|
HOUSTON—It was another record-setting year for Port Houston volume, and the emergence of the Gulf Coast as a globally low-cost petrochemical manufacturer leaves Houston's industrial sector well-positioned entering 2018, according to the latest CBRE Houston Industrial MarketView. Organic demand driven by expansions and move-ins were a significant factor in fourth quarter.
The report indicates that net-occupier demand in the last quarter totaled more than 1 million square feet, pushing 2017 year-end net absorption to more than 7 million square feet. GlobeSt.com also learns that overall availability tightened by more than 60 basis points with direct vacant space decreasing 800,000 square feet and total availability decreased by 3 million square feet, quarter-over-quarter.
Moreover, the development pipeline is continuing to grow as more spec projects break ground. Specifically, the Port and West Houston logistics demand drive construction, as 3.3 million square feet of new projects get underway.
In the acquisitions department, a recent sale of a 49,640-square-foot flex industrial project located at 500 Century Plaza demonstrated the strength of the investor market as well. Finial Group purchased the property for an undisclosed price. The seller was a joint venture partnership between Archway Properties and NewQuest Properties.
500 Century Plaza was completed in 1984 and features 14 grade-level doors, 14-foot clear heights, varying office space and climate control in portions of the warehouse. Situated on 3.442 acres, 500 Century Plaza is in the North industrial submarket close to a number of restaurants and other amenities as well as a strong line-up of large corporate users. The property is proximate to Interstate 45, which provides access to Beltway 8 (Sam Houston Tollway) and the 610 Loop, and approximately 10 miles from George Bush Intercontinental Airport.
The HFF team represented the seller. HFF's investment advisory team included senior director Trent Agnew, senior managing director Rusty Tamlyn and real estate analyst Johnny Kight. Holliday GP Corp./HFF is a Texas licensed real estate broker.
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© 2024 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.
