An industry source tells GlobeSt.com that the property traded for close to $4 million. Development costs for the new project, considering the land price, will likely reach $185 per sf or $190 per sf, says another source, who confided that Hanover, owner of two Galleria-area high-rise residential properties, paid $180 per sf to build the 33-story, 356-unit 1200 Post Oak.

Hanover's newest multifamily site anchors the intersection of South Post Oak Lane and Woodway Drive, the gateway to Riverway Complex's Omni Houston Hotel and three office buildings. Hanover declined comment on the acquisition and development.

Seller Jerry Crawford of locally based Jerry Crawford Interests bought the land 3.5 years ago as "a blue chip stock" investment. Crawford, who had a 15-year relationship with some Hanover partners, took the development opportunity to them because he believed they would do "a first-class job" in building out the site. The first obstacle to overcome, though, was a legal dispute between Hanover and one office building owner who argued the project would obstruct tenants' views.