HFF to Market Pair of Houston Properties
- May 21, 2008
The Houston office of Holliday Fenoglio Fowler L.P. has been named to market One BriarLake Plaza, a Class A office tower in West Houston and Post Oak Central, a 1.3-million-square-foot office and retail complex in Houston’s Galleria area. Both properties are being sold by Crescent Real Estate Equities L.P., an affiliate of Morgan Stanley Real Estate. Both are being offered without a formal asking price. HFF declined to discuss pricing with CPN. Completed in 2000, One BriarLake Plaza includes a 502,400-square-foot, 20-story tower and a connected 2,068-space parking garage. The 94.7 percent-leased property is located on a 9.4-acre site along the West Sam Houston Parkway in Houston’s Westchase submarket. Jeff Hollinden, senior managing director of HFF noted that The Westchase submarket is in high demand by tenants and investors due to its proximity to energy industry employers and the neighborhoods of their employees.”Post Oak Central (pictured) consists of three Class A office and retail buildings that are 91.5 percent occupied by tenants including Apache Oil Co., Stewart Title and Suez. “Post Oak Central is positioned for significant upside potential due to in-place rents that are well below market,” said Hollinden. “Three Post Oak Central has 80,600 square feet available, one of the largest contiguous blocks of space remaining in The Galleria submarket.” Last week, CPN reported that Goddard Investment Group L.L.C. sold a 135,000-square-foot office building at 675 Bering Dr. in Houston for an undisclosed price and is putting the 218,000-square-foot, 21-story 801 Travis St. tower in Houston’s Central Business District on the market. According to a first quarter Grubb & Ellis Co. report, the Houston office leasing market kicked off 2008 by recording 467,382 square feet of negative net absorption, the first time Houston has witnessed negative growth since early 2004. Despite slower demand during the quarter, rents increased to a citywide record, improving by $0.71, or 2.9 percent, to $25.18 per square foot per year.