Israeli Investors Purchase Houston's 344 KSF The Plaza at Enclave Office Building
- Feb 08, 2012
February 8, 2012
By Nicholas Ziegler, News Editor
Continuing the trend of a high transaction volume in the Texas markets, Core Real Estate and BayNorth Capital Inc. have sold The Plaza at Enclave to an affiliate of Azrieli Group, a real estate development and investment company located in Tel Aviv. Holliday Fenoglio Fowler L.P. marketed the property on behalf of the sellers and arranged financing for the buyer through Cornerstone Real Estate Advisers, an investment subsidiary of MassMutual.
Dan Miller, a senior managing director with HFF, called The Plaza “one of the finest office buildings, if not the finest, in West Houston,” after the transaction closed. The building was completed in 2008 and is currently 100 percent leased to Dow Chemical Corp. as its regional headquarters as well as to Ridgewood Energy, Petrofac and HRT America. The six-story, 344,295-square-foot Class A property is situated on eight acres of property and has LEED Gold certification.
Houston, which weathered the economic downturn better than most other metro areas in the United States, has been in the news quite a bit recently. Just yesterday, the city saw the signing of a 4.2 million-square-foot leasing-and-management contract signed by CBRE Group Inc. for the five buildings in the Houston Center complex. Last week, Cassidy Turley picked up a 2.5 million-square-foot management contract in Houston and Dallas. And, after signing a 358,100-square-foot lease at 1 Houston Center in late January, plastics and chemical manufacturer LyondellBasell saw the building renamed for the firm.
According to a fourth-quarter 2011 report by services firm Cushman & Wakefield Inc., Houston turned a corner last year by regaining all jobs lost in the recession. The office market, specifically, mirrored the overall economic climate in the city, with falling vacancy rates citywide and an increase in rent levels. “The outlook for Houston’s office market will closely follow the path of job creation in the city,” the report noted. “With a strong forecast of around 3 percent job growth in 2012, absorption is likely to be again be positive in 2012.”