Granger Associates Sells Houston Manufacturing Facility
- Aug 30, 2018
Granger Associates has sold 1318 Bammel Road, a 110,000-square-foot manufacturing facility in Houston. NAI Partners Industrial Group brokered the transaction on behalf of the seller. The undisclosed purchaser was represented by Raintree Commercial’s Corey Ferguson.
The property is situated on approximately 35 acres and most recently served as the home to Lectrus Corp., which filed for bankruptcy in 2017. The new owner is planning to renovate the offices and install its own machines.
“We were able to leverage the lack of inventory in the +100,000-square-foot crane-served building range and create a strong interest in the property before we even hit the market,” Ryan Searle, NAI Partners vice president, industrial division, told Commercial Property Executive. “We also started to see the number of large manufacturing purchase requirements increase throughout the city. Those were the two leading factors that led the owner to sell.”
The facility features eight overhead cranes—six of which are 20-ton—heavy power and a great deal of stabilized yard space. There’s also a paint booth and a blasting booth on site.
“The wide bays in the warehouse and relatively high-hook height allowed the buyer to move in and operate almost immediately,” Searle said.
The location is a top feature as well. The property is located just west of Hardy Toll Road and directly on an exit ramp. The area is also home to a number of large manufacturing and fabrication companies.
A facility-owned trend
NAI Partners’ Houston industrial report for 2018’s second quarter revealed that the development pipeline in the city reached its highest level in more than two years, at 12.4 million square feet, compared to the 15 million-square-foot all-time record of 2015’s second quarter.
According to Searle, there was tremendous interest in the property once made available, as more companies are looking to own, rather than lease large manufacturing facilities.
“We hardly had the chance to put the building on the market. We sent the property out to a few brokers and other contacts and arranged three tours in the first two days it was on the market,” he said. “We received an offer from one of those groups and went under contract.”
Joining Searle on the deal were NAI Partners’ Nick Peterson and John Ferruzzo.
In July, NAI Partners brokered the $25.7 million sale of six industrial properties encompassing 19 buildings and 459,390 square feet in Houston, one of the largest in the city this year.
Image courtesy of NAI Partners