The rush on Houston office investments is continuing with two more sales this week, both Class-B assets with noted demand for their locations.
An undisclosed investor bought 2401 Fountain View, a 10-story Class-B building at 2401 Fountain View Drive. The 178K SF building is in the San Felipe/Voss submarket, near The Galleria area.
Bisnow/Maddy McCarty
2401 Fountain View in Houston.
“This transaction highlights ongoing investor interest in well-positioned Houston office properties,” Colliers’ David L. Carter, who represented the seller, said in a statement. “2401 Fountain View Drive provided a compelling opportunity in a competitive and stable submarket.”
The building is about 69% occupied and received $1.8M worth of capital improvements over the past five years, according to a Colliers sale brochure.
Separately, Fuller Realty Partners and ICP Funds acquired the 132K SF BlueCross BlueShield Building, a two-story, Class-B office property in West Houston. JLL Capital Markets procured the buyer and represented the seller, an affiliate of Sagard Real Estate.
The property at 8101 W. Sam Houston Parkway S. was developed in 1999. BlueCross BlueShield recently signed an 11-year lease for the entire property. As part of the tenancy, the building will undergo an interior renovation that will expand the amenities.
JLL also arranged a five-year acquisition loan through a regional bank. JLL’s Debt Advisory team working on behalf of the borrower was led by Wally Reid and Cameron Cureton. JLL Capital Markets’ Investment Sales and Advisory team representing the seller was led by Kevin McConn and Rick Goings.
“The momentum of office sales in Houston has really picked up,” McConn said in a statement.
Houston ranked fourth in the U.S. for dollar volume of office sales in the first half of the year.
“We are seeing a generous amount of investor interest with each asset that hits the market and with this offering in particular, the strength of the tenant, its long-term commitment to the property and the strategic location was a driving force behind many of the offers,” McConn added.
PEOPLE
First America Homes, the homebuilder division of real estate developer The Signorelli Co., hired John Winniford as president. Winniford will oversee the firm’s operations across Greater Houston and San Antonio communities, while also prioritizing expansion into Dallas and other Texas markets.
Winniford has 30 years of experience in the homebuilding industry. He was president and CEO of Brightland Homes for nearly a decade.
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The Signorelli Co. appointed Barbara Taylor as vice president of asset management. Taylor will lead the firm’s strategies focusing on customer experience, property operations and value maximization for its real estate portfolio.
With 30 years of industry experience, Taylor most recently spent 18 years with Hines where she led accounting operations for the Southwest region.
SALES
A private, Texas-based investor bought the 92-key Homewood Suites by Hilton Houston Clear Lake NASA at 401 Bay Area Blvd. in Houston. HVS Brokerage & Advisory brokered the sale through an online Ten-X auction.
The all-cash sale was a distressed special-servicer deal with a low price per key. With a full renovation planned, the Homewood Suites will be positioned to capture the demand generated by the expansion of NASA and Webster.
HVS Brokerage & Advisory team members Eric Guerrero, Andrew Frosch, James Rebullida, Matthew Omansky, Fadi Rawashdeh, Kyle Peterek and Daneen Godinet participated in the transaction.
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MS Retail DP LLC purchased Deerbrook Plaza Shopping Center, a 219K SF retail center at 9715-9813 FM 1960 Bypass Road in Humble. Deerbrook Plaza, a fully stabilized shopping center, is anchored by Ross Dress For Less, Total Wine & More and Dollar Tree.
CBRE’s Matt Berry, Robbie Kilcrease and Drew Reinking represented the seller, Shervin Mateen, owner of Cannon/Unimat Commercial.
LEASES
Hospitality Solutions Inc. subleased its 27K SF space at Interwood Business Center, 14440 John F. Kennedy Blvd., to lease a bigger space. The firm signed a new lease for 48K SF at Jersey Village 2, 7420 Security Way in Jersey Village.
Barrett Gibson and David McMahon of Colliers represented Hospitality Solutions Inc. in both transactions.
THIS & THAT
Courtesy of JLL
Four Westlake in Houston after a $15M renovation.
A $15M renovation has completed at Four Westlake, a 564K SF office building in the Energy Corridor. The upgrades, designed by IA Interior Architects and constructed by Gallant Builders, include a modernized lobby, an upgraded fitness center, a library-style tenant lounge and coffee bar, a 200-person conferencing center and a new food hall.
JLL leads leasing and property management at Four Westlake, where DBR Engineering recently signed a 47K SF lease, relocating from Westchase. The 20-story building still has 485K SF available.