq. Ft.

Source: CBRE Research, Q4 2013.

14%

At the end of Q of office space occupancy at $18 12% 1,200,000 12% Capital Title, a 400,000 $18 quarter with 103,484 sq. ft. of net absorption. quarter with 103,484 sq. ft.with ofended net absorption. construction h 1,000,000 quarter 103,484 sq. ft. of net absorption. The San Antonio office market the fourth 12% 200,000 The office market remained steady and cautious potential proje The office remained and cautioussteady and cautious 800,000 The market remained quarter with market 103,484 sq.office ft. ofsteady net absorption. of these projec throughoutthroughout most of themost year,ofbringing the total the total $17 the year, bringing 10% 600,000 0 throughout most ofcautious the year, bringing the The office market remained steady and $17 total 10% $17 will be located net absorption for 2013 tofor 622,269 sq. ft. net absorption 2013 to 622,269 sq. ft. 400,000 (200,000) netyear, absorption forthe 2013 ft. throughout most of the bringing totalto 622,269 sq. $17 10% Crossing. The 2 MARKET STATISTICS The positiveThe gains the year has brought to the positive gains the has brought the has brought to the 200,000 hopes to brea Theyear positive gains net absorption for 2013 to 622,269 sq.the ft.toyear (400,000) commercialcommercial real estate real market canmarket be attributed Northwest sub estate can attributed UNEMPLO 0 realbe estate market can be attributed The positive gains thecommercial year has brought to the Unemployment MARKETVIEW Sq. Ft. 2009 2010 2011 2012 2013 Average Gross Asking Rent per Sq. Ft. Average Vacancy Sq. Ft.2008 to job and to population growth throughout the Source: CBRE Research, Q4 2013. ground Average Gross Asking Rent per Sq. Ft.Gross Asking Average Vacancy The early San An job and real population growth throughout the Source: CBRE Research, Q4 2013. 10% Average Rent Sq. Ft. Average Vacancy Under per Construction Pre-leased to job and population growth throughout the commercial estate market can be attributed Source: CBRE Research, Q4 2013. office complex Source: CBRE Research, Q4 2013. Alamo City.Alamo City. Class A Class B Class C Total Abs 5.8%, from Market Average Gross Asking9% Rent per Ft. Source:Sq. CBREStatistics Research, Q4 2013.Average Vacancy City. to job and populationAlamo growth throughout the Source: CBRE Research, Q4 2013. ft. As the San Antonio economy strengthens and The San Antonio office market was steady over rate is the 3 As the San Antonio economy strengthens and The San Antonio office market was steady over Alamo City. As the San Antonio economy strengthens an The San Antonio office market was steady over (bps) leasing8% activity picks up, developers becoming Netbelow Totalandare Total Q4 2013. Q4 2013. Q4 2013Q4 2013 Global Research Consulting Rentable Available Availability leasing activity picks up,Research developers are becoming Q4 2013 CBRE Global Research a As the San Antonio economy strengthens and The San Antonio office market was steady over CBRE CBRE Global and Consulting leasing activity picks up, developers are bec Q4 2013. Market Vacant Vacancy Absorption • The San Antonio market has been identified as Though th more confident in the market. This new confidence Total net absorption for the quarter was positive Area Sq. Ft. Rate • The San Antonio•market has been identified as 7% more confident in the Sq. Ft.developers Rate Sq.year Ft. it The San Antonio market has been identified as market. Thisand new confidence Total net absorption for the quarter was positive Q4 2013City” by the U.S. CBRE Global Research Consulting the leasing activity picks up, are becoming Q4 2013. more confident in the market. This new con Total net absorption for the quarter was positive an “Enterprising Chamber of has spurred the potential for a new round of office 103,484 sq. ft., bringing the total net absorption anSan “Enterprising City” by thebeen U.S.identified Chamber of • The Antonio market has has spurred theinpotential for aThis new round of office Braun sq.offt., bringing totalft.,net absorption 6% more an “Enterprising City” byas the U.S.103,484 Chamber confident thehas market. confidence net absorption forrendering thethe quarter was positive spurred thenew potential for a new New round 103,484 sq. bringing the total net CBD absorption 432,907 18,700 4.3% 48,330 11.2% 0 o Commerce. development. Recently, Stream Realty Partners for 2013Total to 622,269 sq. ft. and this Logging w Commerce. development. Recently, Stream Realty Partners for 2013sq. to 622,269 sq. ft. and rendering this an “Enterprising City”Commerce. by the U.S. Chamber of has spurred the potential for a new round of office 103,484 ft., bringing the total net absorption 5% development. Partn 622,269 sq. ft. and rendering this5,899,853 of Norththe Centralconstruction 675,079 11.4% Recently, 799,132 Stream 13.5% Realty (13,162) announced a new office project year the healthiest since 2007forfor2013 San to Antonio. driven emp announced theRecently, construction of6.8% athe new office project year the to healthiest since 2007 for San since Antonio. Commerce. Stream Realty Partners for 2013 622,269 sq. ft. and rendering this2007 announced construction of a new office Northeast 19,561,968 1,324,493 2,358,470 12.1% 1,328,717 year the healthiest for San Antonio. Antonio to 4% known asdevelopment. Lockhill Crossing. The mid-rise, Class Much ofon the officemarket markets success, as well as thereflects • Bexar County took the spot from on the Texas Directional arrows based ontop change the previous quarter. Data reflects totals. Directional arrows based change from the previous quarter. Data market totals. known as Lockhill Crossing. The mid-rise, Class Much of the office markets success, as well as the Directional arrows basedthe ontop change from the previous quarter. Data reflects market totals. • Bexar County took spot on the Texas announced the construction of a new office project year the healthiest since 2007 for San Antonio. for61,079 TexasC d Northwest 5,400,086 551,734 10.2% 575,332 10.7% known as Lockhill Crossing. The mid-rise, Much of the office markets success, as well as the • Bexar County took the top spot on the Texas A office building will sit between Lockhill Selma commercial real estate market as a whole, can Association of Realtors’ 2013 Texas Relocation 3% Directional arrows based on change from Relocation the previous quarter. Data reflects marketmarket totals. Awhole, office building will sitoffice between Lockhill Selma commercial real estate as a as whole, canthe as aknown year, toSe 6.2 2007 as 2008 2009 2010 The 2011 2012 2013 Association Realtors’ Lockhill Crossing. mid-rise, Class Much of the office markets success, well as South 2,687,504 249,897 9.3% 249,897 9.3% Lockhill (100,000) • Bexar County of took the top2013 spot Texas on the Texas A building will sit between commercial real estate market can Road and NW Military Highway along Loop 1604 be attributed to an above average performing Association of Realtors’ 2013 Texas Relocation Report. Texas US San Antonio the month Road and NW Military along LoopHighway 1604 be attributed to an be above average Report. of Realtors’ Totals 33,982,318 4,031,161 11.9% along 1,276,634 A office building will2,819,903 sit Highway between Lockhill market as to a performing whole, caninaverage Road and8.3% NW Military Loop attributed an above performing Association 2013 Texas Relocation theSource: Northwest 126,626 sq. ft. Selma economy.commercial real estate Texas Workforce submarket. Commission, June 2013.This Report. unemploym in the Northwest submarket. This 126,626 sq. ft. economy. Source: CBRE Research, Q4 2013. Military Road and NW Highway Loop 1604This 126,626 be attributed to an above average performingdevelopment the Northwest submarket. s economy. comes at a timeinwhen primealong Class Report. report from • San Antonio was named one of the top 25 NET ABSO development comes at a timeThis when primeatClass Net Absorption and Vacancy in the Northwest submarket. 126,626 sq. ft. economy. development comes a time when prime C A office space is in high demand in one of the The outlook for the San Antonio area looks carry over • San Antonio was named one of the top 25 NNN Annual Average Asking Rates, Per Sq. Ft. Quick Stats Net Absorp Quick Stats NNN Rates San Antonio was named one ofAsking the top 25 Quick NNN Asking Ratesdevelopment The San Antonio industrial market expeBest Cities for Stats Global Trade• by Global Trade A desirable office is in high inisone of Class the The outlook for the The San Antonio area NNN Rates vacancy comes when prime $11area city’s most locations. Itademand istime believed that to be a positive one.Asking According tooutlook the Sanfor Aatoffice space in high demand inasuccess one offrort thelooks San Antonio looksspace Best Cities for Global Trade bythe Global Trade 18% Stats •Quick San Antonio one of top 25 Q4named 2013 QoQ YoY NNN Asking Rates Best Cities for Global Trade by Global Trade sq. ft. facility 2,500,000 Magazine, which also was named Texas as the top city’s most desirable locations. It is believed that to be a positive one. According to the San Q4 2013 QoQ YoY rienced nearly 1.3 million sq. ft. of positive net in the city’s Q4 2013 QoQ YoY A office space is in high demand in one of the The outlook for the San Antonio area looks projects like this are just the beginning of more Antonio Business Journal, The Perryman Group $10 city’s most desirable locations. It is believed to be a positive$11 one. According to 2,300,000 the San Magazine, alsoTrade named Texas asTrade the top $11 quarter, whi $11 Cities forwhich Global by Global along with projects like this areAlamo just theCity. beginning of more Business Journal, Perryman Magazine, which alsoabsorption named Texas the top one. State for Best Global Trade in the U.S. 2,100,000 Q4 2013 YoY foras Q4 2013, bringing the total 16% Northeast Vacancy 8.3% theVacancy  QoQ most desirable locations. is believed thatbeginning toAntonio be a$11 positive toyear-end the Journal, SanGroup development come to the recently forecasted many citiesThe as being $9 city’s to projects likeItthis are just the of Cit ms Antonio Business The Perryman Group 8.3%  Texas According 1,900,000 Vacancy 8.3%   State for Global Trade in U.S. Alamo $10 Magazine, which also named Texas as the top with a total $10 as being development to come to the Alamo City. recently forecasted many Texas cities 14%

Absorption By Class

ASKING RATE AVAILABILITY ASKING RATE $5.85 Per ASKING Sq. Ft. Per RATESq. Ft. 11.9% $5.85 $5.85 Per Sq. Ft.

Q4 2012 Q2 2010

Q3 2012 Q1 2010

Q42012 2013 Q4 2013 Q2 Q4 2009

Q3 2013 Q32012 2013 Q1 Q3 2009

Q3 2007 Q1 2007 Q1 Q42007 2007 Q2 2007 Q2 Q12007 2008 Q3 2007 Q3 Q22007 2008 Q4 2007 Q4 Q32007 2008 Q1 2008 Q1 Q42008 2008 Q2 2008 Q2 Q12008 2009 Q3 2008 Q1 2007 Q3 Q22008 2009 Q4 2008 Q2 2007 Q4 Q32008 2009 Q1 2009 Q3 2007 Q1 Q42009 2009 Q2 2009 Q4 2007 Q2 Q12009 2010 Q3 2009 Q1 2008 Q3 Q22009 2010 Q4 2009 Q2 2008 Q4 Q32009 2010 Q1 2010 Q3 2008 Q1 Q42010 2010 Q2 2010 Q4 2008 Q2 Q12010 2011 Q3 2010 Q1 Q32009 2010 Q2 2011 Q4 2010 Q2 Q42009 2010 Q3 2011 Q1 2011 Q3 Q12009 2011 Q4 2011 Q2 2011 Q4 2009 Q2 Q2 2007Q12011 2012 Q3 2011 Q1 Q32010 2011 Q3 2007 Q2 2012 Q4 2011 Q42010 2011 Q2 Q4 2007 Q3 2012 Q1 2012 Q12010 2012 Q3 Q1 2008 Q4 2012 Q2 2012 Q22010 2012 Q4 Q2 2008 Q1 2013 Q3 2012 Q32011 2012 Q1 Q3 2008 Q2 2013 Q4 2012 Q4 Q2 2011 Q4 2008Q32012 2013 Q1 2013 Q12011 2013 Q3 Q1 2009 Q4 2013 Q2 2013 Q22011 2013 Q4 Q2 2009

Q2 2007

AVAILABILITY OCCUPANCY AVAILABILITY 11.9% AVAILABILITY 91.7% 11.9% 11.9%

San Antonio Industrial | MarketView

OCCUPANCYOCCUPANCY 91.7% OCCUPANCY 91.7% 91.7%

San Antonio Industrial | MarketView

San Antonio Industrial | Marketview

Q4 2013

Q1 2007

SanSan Antonio Industrial San Antonio Industrial INDUSTRIAL FOURTH QUARTER Antonio Industrial San Antonio Industrial MarketView MarketView MarketView EXCERPTS FROM FOURTH QUARTER MARKETVIEW MarketView

Q3 2013 Q1 2011

INDUSTRIAL FOURTH QUARTER

Q2 2013 Q4 2010

1,400,000 600,000

Q1 2013 Q3 2010

Hot Topics Hot Topics Hot Topics $18 $18 The San Antonio office market ended the fourthoffice The San Antonio office market ended the fourth The San Antonio market ended the fourth Hot Topics

1,600,000

UNEMPLOYMENT ASKING RATE UNEMPLOYMENT $5.855.8% Per Sq. Ft.UNEMPLOYMENT 5.8% 5.8%

UNE 5.8

INDUSTRIAL SECTOR CLOSES ITS SECTOR BEST TO DATE. INDUSTRIAL CLOSES ITS DATE. BEST YEAR TO DATE. INDUSTRIAL SECTOR CLOSES ITS YEAR BEST YEAR TO INDUSTRIAL SECTOR CLOSES ITS BEST YEAR TO DATE.

$10 State for8.3% Global Trade the U.S. positioned forBusiness long-term economic growth. like this are development just the beginning of more Antonio Journal, The Perryman Group $8 projects to come to the Alamoa City. recently forecasted as being million sq. ft. 2013 has proven to be many one ofTexas cities  towell in2.5 vacancy r Asking Rates,Vacancy NNN $5.85 San Antonio Asking $5.85  for  Texas $10 well positioned long-term economic growth. State for Global Trade in the U.S. Asking Rates, NNN $5.85Rates,  NNNThe  article $9 recently • The Milken Institute has named INDUSTR The economic San Antonio officetomarket had a City. 61,000 sq. states thatfor San Antonio, being one $9 come has to the Alamo forecasted many cities assince being $7 development well positioned for long-term growth. $9 the strongest years the industrial market • The Milken Institute has named San Antonio Asking Rates, NNN $5.85 The San Antonio office market has had a   The article states that San Antonio, being one The overal of theNettop 25 Best-Performing Cities in the Netone Absorption 1,276,634 successful and steady year in 2013. The   of these cities, has benefitted greatly from the $9 • The Milken Institute has named San Antonio well positioned for long-term economic growth. $6 Net Absorption 1,276,634   The San Antonio office market has had a The article states Antonio, being one Absorption 1,276,634 Cities  2007. the $8While Notable dea $8 that a $8 healthy market should ease theSan minds increased one of theInstitute top 25 Best-Performing in successful andmarket steady year in 2013. Thea of these cities, has benefitted greatly from the commercial real not only saw gains military medical industries as well as its • Net The Milken has San25 Antonio Conn’s U.S. for 2013. Sanestate Antonio office market has had The article states that Antonio, being one $5 The onenamed ofthe top Cities Absorption 1,276,634 successful and steady year in 2013.•from Thethe ato  Best-Performing  $7 and ofSan these cities, has benefitted greatly from the $8 in the Under Construction 315,362  Under Construction 315,362   • Goodwill $7 commercial real estate market not only saw gains military and medical industries as well as its of developers, many are still hesitant to turn dirt on Under Construction 315,362   U.S. for 2013. $7 in its office sector, but in other commercial product educated population. The article went on to say one of the top 25 Best-Performing successful and steady year in 2013. The of these cities, has benefitted greatly fromindustries the $4 well commercial real estate market not only saw military and medical as as its U.S. for 2013.Cities in the ft. Asking Business Par 2009 2010 2011 2012product 2013 Under Construction 1,260,000 315,362  speculative  “Expansion in 2007 its In office2008 sector, but inmarket other commercial educated The article went onitsto say $7in output aswent well. 2013 Texas Relocation Report, gross product)  Delivered  Construction projects prior toeducated getting leasing commit•ft.Southern $6 is 1,260,000  (real industries citywidep commercial real estate only sawin gains andpopulation. medical as well as •Delivered Texas Construction ranked third for the Best Business U.S. for Construction 2013. $6 in its officenot sector, but other commercial population. Thetypes article on the toWarehouse/Distribution say Flex/R&D Market Average Delivered 1,260,000  that,  $6 military Currency D types asTexas well.Association In the 2013ofTexas Relocation Report, that, “Expansion in output (real gross product)released is by forecast to occur atpopulation. a 3.35% annual rate, with out at $4.2 ranked third for the Best Business Delivered 1,260,000  forments.  Best in itsthe office sector, but in other commercial product educated The“Expansion article went on toopensay(realSource: CBRE Research, Q4 2013. this $6setback didthat, not stop users $5Yet, types asRealtors, well. In the 2013 Texas Relocation inthe output gross product) is Climate • in Texas 2013Construction by Site Selection magazine. • Aviation T $5from • Texas ranked third the Business $5to occur at a 3.35% annual released by the Texas Association of Realtors, forecast rate, with the Central an Bexar County took the top spot. The report highest gains on the services; finance, insurance Woodlake Climate in 2013 Site magazine. types aswith well.the In the 2013 Texas Report, of that, “Expansion in output (real gross product) is annual released by Relocation the Texas Association RealtoraC forecast toCity occur atyear. a 3.35% rate, ingSelection and into this Texas ranked third by forClimate the Selection Best $5 Hot Topics• Hot $4 expanding inBusiness 2013 by Site magazine. Hot Topics •buildings Total Med Bexar County tooka the top spot. report Source: CBRE Research, Q4 2013. highest onthe the Alamo services;The finance, $4 insurance Topics shows that the county had net inflow of The 5,601 and real estate; and trade segments.” majority $4gains released by the Texas Association of Realtors, forecast to occur at a 3.35% annual rate, with the Bexar County took the top spot. The report highest gains on the services; finance, insurance Construction, Sq. Ft. Expressway. Climate in 2013market by Siteended Selection magazine. The San Antonio industrial 2013 Hot Topics The San Antonio market endedare 2013 shows that the hadlargest a net inflow of 5,601 and real estate; and tradeoffice segments.” $4sectors households in 2012, forcounty the fourth net gain ofindustrial these leading direct drivers.The majority The San Antonio industrial market ended 2013 1,700,000 1,500,000

14%

Annual Per Sq. Ft.

Annual Per Sq. Ft. Annual Per Sq. Ft.

Annual Per Sq. Ft.

1,300,000

1,100,000 900,000

12%

700,000 500,000 300,000

10%

100,000

(100,000) (300,000) Sq. Ft.

2007

2008

2009

2010

Q1 Q4

2011

2012

Q2 Net Absorption

2013

Q3 Vacancy Rate

•It CED $3 Bexar County took the top spot. Thecounty reporthad a net inflow highest $3 gains on theand services; finance, insurance is import shows that the ofwill5,e real estate; and trade segments.” The majority Q4 2012

Q3 2013

Q2 2012

45%

Q1 2012

Q1 2007 Q4 2007 Q1 2007 Q2 2007 Q1 2008 Q2 2007 Q3 2007 Q2 2008 Q3 2007 Q4 2007 Q3 2008 Q4 2007 Q1 2008 Q4 2008 Q1 2008 Q2 2008 Q1 2009 Q2 2008 Q3 2008 Q2 2009 Q3 2008 Q4 2008 Q3 2009 Q4 2008 Q1 2009 Q4 2009 Q1 2009 Q1 2007 Q2 2009 Q1 2010 Q2 2009 Q2 2007 Q3 2009 Q2 2010 Q3 2009 Q3 2007 Q4 2009 Q3 2010 Q4 2009 Q4 2007 Q1 2010 Q4 2010 Q1 2010 Q1 2008 Q2 2010 Q1 2011 Q2 2010 Q2 2008 Q3 2010 Q2 2011 Q3 2010 Q3 2008 Q4 2010 Q3 2011 Q4 2010 Q4 2008 Q1 2011 Q4 2011 Q1 2011 Q1 2009 Q2 2011 Q1 2012 Q2 2011 Q2 2009 Q3 2011 Q2 2012 Q3 2011 Q3 2009 Q4 2011 Q3 2013 Q4 2011 Q4 2009 Q1 2012 Q4 2012 Q1 2012 Q1 2010 Q2 2012 Q1 2013 Q2 2012 Q2 2010 Q3 2013 Q2 2013 Q3 2013 Q3 2010 Q4 2012 Q3 2013 Q4 2012 Q4 2010 Q1 2013 Q4 2013 Q1 2013 Q1 2011 Q2 2013 Q2 2013 Q2 2011 Q3 2013 Q3 2013 Q3 2011 Q4 2013 Q4 2013 Q4 2011

Q3 2007

Q2 2007

Q1 2007

1,800,000 with a totalThe of 2.5 million sq. ft. of positive households in 2012,and for the fourth largest net gain of sectors are direct drivers. San Antonio industrial market 2013 nationwide. With population growth onofits5,601 with total of 2.5 sq.these ft.also ofleading positive netto benefit Sanmillion Antonio isreal expected fromoffice with a total of 2.5 million sq. ft. net ofaended positive net negotiable 1,600,000 $3 estate; and of shows that the countyhouseholds hadjob a net inflow and trade segments.” The majority in 2012, for the fourth largest n these leading sectors are direct office drivers. Historical Vacancy nationwide. With population and job growth on its San Antonio is also expected to benefit from absorption. Although space has remained tight, side, San Antonio is likely to see much of the same energy driven jobs directly related to the Eagle 1,400,000 with a total of 2.5 million sq. ft. of positive net user. These absorption. Although space has remained tight, absorption. Although space has remained tight, households for the fourth largest net gainand job of these leading sectors directisoffice drivers. to1,200,000 With population growth San are Antonio also expected benefit from in 2012,nationwide. side,into San2014. Antonio is likely to see much of the same energy driven jobs directly related to the Eagle improvement Ford Shale. market ave with little speculative development having broke absorption. Although space has remained tight, with little speculative development having broke with little speculative development having broke nationwide. population and job growth San Antonio is also expected to benefit from side, San Antonio is likelyon to its see much of the energy driven jobs directly related to the EagleWith Source: CBRE Research, Q4 2013. FlexSource: / R&D Warehouse / 1,000,000 Distribution CBRE Research, Q4 2013. Source: CBRE Research, Q4 2013. Flex R&D Warehouse / Distribution improvement into/ 2014. Ford Shale. Flex / R&D Warehouse / Distribution ground, the market has continued to attract users with little speculative development having broke 800,000 ground, the market has continued to attract users side, San Antonio is improvement likely to see much of the same driven jobs directly related to the Eagle ground, the market has continued to attract users energy INDUSTR into 2014. Ford Shale. Source: CBRE Research, Q4 2013. Flex / R&D / Distribution 600,000 Source: and CBRE Research, Q4 2013. Source: CBRE Research, Q4 2013.Warehouse of all kindsground, to all open and throughout the In Q4 201 the market continued to attract users Source: CBRE Research, Q4the 2013. of allthroughout kinds to open expand throughout improvement into 2014. © 2013, CBRE, Inc. Ford Shale. of kinds toexpand openhas and expand the 400,000 delivered i Source: CBRE Research, Q4 2013. Alamo City. ofAlamo all kinds to open and expand throughout the Alamo City. 200,000 © 2013, CBRE, Inc. City. other commercial projects in projects the area.in The San Antonio industrial experienced other commercial projectscenter in2013, the The San Antonio industrial market experienced is oa other commercial the area. The San Antonio market industrial market experienced © 0 Sq. Ft. Alamo City. 2008 2009 2010 2011 2012 2013 orders for nearly 1.3 million sq. ft. of positive net absorp40% 35% 30% 25% 20% 15%

commercial projectsPre-leased in the area. The San1.3 Antonio market1.3 experienced nearly million sq. ft. ofother positive net absorp© 2013, CBRE, Inc. 2 nearly millionindustrial sq. ft. of positive net absorpUnder Construction Delivered 3 ground thi On the other side of the city, in the Northwest tion for Q4 2013, bringing the year-end total to nearly 1.3 million sq. ft. of positive net absorpOn the other side of the city, in th tion for Q4 2013, bringing the year-end total to Source: CBRE Research, Q4 2013. On the other side of the city, in Northwest tion for Q4 2013, bringing the year-end total to new Class 2 0 •RThe E DSan N eAntonio w s . cmarket o m has been identified as • The San Antonio market has been identified as EXCERPTS FROM FOURTH QUARTER MARKETVIEW • The San Antonio market has been identified submarket, construction was completed on Glaz2.5 as milliontion sq. ft. 2013 has proven to be one of On the other side of the city, in the Northwest for Q4 2013, bringing the year-end total to submarket, construction was com 2.5 million sq. ft. 2013 has proven to be one of I-35 and L submarket, construction was completed on Glaz2.5 million sq. ft. 2013 has proven to be one of an “Enterprising City” by themarket U.S. by Chamber of • The San Antonio has identified an “Enterprising City” 2.5 by the U.S.forChamber of hasmarket expected t an “Enterprising City” thebeen U.S. Chamber of er’s Inc. distribution center. The new $30 million theas strongest years the industrial since submarket, construction was completed on Glazmillion sq. ft. 2013 proven to be one of er’s Inc. distribution center. The ne the strongest years for the industrial market since center. The new $30 million CBRE Inc. Research,distribution Q4 2013. the strongest years for the industrial market since Source:er’s Commerce. an “Enterprising City” by the U.S. Chamber of While a healthy market should ease the Commerce. Commerce. facility, located at 102 S. Callaghan near Loop 2007. er’s Inc. distribution center. The new $30 million the strongest years for the industrial market since facility, located at 102 S. Callagh 2007. While a healthy market should ease the facility, located at 102 S. Callaghan near Loop 2007. While a healthy market should ease the 10%

CBD

North Central

Northeast

Q4 2010

Q3 2010

Q2 2010

Q1 2010

Q4 2009

Q3 2009

Q2 2009

Q1 2009

Q4 2008

Q3 2008

Q2 2008

Q1 2008

Q4 2007

Q3 2007

Q2 2007

Q1 2007

Northwest

For Sale SA N A NTO NI O , TEXAS #10488000028 6243 W IH 10 OďŹ&#x192;ce Building / 150,000 sf / 10 stories Price TBD #10488000034 2111 S Hackberry Building & land / 1,056 sf / .60 acres Price $231,000 #10488000016 18495 Hwy 16 South Tundra Village / Size TBD Price TBD

EDI NBU RG , TEX AS #10488000047 505 S McColl Vacant land / 4.43 acres Price TBD #10488000040 N. Alamo @ Hwy 107 Shop/house & land / 1.66 acres Price $671,000 #10488000039 Hwy 281 @ E Trenton Vacant land / 1.08 acres Price $880,000

M cA LLEN , T EX AS #10488000042 101 N McColl @ Beech Vacant Land / 2.46 acres Price $649,000

M ERC EDES , TEX AS #10488000043 5014 E Expressway 83 Vacant land / 2.05 acres Price $396,000 Confidentiality agreement must be executed for more detailed information. Please contact: GARY A. MABRAY, SIOR

gary.mabray@colliers.com Dir +1 713 830 2104 Fax +1 713 986 4404 COLLIERS INTERNATIONAL 1233 W. Loop South, Ste. 900, Houston, TX 77027

WESL ACO , T EXA S #10488000033 621 S International Blvd Bank building / 2,209 sf / 1.82 acres Price $352,000 #10488000044 2415 N Texas 1.67 acres Price $308,000 #10488000038 911 W Expressway 83 Vacant land / .64 acres Price $154,000

HARLINGEN , T E XA S #10488000032 1221 Morgan Blvd 2,918 sf / 1.5 acres Price $693,000 #10488000041 1610 F Street Vacant land / 2.46 acres Price $825,000 #10488000036 1010 Expwy 83 - #1 & 2 Excess land / .49 + 1.10 acres Price $253,000 #10488000051 1010 Expwy 83 - #3 Excess land / .62 acres Price $209,000

EAGLE PASS , T E XA S #10488000045 2801 N Veterans Blvd Vacant land / 1.1 acres Price $286,000 Colliers International is an independent contractor to the FDIC, engaged to provide services to the FDIC in connection with the management and marketing of, and to facilitate FDIC's sale of FDIC's properties; and, neither Colliers nor any of its employees, subcontractors, or agents have any actual or apparent authority to make or accept oďŹ&#x20AC;ers on behalf of FDIC or to bind the FDIC to any term or condition of any transaction involving or related to any FDIC property. The FDIC is bound by the terms or conditions of any transaction involving or related to any FDIC property only upon the written approval of the transaction and the execution of the transactional documents by an FDIC employee with the appropriate level of delegated authority for such matters.

2014 Ma Office/Office Medical June August October December

*Retail March May July November *Extra Distribution-Texas & Las Vegas ICSC

Display & Premium

SAVE 10 on 2 insertions

SAVE

on 3 inserti

Ad Insertion Includes: Monthly Print â&#x20AC;˘

For more information or to reserve your space, c

e ifi

l ua int Pr

ed + ion e ut 0 ss lin rib ist 00 ofe n *D 0, E Pr l - O 10 d CR gita

arket Focus

Industrial April July October

*Extra Distribution-A & M Land Conference

m Space Available

E 15

3-4 ions

SAVE 20

on 5-9 insertions

â&#x20AC;˘ Weekly Newsletter â&#x20AC;˘ Magazine Eblast

call 713.661.6300 or email Ginger@rednews.com

Vacant Land/ Development Opportunities April July November

Rebuilding East Houston

EaDo

the Art + Soul of the City! EaDo Retail / Restaurant Space For Lease

Welcome to EaDo – East Downtown Houston Rendering of Proposed Renovation

EaDo is a vibrant neighborhood rich with history, interesting sites, thriving busi-

      

Central EaDo location on SEC of Polk and Nagle Retail building (built 1949) to be fully renovated Ready for tenant build-out late Spring 2014 1,300 SF - 10,000 SF Available Restaurant Space - up to 2,500 SF available Surrounded by dense, new residential construction Adjacent to Eastwood and Downtown

For Leasing Information Contact: Adam Williams, CCIM

713-533-4400 adam@lewispropertycompany.com 24 REDNews.com

nesses and entertainment and best of all downtown living. EaDo is remarkably situ-

freeways, major thoroughfares,

ated near Houston’s largest employment

METRO Transit, and soon METRO

centers: Downtown, the Texas Medical

Light Rail (LRT) from the East End

Center, and the Houston Ship Channel.

and Southeast corridors connect-

With unmatched views of the growth area

ing to Downtown and the Main

of the downtown skyline, East Downtown

Street Red Line, connectivity to all

also brings you within walking distance of

points of interest in the Houston

Discovery Green Park, Minute Maid Park

area is convenient.

(Astros), the George R. Brown Convention Center, the Toyota Center (Rockets), the Houston Pavilions, and The Shops at Houston Center. With access to the major

LAND/CHURCHES FOR SALE

MEDICAL OFFICE SPACE FOR LEASE

NW Houston Church

CONROE MEDICAL OFFICE BUILDING

10225 Woodedge - 20,000 SF........................... .................... ... $1,100,000

1501 RIVER POINTE DRIVE | CONROE, TX 77304

Miracle Life Church International

CLOSE PROXIMITY TO THE WOODLANDS AND EXXONMOBIL CAMPUS

9930 Aldine Westfield - 3,200 SF................................ ........... ..... $299,500

3.9 Acres

7225 Bellfort Avenue..................................SALE PENDING.............. $174,500

Miracle Christian Fellowship

16310 Chimney Rock - 15,000 SF.............SALE PENDING.............. $855,000

7,6 9 LO 4 S Q CA . F T E D T. C IN ON A H TIG IGH UO GR US A O W VA TH ILAB AR LE EA

Multi-Purpose Bldg

710 College St. - 7,200 SF.........................SALE PENDING.............. $650,000

Religious Facility in South Houston

Beaumont St. @ Illinois - 11,800 SF..........SALE PENDING.............. $799,000

BUILDING AMENITIES & HIGHLIGHTS

Baytown Campus/Training Center Facility (Income producing property)

301 Ilfrey................................................................................... $3,400,000

• Two-story, class-A, 68,832 SF medical office center • Located two blocks from Conroe Regional Medical Hospital

Pasadena Church

• Less than a mile from Interstate 45

4444 Vista Rd. - 46,000 SF........................SALE PENDING........... $1,200,000

• Major tenants include Surgery Center, Endoscopy, Diagnostic Imaging and Orthopedics

Aldine Christian Church

• Great synergy among medical practices located in the building

2233 Aldine Mail Rte. - 10,500 SF.............SALE PENDING.............. $499,000

• Covered porte-cochere at the front and rear entrances of the building for convenient patient drop-off/pick-up

International Church Realty

• 4.2/1000 uncovered, unreserved parking within steps of the building entrance

(713) 541-4005

FOR LEASING INFORMATION, CONTACT: MARCI PHILLIPS (281) 444-6434 mphillips@pmrg.com

• Covered, reserved parking available for physicians • Strong, stable ownership

D OW N TOW N

F A

N EV ER

L O O K ED

N S O

G O OD

80,000 square feet available immediately

Want a fresh perspective on prime CBD office space? Take another look at 1301 Fannin—with its light, bright, contemporary office space and a view of downtown like no other downtown building. Located across the street from GREENSTREET, Toyota Center and Discovery Green. And just minutes from METRORail. See for yourself. 1301 Fannin’s innovative new office space options available now.

1 3 0 1

F A N N I N

One of a kind. In the heart of it all.

Call Chris Lewis for leasing information 713.439.5323

W W W . 1 3 0 1 F A N N I N . C O M REDNews.com 25

Rebuilding East Houston Along the East End with Sonny Flores

Gus Wortham Golf Course

by Ginger Wheless REDNews

Dionicio Vidal (Sonny) Flores, a Houston business owner (PEC Corporation) with expertise in engineering services and construction management, has held federal, state and local government appointments. He continues to receive distinctions for his community service and most recently served on the board of directors for the Houston Hispanic Chamber of Commerce, Buffalo Bayou Partnership, and the East End Management District. Sonny is a Registered Professional Engineer licensed in Texas and Louisiana. His bachelor’s degree in Civil Engineering is from Texas A&M. Sonny has completed continuing education studies from the University of Nevada Continuing Studies, and the U.S. Corps of Engineers. Originally from Falfurrias, Texas, Sonny served in the U.S. Air Force, and continues to be intrigued by international travel.

‘he got here as fast as he could!’ After his time in College Station, Sonny served in the U.S. Air Force. He was in the service for three years, and later in the inactive reserves for many years, but was never called back up. Today Sonny is a member of the World Affairs Council, which is a group of people who enjoy being involved and like to know more about the world. Traveling in countries such as Iran and Tanzania has been eye opening for Sonny. He says that economic conditions present in places like North Korea illustrate the differences between the political and economic advantages enjoyed by those of us in the ‘west’. In South Korea, people are building cars, machinery, construction equipment, etc. This is not the case in North Korea. On the South Korean side of the peninsula, the people enjoy a booming economy, whereas in North Korea the shelves in the stores are predominantly empty. “The North Koreans just don’t have much,” he says. After serving in the Air Force, Sonny worked for Lockwood, Andrews & Newman before he went to work for Howard Tellepen, Sr. at Tellepsen Construction Company. In 1980, when he started his own company he was able to lease a 30,000 squarefoot office building that had been boarded up and was covered with graffiti for $2,000 a month. Although he needed only a fraction of the space to start, the price was right and he put a considerable amount of sweat equity into the deal. Today, he continues to do construction engineering, but has sold the construction side of his business.

Sonny Flores

One of his treks was an eight-day trip to Istanbul. “I’ll go anywhere that looks interesting and dangerous,” Sonny said, noting that the trip to the city of Istanbul, which, like Houston, is an international city that possesses a natural seaport, wasn’t ‘nearly long enough’. Regarding Houston, Sonny reports that

26 REDNews.com

Sonny is enthusiastic about the business prospects in Houston today, which he describes as ‘the best economy that I’ve seen in Houston’. The big difference between the construction possibilities that are present today and those that existed in the ‘70s can be seen in the international market that exists in Houston today. Back in the ‘70s, Sonny often had to wait months to get steel or concrete, but today, steel is obtainable from Brazil and China as well as

India. Concrete ‘is’ not a problem today either. The United States does still produce concrete domestically, but it is also readily obtainable from other sources, although it is primarily delivered only to within 150 to 200 miles inland from coastal ports such as Houston. One of the reasons Houston is key to this industry is the fact that Houston is connected to the intercoastal waterways all the way down to Brownsville and all the way to Florida. Building materials that can’t be feasibly shipped by truck or rail are easily transported cheaper on barges through the interconnecting domestic canal system. In the future, Houston will face some development issues. The Panama Canal is going to bring much more business into the city because of the increased ability to carry more materials on the even larger ships. The new canal is going to be 60-80 feet deep and the goods that are brought in are going to need to be warehoused and shipped throughout the country. Part of Houston’s problem is there is not enough property left to develop any more storage facilities. The Port Authority, which owns perhaps a third of all the land between Houston and the ocean, will be out of space. These problems are going to have to be worked out, but it may take eight to ten years and will likely involve the right of eminent domain. The Port of Corpus Christi does have land, and they would love to have the business. But their problem is that they don’t have a railroad service to help them distribute the goods. Galveston, on the other hand, appears disinterested in developing their prospects in regard to international shipping and storage, because they want to maintain their current identity as a small city. Regarding pipelines, Sonny notes that the Port of Houston recently deepened the property that they own in the Barbours Cut area. They’ve put their dock there, and they’ve got the money to take advantage of the larger ships. But dredging the port requires congressional approval, and, in light of all the ecological awareness today, and the environmental impact studies that are part of today’s continued on page 28

Magnolia Park Transit Center

Gus Wortham Park Golf Course

Industrial Conversion to Office

Clin

ton

t Bel ston al Hou Termin and

Residential Loft Development Cl

lf F

East End Livable Center

ree

El Tiempo Cantina Restaurant

Planned Project Apartments

p oo

w ee

Guadalupe Plaza

Townhome Development REDNews.com 27

Rebuilding East Houston continued from page 26

regulatory business climate, it takes a long time to get things done. The engineers have to figure out where to place all of the evacuated material. It’s technically possible to dredge, put it in a pipeline, and add as many pump stations as needed to get from A to B, and pump it out into the lowlands. But this is a long-term project.

public property in good condition. Every week, every major thoroughfare gets cleaned off, mowed, and trimmed. Initially they thought they’d provide the public works and maintenance services themselves, but found that they can accomplish those goals easier and cheaper by awarding annual contracts to private contractors.

Sonny is interested in international business, but stresses that the demographics of the area that he lives in are important to him. “I come from a family that has always been involved in community. I told myself that not only did I desire to make a living, I also needed to make a contribution to the world around me. As a young guy, I was the president of the local Jaycee chapter and we had 2,400 members. I got involved in politics and ran for office and today I thank God that I was defeated. I like to say that I got that out of my system.”

Basically, the management district focuses on three areas: security, clean up, and business development and maintenance. At one point, Sonny noticed street lights that were inoperable in parts of the area. He said, “Look Martin (Martin Chavez, Greater East End Program Coordinator), I don’t know how the city turns these lights on and off. I’d like for you to look into this.” Martin discovered that the city doesn’t do anything about streetlights; that’s Centerpoint. “So Martin found out who to call, called them, and made an appointment. Within 10-14 days, we had the lights working appropriately.” Sonny notes that this reporting of street lights continues today.

Sonny’s interest in giving back to the community led him to get involved with the people locally and in Austin who were eventually able to legislate the first Houston East End Management District into existence. The Texas Legislature formed the Greater East End Management District in 1999 to function as a tool for economic development and revitalization of the area. The District receives assessments from commercial property owners and uses funds for infrastructure improvements, beautification, security and public safety, workforce development, and other programs as designated by its board of directors. The District develops and implements projects and programs that: • Create a safe environment within the District in both perception and reality • Enhance the image of the District • Improve infrastructure and amenities in the District • Attract more business and investments to the District • Improve business opportunities in order to increase economic activity for the business property owners, tenants, and their customers.

“It seems like a small thing, but today, I’ll bet you that you can drive up and down our thoroughfares and 99% of the lights are on at night. At one point, I had some problems with middle school kids fighting in the street after school. When there’s a problem such as this, our residents and business owners have a constable’s number to call. And when a citizen calls, within 5 minutes, there’s a constable’s car out there to address the problem.” Sonny notes that Constable Trevino has been in the news recently and not in a particularly good way. “I mean, Trevino’s been in the news and there are a lot of things they’re accusing him of. The media has portrayed him as a bad guy, but I’ll tell you what. When it comes to taking care of people in this area, he is there for the neighborhood.”

Security for area residents is of prime concern to Sonny. In order to provide more police security, they hired Victor Trevino’s constables to provide private security and have asked larger companies located within the district, such as Baker Hughes, to provide some of the security forces needed. Sonny notes that by using the constable’s forces they are able to provide additional security services that are economical and effective. In addition to security needs, the management district focuses on keeping

28 REDNews.com

Sonny talks about construction projects and federal grants for building within the district. During the past fifteen years, the management district has developed many public works and beautification projects that have revived the area. Of primary importance to Sonny is that the people working in the Greater East End Management District understand what the inner city’s needs are to become and continue to be a vibrant district. He focuses on neighborhood events that develop local pride, and enables people to get out of their homes and meet their neighbors. He says community pride keeps neighborhoods vibrant. This, in essence, is what Sonny is all about. He’s been in Houston for forty years now, and he still focuses on ‘not just making a living, but giving back to the community.’

OFFERING PROPERTIES HOTEL CONSULTING

Excellent Development Opportunity for Retail, Medical Office or Storage

FM 1960

Property Description PROPERTIES Listing Broker Location OFFERING • Retail/Hotel Sites .......................................................Hankamer..................Brownsville HOTEL CONSULTING OFFERING PROPERTIES

NORTH FOREST

. Rd hl da en yk Ku

• B&B..............................................................................Hankamer..................Near Houston

HOTEL CONSULTING • Hotel, Condo, Retail Site - Cruise Terminal ..............Hankamer ..................Galveston

I-45

• Freeway Sites - I-20 ....................................................Hankamer ..................Monahans

EAGLES LANDING

GLEN ABBEY

• 30 Acres - Commercial/Rail Serviced.........................Hankamer..................Tomball

EAGLES LANDING BLUE ASH d. Blv Ella PLAZA AT AIRTEX-ELLA

• Hotels..........................................................................Ortiz ...........................Statewide • I-45 Huntsville 12 Acres Residential/Commercial.............................................Hankamer..................Huntsville

QUAIL CHASE The Woodlands

WOODS OF KUYKENDAHL WOODFALLS COURT

Tomball

HANKAMER HANKAMER & ASSOCIATES

Brokers: Ray Hankamer, Jr. & ASSOCIATES BROKERS, L.L.C. rhankamer@hankamer.com BROKERS, L.L.C. Pablo Szub szub@mail.com Hospitality Consulting Services Sergio Ortiz 30 Years Experience As Hospitality Consulting Services sortiz@hankamer.com Developer | Owner | Operator Jamie Irvine 30 Years Experience As jirvine@hankamer.com

(713)| 789-7060 Developer Owner | Operator

(713) 789-7060 www.hankamer.com

www.hankamer.com

Brokers: Ray Hankamer, Jr., Pablo Szub, Sergio Ortiz, Jamie Irvine e-mail: rhankamer@hankamer.com • sortiz@hankamer.com szub@mail.com • jirvine@hankamer.com

Kingwood

SITE VANDERBILT

PARK AT KIRKSTALL Bush Intercontinental Airport

Lake Houston

±5.69 & ±9.92 ACRES

Cypress

• Over 1,600 feet of frontage along Kuykendahl

Baytown

• Excellent visibility

Houston

• Located in dense residential area just west of I-45

Pasadena Hobby Airport

ASKING PRICE: $5.50 PSF Simmi Jaggi

First Vice President +1 713 577 1616 simmi.jaggi@cbre.com

Sugar Land Missouri City

Galveston Bay

Ellington Field

Pearland

League City

Elizabeth Clampitt

Senior Associate +1 713 577 1871 elizabeth.clampitt@cbre.com

(713) 789-7060 www.hankamer.com

An Attractive Discovery in the Galleria Area

Brokers: Ray Hankamer, Jr., Pablo Szub, Sergio Ortiz, Jamie Irvine e-mail: rhankamer@hankamer.com • sortiz@hankamer.com szub@mail.com • jirvine@hankamer.com

Briar Hollow Plaza

Suite 110 - 4,120 SF Now Available! • First significant vacancy in the last 5 years • Post Oak Park - 19 Briar Hollow Lane •P roximity to several of Houston’s finest restaurants, hotels and neighborhoods • Great Galleria location without the Galleria traffic • Controlled access covered parking • Completely remodeled building interiors • Proactive, hands-on ownership since 1999

Call D.A. Smith

Portfolio Manager/Director of Leasing

281.493.4665 ext. 108 dasmith@briarhollowrealtygroup.com REDNews.com 29

R AY ’ S

H O U S TO N Commercial Buzz RAY HANKAMER Hankamer & Assoc, Broker, Houston Contributing Writer

Patrick Jankowski, VP-Research Greater Houston Partnership

speaks to CCIM Chapter Luncheon: Economic Update Patrick Janowski

Jankowski summarized the economic roller coaster in the Houston Metro area since the end of the last peak, which was about 2008. He did it with (surprise!): numbers. • 354,200: The jobs created / long term average of job creation in area is 42-65,000 per year • 125,185: Metro area population growth, half organic (births minus deaths) and half from inward migration to our area • 6,177,035: Ten country metro population / the fifth most populous metro area in the country, chasing DFW (two out of five largest in US located in the Lone Star State) • $449.4 billion: Metro Gross Domestic Product • 2nd: Fastest growing metro economy behind San Francisco / Silicon Valley • 3.1%: Rate of job growth (now that we have returned to normal growth rate) • 231%: of jobs recovered since last recession-we have gotten back all jobs lost in recession and then some 30 REDNews.com

• $98: Market price for barrel of oil…if it drops below $70 exploration in Eagle Ford and elsewhere in US ceases to be economic • 87,635: Homes and condos sold in last 12 months • Sources of area growth: income growth, employment growth, population growth, plus pent-up demand after austerity of last recession • 352,721: Vehicles sold in last 12 months—indicator or confidence in future as people are willing to hitch up to monthly note payments stretching well into the future • We are “starting to see a slowdown” but it is only the growth curve slowing down to a more normal and sustainable growth rate

Other engines of Houston’s present and future growth are: • International trade-Panama Canal will not be a game-changer, since other Gulf Coast and East Coast ports, as well as Long Beach/Los Angeles port-rail interconnect will be competing for business

• Exports from Port of Houston have doubled in value 2006 -2013 • US overall economic growth creates demands for goods and services produced in Houston metro area • Rig count is down but this is deceptive, since new technology enables one rig to drill more wells • 50 million air passengers passing through Houston airports per year, and growing

Potential drags on growth: • Shortage of lots driving up housing and other construction costs • Shortage of qualified construction labor causing bottlenecks • Difficulty in tracking some employment indicators due to trend to not hire, but to engage “independent contractors” to do the same workthis negatively affects “employment” statistics and misrepresents number of people actually working in the economy

the RED vault

THE INSIDER SOURCE FOR INTERIOR DESIGN

Greenberg & Company Commercial Real Estate Brokerage Firm

Office/Retail Buildings for Lease/Sale - Downtown Locations - High Visibility

802 Milam/720 Rusk - Downtown

421 Fannin - Downtown

Private Parking Garage

Building Size: 20,000 SF 1st Floor: 10,000 SF Available 2nd Floor: 10,000 SF Available

Building Size: 25,000 SF (5,000 SF Floor) 1st Floor: 1,560 SF Available (Retail) 2nd Floor: 10,000 SF Available (Office) 3rd Floor: 5,000 SF Available (Office)

ALL LEASES NET-NET-NET

Vacant Land Available for Lease/Sale - Great Locations - High Visibility Downtown

Midtown

ATASCOCITA

1700 Dowling St. Land Area 34,407 SF (.79 Acres)

6111 Richmond Ave.

Downtown Area This property is located minutes away from the Central Business District.

Land Area 100,000 SF (2.295 Acres)

Galleria Area

Easy access to 610 W. Loop, Southwest Freeway, Westpark Tollway & Beltway 8.

Contact Broker: David Greenberg - David@greenbergcompany.com Phone: 713-778-0900 Fax: 713-782-7445

theREDvault.com

Visit our website at: www.greenbergcompany.com 5959 Richmond Ave., Houston TX 77057

GREAT User or Development

Tracts with Flexible Owner Financing 1

HOUSTON

T R A Road O NClay 20.12 acres Brittmoore U N D E R C&

$10/sf

8.025 acres Red Bluff & Preston Road 3 1.08 acres Blalock & Clay 4 3.1 acres Hilcroft near S. Main 5 41 unit mini-storage or 8,000+ sf Building 6 20 acres Beautiful Grimes County Ranch Retreat 2

(up to 140 acres available)

$1.25/sf $9/sf $2.25/sf $425,000 $1.5 m

A+ PERFORMING REAL ESTATE NOTES FOR SALE Payout $292,071.00 $1,250,000.00 $ 1 , 2 8 9 , 0 1 2. 8 5 $ 2 , 9 7 5 , 6 16 . 0 0

Rate 5-7% 10% 4 % 5 - 8 %

Remaining 48 months 145 months 60 months 236 months

Security Commercial Historic Bldg. Commercial Bldg. Luxury Memorial 2+ ac Homesite & Home 288 acres - Recreational Complex

Price $200,000 $700,000 $1,100,000 $1,580,000

M I T C H Z A R S K Y | 7 1 3 . 8 2 5 . 0 7 2 8 | m i t c h z a r s k y @ y a h o o . c o m | BROKERS PROTECTED REDNews.com 31

Professional Website Design

Let us Assist You with Your Website www.collumcommercial.com

www.oarpartners.com

YOUTUBE LOGO SPECS

www.kaldis.com PRINT

on light backgrounds

on dark backgrounds

standard

no gradients

watermark

Custom Website Development | Microsites | Property Websites Website Banners | Newsletter Banner Social Media | SEO main red

PMS 1795C C0 M96 Y90 K2

white

WHITE

C0 M0 Y0 K0

gradient bottom

PMS 1815C C13 M96 Y81 K54

black

BLACK

C100 M100 Y100 K100

Contact Jason@REDNews.com | 713-661-6300 stacked logo (for sharing only)

stacked logo (for sharing only)

WHATâ&#x20AC;&#x2122;S HAPPENING IN CRE TEXAS

The following pages contain a calendar of Texas CRE events, networking photos and deals/announcements. For more of the above, log on to REDNews.com. We update CRE news and events every day!

Events Calendar Networking Deals& Announcements Sponsored By:

REDNews.com 33

events

CALENDAR

SOUTHEAST TEXAS

( H O U STO N A RE A )

February 1 – Saturday RICH Meeting and Trade Show 8:00am – 4:30pm www.richclub.org

February 11 – Tuesday SIOR Houston Happy Hour at Pappas Steakhouse 5:30pm – 8:00pm www.siorhouston.com

February 19 – Wednesday NAIOP Houston Broker of the Year Awards 6:00pm – 8:00pm www.naiophouston.org

February 5 – Wednesday CREW Houston Monthly Luncheon – Broker Panel: Office, Industrial and Retail Updates 11:30am – 1:00pm www.crewhouston.org

February 12 – Wednesday O’Connor & Associates Apartment Forecast Lunch 11:30am – 1:00pm www.poconnor.com

February 20 – Thursday BACREN Monthly Luncheon 10:30am – 1:00pm www.bacren.com

Your real estate deserves real m

Count on a CPM® professional to deliver real r

February 6 – Thursday CCIM Houston Commercial RE Forecast Competition 8:00am – 12:00pm www.ccimhouston.org February 7 – Friday CREN Houston Monthly Luncheon 11:30am – 1:00pm www.crengulfcoast.com

CPM

February 10 – Monday CREAM TX Monthly Luncheon – Speaker Paul Ikard, Ikard & Stephenson 11:00am – 1:00pm ® www.creamtx.com

February 14 – Friday IREM Houston Monthly Luncheon 11:30am – 1:00pm www.iremhouston.org

February 21 – Friday CREN Houston Monthly Breakfast – Marketing Session 7:30am – 9:00am www.crengulfcoast.com

February 18 – Tuesday FBSCR Monthly Meeting 8:00am – 9:00am www.fbscr.com

February 27 – Thursday ACRP Houston Breakfast Meeting 7:00am – 8:30am www.acrp.org

February 19 – Wednesday Houston BOMA Seminar: What’s Going on with my Property Taxes? 11:30am – 1:00pm www.houstonboma.org

To find a CPM in your area, visit www.irem-dallas.org

February 10 – Monday IREM Houston IREM Public Policy Meeting 11:30am – 1:00pm www.iremhouston.org

For optimal returns on your turn to a CERTIFIED PROPERTY

A CPM® has: z Demonstrated experience z Pledged commitment to standards z Proven expertise in maxim

February 19 – Wednesday CORENET Houston Monthly Meeting 7:30am – 9:00am www.houston.corenetglobal.org

IREM AUSTIN PRESENTS

Networking

Educat ion

February 27 – Thursday Greater Houston Partnership State of the County – Harris County 10:30am – 1:30pm www.houston.org February 27 – Thursday CREN Houston CREN Happy Hour 5:30pm – 7:30pm www.crengulfcoast.com

Technology

3 4 R E D N eCCIM w s . c Course om Scholarships

ETH800-Ethics for the Real Estate Manager

CI 101, CI 102, CI 103, CI 104 or CCR & Exam

events NORTH TEXAS February 2-6 – Sunday-Thursday NTCCIM CI 101: Financial Analysis for Commercial Investment Real Estate 8:00am – 5:00pm www.ntccim.com February 5 – Wednesday CREW Ft. Worth Status of the Cultural District 11:30am – 1:00pm www.crewfw.org February 6 – Thursday ULI North Texas TOD Summit 7:30am – 12:00pm www.northtexas.uli.org February 8 – Saturday BOMA Ft. Worth CSC: Volunteer Day at the Food Bank 9:00am – 1:00pm www.bomafortworth.org

( DAL L A S/ F T. WO RTH A RE A S) February 12 – Wednesday BOMA Ft. Worth Monthly Luncheon 11:30am – 1:00pm www.bomafortworth.org

February 26 – Wednesday IREM Dallas Workplace Violence 11:00am – 1:00pm www.irem-dallas.org

February 18 – Tuesday BOMA Dallas Principal Member Breakfast 8:00am – 11:00am www.bomadallas.org

February 26 – Wednesday NAIOP North Texas Monthly Breakfast 7:00am – 9:00am www.northtexasnaiop.com

February 19 – Wednesday IREM Ft. Worth Membership Luncheon 11:30am – 1:00pm www.fortworthirem.org

February 27 – Thursday NTCAR The LBJ Express Effect 7:30am – 9:00am www.ntcar.org

February 20 – Thursday IREM Dallas Monthly Luncheon 11:30am – 1:00pm www.irem-dallas.org

February 28 – Friday NAIOP North Texas Comedy Night 6:00pm – 10:00pm www.northtexasnaiop.com

CENTRAL/SOUTH TEXAS

(AUSTIN/ SAN ANTONIO AREAS)

February 5 – Wednesday CCIM Texas Networking Luncheon & Presentation 11:30am – 1:00pm www.ccimtexas.com

February 13 – Thursday CTCAR Property Information Exchange 7:30am – 9:00am www.ctcaronline.com

February 20 – Thursday BOMA Austin Monthly Luncheon 11:30am – 1:00pm www.bomaaustin.org

February 6 – Thursday Real Estate Council of Austin KnockOut Night 2014 6:30pm – 11:00pm www.recaonline.com

February 13 – Thursday IREM San Antonio Monthly Luncheon 11:30a - 1:00p www.iremsanantonio.org

February 25 – Tuesday Real Estate Council of Austin Membership Luncheon 11:15am – 1:00pm www.recaonline.com

February 11 – Tuesday IREM Austin Monthly Luncheon 11:30am – 1:00pm www.iremaustin.org

February 18 – Tuesday CREW Austin Networking Luncheon & Presentation 11:30am – 1:00pm www.crewaustin.com

February 12 – Wednesday ULI Austin ULI/USGBC Sustainability Series: The Domain & New Whole Foods 11:30am – 1:00pm www.austin.uli.org

CALENDAR

COMMERCIAL

“Commercial Lease Analysi Comparison & Lease vs Own February 26 – Wednesday CCIM Texas CCIM 8th Annual Symposium 8:00am – 12:00pm www.ccimtexas.com

hours of MCE - Course #09-00-035-25248 - Provide

9 – Tuesday February 18 BOMA Austin AAFAME Manager’s Luncheon 11:30am – 1:00pm www.bomaaustin.org

Instructor Cliff Bogart, CCIM

Visit www.ctcaronline.com for pricing & registrati

2014 Sponsorship Packages now available! Is your company looking for exposure and recognition in the commercial real estate industry? SPONSORSHIP OPPORTUNITIES START AT $750.

Visit the CREW-Dallas.org website

C TC A R

w w w. c tc aro nl ine.co m

commercial real estate women

REDNews.com 35

Out and About â&#x20AC;&#x201C; Texas CRE Networking Check out our pictures and be sure to send your own pictures to info@rednews.com to be included in our next issue! To view more photos go to: http://www.rednews.com/networking-event-photos 1

n e t w o r k i n g

N E T W O R K I N G

S o u t h E a s t T E X A S 3

IREM January Luncheon 1. Chase Crawford, CPM, Michael Kent, CPM, Kris Clark, CPM, Troy Duke, Greg Pell, CPM and Lauren Burgess 2. John Anderson, Richard Nevins, IREM President Janie Snider, CPM, Rosie Valadez, Troy Duke and Jay Mangrum

CREAM January Luncheon 3. Bruce Tough, Bret Strong and Nina Marino

CCIM January Luncheon

4. Pius Leung and Jim Wiklie 5. Jeanette Kew, CCIM, Meghan Allen, Eric Drymalla and Janie Colin 6. Sandy Benak, CCIM President and Beth Young, CCIM

The new 2014 Board for CREAM 7. T op Row (L-R) Tom Condon, Paul Ikard, Phil Fruge, Bob Watson, Greg Usher, Cody Christoph Seated (L-R) Jim Wilke, Nate Newman, Michelle Soderberg, Karyn Jackson Stephens, Lance Langehoven

36 REDNews.com

N E T W O R K I N G

C e n t r a l S o u t h T E X A S

1 New President of CREW Austin 1. Sarah Scott of S3 Creative Solutions

IREM San Antonio Christmas Luncheon 2. Arlene Smith and Ann Ahrens of IREM

3 3. Erica Gold presenting a gift basket to Henry Dirks

N E T W O R K I N G

N o r t h T E X A S

CREW Dallas December Meeting 1. Vicky Gunning receives the Outstanding Achievement Award 2. The 2014 CREW Dallas Board of Directors: Front Row (L-R) Carol Coffman Sosebee, Michelle Hudson, Elissa Plotsky, Sally Longrovy Back Row (L-R) Kim Hopkins, Kaye McCallum, Paula Beasley, Teresa Giltner, Suzanne Brasuell, Lisa Novotny-Pric 3. Kaye McCallum, the 2012 CREW Dallas Most Valuable Player Award Recipient, presents Paula Nelson with the 2013 Most Valuable Player award

3 REDNews.com 37

SOUTHEAST TEXAS

DEALS DONE

Log on to REDNews.com for daily updates

INDUSTRIAL Houston (LEASE) – B&G Foods Inc. leased 267,000 SF at the DCT Airtex Industrial Center. Boyd Commercial represented the tenant. Houston (LEASE) – NDT Systems & Services leased 58,920 SF at World Houston International Business Center 12 located at 15500 International Plaza Drive. Sue Rodgers and Steven Heal of Cresa Houston represented the tenant, and Rives Nolen of Insite Commercial Real Estate represented the landlord, EastGroup Properties, Inc. Houston (SALE) – Golfcrest Investments LLC purchased a 65,000 SF facility at 8363 Market Street. Reed Vestal and Ross Thompson of the Finial Group represented the buyer, and Beau Kaleel and Jim Foreman of Cushman & Wakefield represented the seller.

LAND Baytown (SALE) – Lone Star 5000 Corporation purchased 27.83 acres at the Northeast corner of Business 146 and Texas 99. Matthew Wells of Wells Holdings represented the tenant, and Claire Sinclair Gavrel of Claire Sinclair Properties, LLC represented the seller, Graham Mortgage Corporation. Houston (SALE) – GSL Constructors, Ltd. purchased 3.6526 acres of industrial land for a build-to-suit at New Century Drive in the Bayport North Industrial Park. Ryan Wasaff of GSL Welcome Real Estate Services, LLC represented the buyer, and B. Kelley Parker, III, SIOR; John F. Littman, SIOR, MAI; Coe Parker and Tim M. Thomas of Cushman & Wakefield represented the seller, Three Sisters Trust. Houston (SALE) – SWD Development of Katy, LP purchased 1.463 acres on the southeast corner of Provincial Blvd. Alan Parker Properties, L.P. represented the buyer. Pearland (SALE) – Paramount Partners purchased 2.68 acres at the Southeast corner of FM 518 and Brownstone Drive. Alan Parker Properties, L.P. represented the seller, George Glass, Trustee. Houston (SALE/DEVELOPMENT) – Mercan Greenhouse, LLC purchased 6.134 acres to be developed into a 120,000 SF office building in Forresta Village in Houston. Chris D’Agostino represented the buyer, and Nabil Murad of NM Management, LLC represented the seller, Forresta Inc, Ltd.

MULTI-FAMILY Houston (SALE) – Fairfield Residential Company, LLC purchased Estancia at Shadowlake, a 324unit, Class A apartment complex near the Energy Corridor at 2840 Shadowbriar Drive. Ryan Epstein, along with the CBRE Multi-Housing Group represented the seller, McCann Realty Partners, LLC. Houston (DEVELOPMENT) – Finger Cos. Broke ground on a new rental apartment complex near Minute Maid Park at 500 Crawford. The apartment project will be a seven-story, 400 unit complex, two blocks west of Minute Maid Park. The new complex is being designed by Niles Bolton Associates. Pearland (DEVELOPMENT) – McCann Realty Partners began construction on Radius at Shadow Creek Ranch Apartments, a Class A multifamily complex in the Shadow Creek Ranch development located at Business Center Drive and

38 REDNews.com

Discovery Bay Drive. The 350-unit apartment complex is expected to be complete in the spring 2015. McCann will act as its own general contractor and Pegasus Residential LLC will manage the leasing.

OFFICE Houston (LEASE) – International Rags, Ltd. leased 62,500 SF at 4410 Clinton Drive. Grady Tibbs of Brian Yates Interest, Inc. represented the tenant, and James E.Foreman and Louis “Beau” Kaleel, SIOR of Cushman & Wakefield represented the landlord, Crosby 2100 Retail, Ltd. Houston (SALE) – Fuller Realty Advisers and Chief Partners of Dallas purchased a 303,000 SF, two-office building complex at 2707 and 2727 North Loop West. Todd Casper of CBRE arranged the sale. Houston (SALE) – A private real estate fund purchased The Pines Business Park, a 139-330 SF business park comprised of three light industrial buildings. Jack Fraker, Josh McArtor, Jonathan Bryan, Heather McClain Venegoni, Tom Lynch and Paul Segreto of CBRE represented the buyer, and Kevin Wyatt of Lincoln Property Company represented the seller. Richmond (SALE) – Star Cooling Towers purchased a 5,544 SF office building at 9007 FM 2759. Reed Vestal and Taylor Schmidt of Finial Group represented the buyer, and Payton Indermuehle of ICO Commercial represented the seller, SMS Realty Holdings, LLC. The Woodlands (LEASE/DEVELOPMENT) – Exxon will lease 478,000 SF of office space at Hughes Landing, the 66-acre mixed-use community on Lake Woodlands. They will occupy one of the office buildings, as well as a portion of a second, with plans to move in by mid-2016. Designed by Kirksey Architects, each building at Hughes Landing will be 300,000 SF of Class A office space seeking LEED certification with an adjacent 13-story, 800,000 SF parking garage. With One Hughes Landing already completed, construction on the second is underway and is expected to be completed in mid-2014. Pearland (DEVELOPMENT) – AMD Global will break ground on a 110,000 SF medical office building at the Pearland Shadow Creek Professional Plaza located on Discovery Bay Drive and Business Center Drive. The medical office building, which is currently being pre-leased, is scheduled to be completed by the third quarter of 2014. Sugar Land (DEVELOPMENT) – Nalco Champion will break ground on a new, 133,000 SF headquarters building. Power Brown Architecture will design the building, which is expected to be completed in late 2015. Nalco Champion was created out of a merger between Houston’s Nalco CO. and Champion Technologies Inc.

RETAIL/RESTAURANT Conroe (LEASE) – Dunkin Donuts/Baskin Robbins leased 2,900 SF at the Conroe Retail Center located at 800 N. Loop 336 W. Mark Davis of Davis Commercial represented the tenant, and Doug Freedman of United Equities, Inc, represented the landlord, Conroe 75, LLC. Katy (LEASE) – Smashburger leased 2,200 SF in the retail component of the Katy Green mixed-use project at the Katy Freeway and Greenhouse Road. Jeff Scarborough of Scarborough Real Estate represented the tenant, and Anderson Smith of Capital Retail represented the landlord.

NORTH TEXAS

DEALS DONE

Log on to REDNews.com for daily updates

INDUSTRIAL

Hughes of Bradford Commercial Real Estate Services represented the landlord, ARI Preston LLC. Dallas (LEASE) – iGPS Logistics leased 106,333 SF at Prologis Park 20-35 facility located at 2200 Danieldale Road. Allen Gump and Allyson Gump of Colliers International Dallas and Robert Badgero and Steven Badgero of Colliers International Detroit represented the tenant. Nathan Orbin of Jones Lang LaSalle represented the landlord, PACGWL LLC, an entity of Prologis Inc.

Dallas (LEASE) – 7 Hills Transport leased 18,671 SF at 4653 Leston Street. Bob Kent of Structure Commercial represented the tenant, and Phil Rosenfeld and Matt Thompson of Colliers International represented the landlord, Regal Business Center, LLC. Frisco (LEASE) – Skinny IT Corp leased 18,000 SF of industrial flex space in Frisco Commerce Center Building B located at 10570 John W. Elliott Drive. Nick Talley of Bradford Commercial Real Estate Services represented the tenant, and Bob Hagewood of Stream Realty Partners LP represented the landlord, SeaCal Frisco LLC. Ft. Worth (LEASE) – Bridgestone Americas Tire Operations leased 14,926 at 361 Beach Street. Ryan Boozer of the Mercer Company represented the tenant, and Phil Rosenfeld and Matt Thompson of Colliers International represented the landlord, Tarrant County Properties, LLC. Plano (LEASE) – Neo Tech Wireless Inc. leased 47,959 SF of warehouse space at Plano Parkway/190 Business Centers located at 1701 E. Plano Parkway. Joe Yoon of Realty Bank Group represented the tenant, and Susan Singer and Michael T. Grant of Bradford Commercial Real Estate Services represented the landlord, IAC North Dallas LLC.

LAND Ft. Worth (LEASE) – Trammell Crow Co. purchased a 314.4-acre site at the northwest corner of I-35W and Eagle Parkway and has broken ground on one of the largest proposed projects in its history. The 1.6 million SF Trammell Crow/Eagle project is expected to be completed later this year. Two industrial buildings totaling more than 1.5 million SF of Class A office space are among the proposals for the project.

MULTI-FAMILY Lancaster (SALE) – An out-of-state partnership purchased The Meadows, a 120unit multi-family property at 1500 Blue Grove in Lancaster. Al Silva of Marcus & Miilichap’s Ft. Worth office represented the buyer and the seller, CJ Meadows Properties LLC, a local partnership.

OFFICE Allen (LEASE) – TSR Administrative Services, Inc. leased 4,544 SF at 977 Raintree Circle. Debi Carter, CCIM of Hudson Peters Commercial represented the landlord. Dallas (LEASE) – GHA Architects leased 28,881 SF at Quorum Place. Lissa Cookie of Cooke, Swaney & Cooke represented the tenant, and Ramsey March and Ryan Evanich of Stream Realty Partners represented the Harbert Management Corporation. Dallas (LEASE) – HenryDean Group LLC leased 8,033 SF in the Danari Office Park Building 1 located at 15150 Preston Road. Sharon Friedberg and Melanie

Dallas (LEASE) – HenryDean Group LLC leased 3,714 SF in the Danari Office Park Building 1 located at 15150 Preston Road. Billy Vahrenkamp and Daniel Rudd of Colliers International represented the tenant, and Sharon Friedberg and Melanie Hughes of Bradford Commercial Real Estate Services represented the landlord, ARI Preston LLC. Euless (LEASE) – John Kasperbauer leased 3,209 SF in Westpark Centre located at 150 Westpark Way. Rik Massengale of ReMax Commercial represented the tenant, and Darrel Higginbotham of SCM Real Estate Services represented the landlord, Golden Walkman LLC. Euless (LEASE) – Edgerton Emanuel Crandell leased 1,696 SF at 418 N. Main Street. Beaux Riley of SCM Real Estate Services represented the landlord, Duvar Family Trust. Arlington (SALE) – Joseph E. Briggs & Associates Inc. purchased an 8,277 SF, two-building garden-office complex at 3603 W. Park Row Road. Casey Tounget of SCM Real Estate Services represented the buyer and the seller, A. Fitzgerald Properties Ltd. Dallas (SALE) – Macfarlan Capital Partners purchased Campbell Glen II, a 205-817 SF office building located ½ mile east of North Central Expressway (US-75). Eric Mackey, Gary Carr, John Alvarado and Robert Hill represented the seller. Dallas (SALE) – A local investor purchased III Hillcrest Green, a 66,000 SF office building at 12740 Hillcrest Road. Beverly Heflin of Trinity Interests represented the buyer, and Eric Deuillet of Structure Commercial represented the seller, LAB Holdings, Inc.

RETAIL/RESTAURANT Ft. Worth (SALE) – A private investor purchased a 3,394 SF net-leased Jiffy Lube at 3172 Basswood. David Weglarz of Marcus & Millichap’s Oakland office represented the buyer, and Joe Hamilton of Marcus & Millichap’s Ft. Worth office represented the seller, a limited liability company. Red Oak (LEASE) – GNC leased 1,275 SF at Ovilla Corners located at 109 E. Ovilla Road. Chris Flesner of Retail Solutions represented the landlord. Wylie (SALE) – A private investor purchased Wylie Shopping Strip, a 6,585 SF retail property at 2801 FM 544. Philip Levy of Marcus & Millichap’s Ft. Worth office represented both the buyer and the seller, A&W Properties JV, a private investor. Flower Mound (SALE) – Fit Development purchased a 72,000 SF Academy Sports + Outdoors at 3621 Justin Road. Barry Silver of The Silver Group represented the buyer.

Send us your Deals for publishing info@rednews.com REDNews.com 39

CENTRAL/SOUTH TEXAS

DEALS DONE

Log on to REDNews.com for daily updates

INDUSTRIAL Palacios (SALE) – The Trull Foundation purchased a 15,100 SF commercial building at 709 Main Street. Steve Rosser of DH Realty Partners, Inc, represented the seller, Palacios 313, Ltd. San Antonio (SALE) – Mexcor, Inc. leased 11,620 SF at the Interwest Business Park located at 6800 Alamo Downs Parkway. Barrett Gibson and Jason English of Cresa Houston represented the tenant, and Jason Schnittger of Stream Realty Partners represented the landlord, DRA Advisors, Inc.

LAND Atascosa (SALE) – M. Adamek purchased 293.483 acres at 321 11505 Jarratt Road. Charles L. Jeffers of DH Realty Partners, Inc. represented the seller, Aldridge Nursery, Inc. San Antonio (SALE) – An undisclosed buyer purchased 1.0028 acres at the northwest corner of Towne Lake and Wayward. Michael Moore of Ironstone Development represented the buyer, and Kay Lewis of Retail Solutions represented the seller. Stockdale (SALE) – Big Diamond, LLC purchased 376,794 SF on 8.65 acres at the SWC of Highway 87 and Highway 123. John Cannon and Michael D. Hoover of DH Realty Partners, Inc. represented the seller, Andalusia Ranch, Ltd. Stockdale (SALE) – Big Diamond, LLC purchased 108,900 SF on 2.5 acres at the SWC of Highway 87 and Highway 123. John Cannon and Michael D. Hoover of DH Realty Partners, Inc. represented the seller, Stockdale Associates, Ltd.

OFFICE San Antonio (LEASE) – Lender Protective Services, Inc leased 4,615 SF at Sir Winston Office Complex located at 11302-11324 Sir Winston Drive. Mike Easley of Mike Easley Interests represented the tenant, and Michael T. Kent of Stream Realty Partners represented the landlord. San Antonio (LEASE) – Southern Home Care Services d/b/a Rescare leased 3,782 SF at 8415 Datapoint Drive. Courtney Buck of CBRE, Chicago represented the tenant, and John Cannon of DH Realty Partners, Inc, represented the landlord, Pelotin Commercial Real Estate. San Antonio (LEASE) – Chase Bank South Office Building leased 2,947 SF at 2130 SW Military Drive. Lindsay Kopplow of Stream Realty Partners represented the tenant, and Lucio Cantu of REMAX Commercial represented the landlord. San Antonio (LEASE) – One Castle Hills expanded to 1,282 SF at 1100 NW Loop 410. Ryan Harrison of Stream Realty Partners represented the tenant. San Antonio (LEASE) – Medical Center Pharmacy leased 1,434 SF at Woodlake Plaza located at 4801-4885 Fredericksburg Road. Mike Easley of Mike Easley Interests represented the tenant, and Michael T. Kent of Stream Realty Partners represented the landlord.

40 REDNews.com

San Antonio (DEVELOPMENT) – USAA REALCO and Patrinely Group LLC broke ground on phase one of their master-planned office development, WestRidge at La Cantera. The four-story office building across from the Shops at La Cantera on La Cantera Pkwy, will add 128,000 SF of Class-A office space. Crimson Services LLC will handle the leasing and property management, and Travis Commercial Real Estate is the local listing broker.

RETAIL/RESTAURANT Austin (LEASE) – Inflatable Nation Bounce House expanded to 15,000 SF at Marketplace Austin located at 10601 N Lamar Blvd. Herman Tjahja of Retail Solutions represented the tenant, and David Simmons of Retail Solutions represented the landlord, Marketplace Austin. Austin (LEASE) – Affordable Appliances leased 2,325 SF at Lone Star Center located at 9012 Research Blvd. Max Appling of Kucera Company represented the tenant, and TJ Powell of Retail Solutions represented the landlord, Lone Star Center. Austin (LEASE) – Anderson Mill Lock and Key leased 1,800 SF at Anna Plaza located at 13201 RR 620. Andrew Perkel of Retail Solutions represented the landlord, Anna Plaza. Austin (LEASE) – Eric Doggett Studios leased 1,250 FS at Biz Park 290W located at 11190 Circle Drive. Andrew Perkel of Retail Solutions represented the landlord. Brownsville (LEASE) – Herman’s Optical leased 1,040 SF at Southmost Retail at 2865 Southmost Road. Randy Moundry of Moundry Real Estate Advisors represented the tenant, and Ricardo Rubiano of Retail Solutions represented the landlord. McAllen (LEASE) –Fred Loya Insurance leased 1,200 SF at 1900 S 23rd Street. Randy Moundry of Real Estate Advisors represented the tenant, and Ricardo Rubiano of Retail Solutions represented the landlord. Pleasanton (LEASE) – A Mexican Restaurant is leasing 2,085 SF at 1177 West Oaklawn. Laura Saenz of Truman & Saenz Realty represented the tenant, and Charlie Roof of Retail Solutions represented the landlord. San Antonio (LEASE) – San Antonio Premier Internal Medicine Clinc leased 1,708 SF at Mission Plaza located at 1139 SE Military Drive. Charlie Roof of Retail Solutions represented the landlord San Antonio (LEASE) – Retail Solutions leased 1,697 SF at Broadview Office located at 8610 Broadway. Kay Lewis of Retail Solutions represented the tenant, and Caitlin Birmingham of Peloton Commercial Real Estate represented the landlord. San Antonio (LEASE) – Rodney D. Young Insurance Agency, Inc. leased 1,500 SF at 633 W. W. White Road. Ana Frias of Keller-Williams Heritage Realty represented the tenant, and Ed Bruce of DH Realty Partners, Inc, represented the landlord, Eastwood Village Shopping Center.

Send us your Deals for publishing info@rednews.com

classifieds

INDEX

2.5 Acres For Sale

Will Divide

te ra ns M em or

Includes Commercial Properties, Announcements, Events, News & More.

ia lD

TC Jester Blvd.

Ridge Hollow Dr. CITGO

2.5 ACRES



SITE

• $4.00 $2.50 PSF PRICE REDUCED!

• Seller Financing

Sam Houston Tollway

KM #372N

Call 713-661-6300 or visit www.Rednews.com/subscibe-new to Sign Up

• TC Jester (217’) & Ridge Hollow Dr. (377’)

• Utilities Available

TAO Interests, Inc. – Broker

Tim Opatrny

• (713) 621-9841 www.taointerests.com • email: tim@taointerests.com

advertiser

INDEX

A. A. Realty Company ....................................13

Hankamer & Associates ................................29

ABC Realty Advisors ........................................7

International Church Realty ............................ 25

ACRP ............................................................34

IREM .............................................................34

BACREN . . ......................................................34

LandPark Commercial ....................................19

Briarhollow Realty Group, Inc. ........................29

Levcor, Inc. ....................................................17

Caldwell Companies .. .....................................15

Lewis Property Co. . . .......................................24

CBRE, Inc. . . ...................................................29

Giles Jordan, Inc . . ...........................................19

CCIM Central Texas ................................. 35, 43

Parkside Capital, LLC ..................................1, 3

CCIM Houston ........................................ 34, 44

Phase Engineering, Inc. .................................33

CCIM North Texas . . ........................................35

PM Realty Group ...........................................25

CHC Investments, LLC . . ...................................5

Radler Enterprises, Inc .. .................................17

Colliers International ......................................21

Raintree Commercial, LLC ...............................2

C.R.E.A.M. .. ...................................................34

TAO Interests, Inc. .........................................41

CREN ............................................................34

Tarantino Properties, Inc. ............................. 8-9

CREW ...........................................................35

TheREDVault.com . . ........................................31

C.T.C.A.R........................................................35

1301 Fannin

Greenberg & Co. . . ..........................................31

Zarsky Industries ...........................................31

. . ...............................................25

REDNews.com 41

by Mike Hill Michael Hill Properties www.mhprop.com

Social Media & Commercial Real Estate Brokerage What’s appropriate in the various social media platforms for the promotion and networking of a commercial real estate brokerage business?

you may actually be reading this article.

I have always been interested in the use of technology in my commercial real estate practice. Since I began working in this field, a number of technological advancements have occurred, including personal computers and their use in cataloging available commercial properties, the invention of the Web and the use of it for on-line commercial property research, email communications regarding Houston industrial properties … and finally social media, the reason

and otShers all have their place and I use all of them to a greater or lesser de-

The various social media alternatives: Facebook, Google +, Twitter, LinkedIn gree. However, it irritates me when some supposed professionals overstep the bounds of what is appropriate in their use. I find myself ELIMINATING personal contacts at times because of someone’s posts. Here’s my take on what these websites offer and how they should be used.

add or eliminate sources of tweets as you desire. I am tweaking my “followings” so every day I can stay current on what is said by those whose tweets continue to be interesting. I include, for example: Download 200,000+ brand logos in vector format for free young commercial real estate brokers I am menFacebook: I think Facebook is a wonderful inven- toring, some politicians, auto manufacturers who http://www.logoeps.com/ tion, (thanks to young Mark Zuckerberg) and I am have new models out, friends who do stuff of parin there almost every day. This is a new way for me ticular interest to me (horse training, etc.), deep sea to keep up with my relatives and friends in other exploration, US Special Forces … etc. This is differcities as well as seeing pictures of events/things my connections I care about, choose to post. I feel connected with many friends with whom I would not otherwise have the chance to stay current. However, those who post solicitations or promotions of their businesses can count on my canceling their connection immediately. This media, in my opinion, is for “socializing” and not for business pro- ent from Facebook and I keep my “Followings” to a motion. That said, Facebook does have a “Pages” short list. This site could be a little of both personal section which is the appropriate place for such & business … but leaning more toward personal. messaging. LinkedIn: This is where you promote your business! I keep up with my contacts’ promotions, relocations, job anniversaries, their new contacts, interesting posts and their sometimes viewing of my contact Information. I feel complimented when one of my contacts will “Endorse” my technical skills in commercial real estate and most of the time I reply with a “thanks” for doing this. I keep my Profile current so a visitor has access to my information. I feel comfortable in including my clients Twitter: This is a new endeavor for me and I’m just in communications but I am careful not to do this learning “hashtag” & etc. language. It seems to me too often. I find myself cancelling contacts who that here, you have the opportunity to read NEWS post “garbage” on this site frequently just to keep about a subject you have an interest in and you can their name out there. Used intelligently and with

respect for your potential reader’s time, I think this is a great business tool!

Google +: I have really not been too active with this site as yet. I understand it is growing into a good social platform now and I will surely try it more in the future to see how it works with what I already do with the other sites.

Two other parts of this need mentioning: Email: I cross reference my Twitter & Facebook links in my signature block in my emails. I also put a color picture here as I like seeing pictures of my other email correspondents who do the same. I feel more connected when replying to individual emails when a picture is included. Website: My Michael Hill Properties website includes a news section which is cross-linked to my Twitter account and is published there as well.

Stay tuned and good luck in 2014!

CCIM 8th Annual Symposium

February 26th, 2014 ~ Four Seasons Hotel ~ 8:00am-12:00pm

Our keynote speaker, Dr. Mark Dotzour, will present global, social & economic trends that give the audience a tool kit of factual information to help them make good investment and business decisions. His target audience includes virtually every facet of the real estate industry. Former Representative Mark Strama will deliver his insight on Austin’s future growth & Google’s presence in Austin. Returning is Brian Kelsey with an updated analysis of Austin’s demographics. 3 hours of MCE #03-00-016-26496 Provider #0498

Information on the Featured Speakers: Dr. Mark G. Dotzour is the Chief Economist and Director of Research for the Real Estate Center at Texas A&M University in

College Station, Texas. He earned his Ph.D. in the Department of Finance at the University of Texas at Austin in 1987 and served as Associate Professor of Real Estate and Finance at Wichita State University for 10 years. As Chief Economist, he is currently doing market research to monitor how global and national trends are likely to impact residential and commercial real estate markets. He has been at the Real Estate Center since August, 1997. His research findings and comments have been published in the Wall Street Journal, Money Magazine, USA Today and Business Week, and he has been a guest on the Jim Lehrer Newshour on PBS.

Mark Strama is a former Democratic member of the Texas House of Representatives, representing the 50th District from 2004

until 2013. He served as chairman of the House Committee on Technology, Economic Development & Workforce and on the House Committee on Energy Resources. He resigned from his seat in the Texas House to become the head of Google Fiber in Austin June 2013. After his graduation from Brown, Strama worked for the Ann Richards gubernatorial campaign in 1990 followed by his role as chief of staff to State Senator Rodney Ellis. Strama returned to Austin to found NewVoter.com, the first company to register voters online which was acquired by New York-based Election.com in 2000. He currently holds the franchise rights to the Sylvan Learning Centers in the Austin area. He is married to former Austin television reporter Crystal Cotti and has two beautiful daughters.

Brian Kelsey is Principal at Civic Analytics LLC and a lecturer at The University of Texas at Austin, where he teaches economic development and serves as a fellow at the Center for Politics and Governance at the Lyndon B. Johnson School of Public Affairs. Previously, Kelsey was a senior advisor at the U.S. Economic Development Administration, where he engineered a $37 million grant program highlighted by the Center for American Progress as a "compelling answer to the issue of unemployment" and was awarded the U.S. Department of Commerce Gold Medal for creating an “unprecedented platform for coordinating Federal economic development efforts.” Kelsey served for five years as Director of Economic Development at the Capital Area Council of Governments in Austin, TX, where he managed the region’s comprehensive economic development strategy. He lives with his family in Austin, but will always be a Tar Heel.

Registration:

Chapter Member Rate - $89.00 ~ Non-Member Rate - $99.00 ~ Student Rate- $65.00 Late Registration +$20 after 2/14/2014 Table of 8 with preferred seating ~ $1,000 Rate includes breakfast, presentation materials electronically, exhibits & unlimited knowledge by industry professionals. Parking not included with registration.

www.ccimtexas.com ~ admin@ccimtexas.com ~ 512-828-7455

POSTMASTER: PLEASE EXPEDITE TIME SENSITIVE MATERIAL 5909 West Loop South, Suite 135, Bellaire, Tx 77401 Return Service Requested

Location: 3151 Briarpark Drive, Houston TX 77042 Time: 8:00 AM to 12:00 PM

Thank you to our event sponsors:

Location: 3151 Briarpark Drive, Houston TX 77042 Time: 8:00 AM to 12:00 PM

Thank you to our event sponsors:

FOR 100,000+ CRE BROKERS,INVESTORS & DEVELOPERS

www.ccimhouston.org

PRSRT STD U.S. POSTAGE PAID Permit No. 2436 DALLAS, TX