HOUSTON—Office market sublease space declined by slightly less than 1 million square feet during third quarter 2017, according to a recent report by Transwestern. With NRG Energy's sublease in the CBD, sublease activity picked up steam near the end of the quarter as tenants impacted by Harvey looked for plug-and-play value options.
NRG is subleasing 431,037 square feet from Shell Oil Company at One Shell Plaza—910 Louisiana in downtown. NRG will occupy 18 floors within the 50-story 1.1 million-square-foot high-rise, with a term through December 31, 2025 when Shell's lease expires. This transaction marks the city's largest sublease deal since the oil slump began more than two years ago, according to NAI Partners.
In other sublease activity, Worley Parson eliminated more than 300,000 square feet of sublease space in the Energy Corridor through a combination of subleasing activity and retracting its remaining space. And, GE Oil & Gas was able to sublease its available block of space of slightly less than 200,000 square feet in the West Belt submarket.
Recommended For You
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Lisa Brown
Lisa Brown is an editor for the south and west regions of GlobeSt.com. She has 25-plus years of real estate experience, with a regional PR role at Grubb & Ellis and a national communications position at MMI. Brown also spent 10 years as executive director at NAIOP San Francisco Bay Area chapter, where she led the organization to achieving its first national award honors and recognition on Capitol Hill. She has written extensively on commercial real estate topics and edited numerous pieces on the subject.
