North Houston District Provides 2016 Real Estate Snapshot

The North Houston District held its Market Update Meeting for the area’s real estate managers and brokers. The District’s Vice President of Planning and Strategic Development, Robert Fiederlein, presented an in-depth report on the North Houston submarket as well as information on a citywide initiative to bring headquarters to Houston.

Robert’s presentation can be found here.

Also available is the Submarket Report – 2016 SnapshotA report highlighting the trends and opportunities in the office, industrial/flex and multifamily sectors in the North Houston submarket in 2016.

Greenspoint Mall Now On the Market

Houston’s premier redevelopment opportunity, Greenspoint Mall, is now up for sale. 

Triyar Cannon Group, Greenspoint Mall’s owner, has recruited Colliers International’s Ace Schlameus to handle the sale. Schlameus recently spoke to Bisnow, an online news provider focused on commercial real estate, telling them that numerous inquires have been made about the property, which boasts a prime location at the northeast corner of Interstate 45 and the North Sam Houston Parkway.

Schlameus is working closely on this project with the Greater Greenspoint Redevelopment Authority, which manages the area’s Tax Increment Reinvestment Zone (TIRZ). A TIRZ is a special district created by city council to help encourage and finance development and redevelopment projects in a community. It offers incentives for developers to build or renovate in Greenspoint and, upon project agreement, can reimburse them for public amenities included in the project.

Greenspoint Mall opened to the public in 1974, and the 1.4 million square foot retail center quickly became a seat of commerce and opportunity. In the mall’s heyday, it featured retailers such as J.C. Penney, Montgomery Ward and Sears, however years of change in the Houston submarket has left the plot ripe for redevelopment.

“The redevelopment of Greenspoint Mall can make a significant impact on the Greenspoint area,” says Greenspoint District President Greg Simpson. He added that a mixed-use property would be ideal and cited its location, which provides connectivity to all the other major business center in Houston, as well as the state-of-the-art IT infrastructure as some of the most valuable incentives for potential investors.

Bureau Veritas Chooses Convenience of a Greenspoint Location

Bureau Veritas credits convenient access for both its employees and clients as a major reason for its recent move to Greenspoint Park, located on Greenspoint Park Drive close to the intersection of Benmar and Northchase Drives. Jones Lang Lasalle’s Ronnie Deyo, Beau Bellow and Todd Schaefer handled the deal, which allows the company to now house employees on one floor.

Created in 1828, the company specializes in Testing, Inspection and Certification (TIC). Bureau Veritas offers services in auditing, certification, classification, consulting, inspection, outsourcing, quality assurance and quality control, testing and analysis and training in industries ranging from aerospace to transport.

Thank you, Bureau Veritas, for recognizing the value of a Greenspoint location and continuing your investment in our area.

Prospects are Bright in Greenspoint — According to Bisnow’s “Future of Greenspoint” Panelists

Lots of good news was presented at the biannual “Future of Greenspoint” event.

Greenspoint District’s new president, Greg Simpson, began the morning sharing his vision of Greenspoint over the next few years as well as presenting a video highlighting many of the opportunities that exist in Greenspoint, particularly in the office and industrial markets, where space is abundant.

The morning continued with Reggie Gray, president of the Houston Intercontinental Chamber of Commerce, announcing the purchase of 34 buildings in the Greenspoint area by HPI Holdings. HPI will renovate the buildings, and Caldwell Companies’ SVP Bill Ginder will lease the spaces; Caldwell will also be in charge of property management. Reggie says this sale shows confidence in the Greenspoint market and represents a resurgence of investment in the submarket.

HPI Holdings’ news is not the only exciting activity in the area.

Leasing has picked up speed.

Colvill Office Properties’ Chip Colvill, a panelist at the event, says Greenspoint Place is hist most active property portfolio in the Houston market — he’s closed 200,000 square feet of deals in the last year. Not be outdone, Transwestern’s EVP Michelle Wogan, the event’s moderator, has finalized 260,000 square feet of deals in the submarkets, half of the activity being new tenants to the area.

Chip views Greenspoint a lot like Westchase a few years ago. Activity to its west caused Westchase to increase in popularity, and he thinks activity in North Houston will be a catalyst for activity to increase in Greenspoint.

Chip credits Greenspoint’s affordable lease rates with the increase in leasing activity. CBRE’s Lucian Bukowski, another panelists, says Greenspoint’s rental rates are 15 to 20 percent lower than other areas of town and are 30 percent lower than Downtown.

Another huge asset for the area is George Bush Intercontinental Airport (IAH). Houston Airport Systems COO Lance Lyttle said IAH is running out of room to list all of the airlines with service on its signs, adding an unprecedented 11 foreign airlines just in the last two years. In fact, when Air New Zealand begins flying from IAH in December, the airport will be the only airport in the western hemisphere with services to every habitable continent.

Big things are on the horizon for Greenspoint as companies continue to discover the value of locating in Greenspoint such as, the availability of Class A office space for the first time in over a decade, accessaibility to all of the major business centers in Houston within a convenient drive time, and lease rates 22 percent below the Houston average.

Stay up-to-date on all Greenspoint news by visiting our website, liking us on Facebook, or following us on LinkedIn.

This story originally ran in the October edition of Site Solutions, Greenspoint District’s bimonthly newsletter featuring stories about business deals as well as company news from the District’s office, industrial and data center community. To subscribe to this bimonthly newsletter, click here

Several Companies Have Recently Decided to Call 11811 North Freeway Home

In the past several months new tenants have occupied over 26,000 square feet of space at 11811 North Freeway.

Below are just a few of the companies located there.

Two insurance companies have opened office in the building. Fred Loya leased over 15,000 square feet in the building. Founded in El Paso in 1974, and specializing in providing general automobile insurance at affordable rate, the company has grown and is listed as No. 18 on the Hispanic Top 500 Owned and Operated Companies in the United States list. Eagle American Insurance Agency provides insurance for homeowners, motorcycles, RVs, watercraft, automobiles, private collections, life, and health; the company leased about 1,000 square feet in the building.

Dr. Sang Joo, MD leased over 500 square feet. The doctor specializes in addiction psychiatry.

The AG Doctors Center of Houston took over 1,600 square feet for its family medicine practice.

Hermes Aviation, which specializes in marketing and sales of air cargo for airlines, leased almost 800 square feet in 11811 North Freeway. The company has grown rapidly since it was founded in 1991 and currently represents numerous airlines in the U.S. and overseas, providing marketing and sales of their air cargo capacity in key global markets.

This story originally ran in the October edition of Site Solutions, Greenspoint District’s bimonthly newsletter featuring stories about business deals as well as company news from the District’s office, industrial and data center community. To subscribe to this bimonthly newsletter, click here

Greenspoint Touts New Office Space for the First Time in Decades

The Greenspoint District has now become one of the most affordable and sought after areas around Houston with more than 11 million square feet of total office space. In fact, it’s the first time in decades that Class A office has become available in Greenspoint.

“The newly available blocks of office space have really put Greenspoint on the radar of both national and international companies who are looking for highly competitive advantages in this market,” said Bart Baker, Acting President, Greenspoint District. “The District offers and affordable, convenient location for corporations seeking a new headquarters site, developers looking to build on vacant land, and investors looking to develop in the area.”

It is for these reasons that Greenspoint has successfully retained high-profile businesses in the area. Within Greenspoint Place, American Bureau of Shipping, a marine and offshore energy standards and classification corporation, has expanded its long-term lease to approximately 258,000 square feet; Swift Energy, an independent oil and gas company, renewed its long-term lease of approximately 120,000 square feet; and HealthHelp, a Houston-based provider of technology for educative and collaborative healthcare administration, moved from another Greenspoint office building into a 40,000-square-foot space.

Elsewhere in the District, Nabors Industries, an upstream oil ans gas corporation with an international footprint, expanded its operational headquarters occupying over 323,000 square feet at One Commerce Green, and Lennar Homes, one of Houston’s largest homebuilders, is building a new 69,000-square-foot headquarters in the Greens Crossing office campus.

With office lease rates 22 percent below the Houston average, the Greenspoint District is a great value for cost-conscious companies looking to expand to the area. Owners with large blocks of space in Greenspoint are preparing for their future tenant base by investing in their properties with attractive amenities including large conference centers, fitness centers, open floor plans, executive suites, and co-working offices specifically suited for small businesses and higher parking ratios.

The District’s available properties also include LEED® certified buildings. Dedicated to sustainability, the LEED® certification guarantees high standards of design, construction, and functionality. Green buildings also generate a higher return on investment for companies due to the increase efficiency and reduced costs of water and energy bills by as much as 40 percent.

Another high selling point for national and international companies is the area’s prime location near leading global air, sea, roads, and rail transportation. Tenants are connected to millions of consumers via George Bush Intercontinental Airport (IAH) and the Port of Houston. In fact, IAH, located just six miles (10 minutes) from the District, serves 38 countries and provides flights to 185 non-stop destinations, including more non-stop flights to Mexican destinations than any other airport in the country.

“Between the amenities nearby, the newly available office space, and Greenspoint’s convenient transportation infrastructure, the District is becoming a competitive choice in today’s business community,” said Baker.

Swift Energy Company Stays in Greenspoint, Relocates Headquarters

Swift Energy Company recently announced its headquarters relocation from Two Greenspoint Place to Five Greenspoint Place where the company leased over 120,000 square feet including the top six floors of the 460,000-square-foot, 19-story building.

Swift cited the commitment to quality office space showcased by Hines as a primary reason for its decision to stay in the area.

“The commitment by ownership, such as the addition of some first-class amenity space, was a key factor in our decision to stay here. Our move down the street to Five Greenspoint Place provides more opportunity for future expansion while maintaining for convenience and efficiency of this centrally located complex,” said Alton Heckaman, executive vice president and chief financial officer for Swift.

Hines is extremely happy with Swift’s decision to remain in Greenspoint and hopes the new improvements to the campus will help attract other Class A occupants.

“The current renovation of Greenspoint Place is targeted to attract and retain Class A tenants. As a valued anchor tenant for many years, Swift and their employees appreciate the campus setting as well s the on-site hotel and club,” said John Mooz, Hines senior managing director. “With the new capital improvements, including more green space, a state-of-the-art conference center, and high-performance fitness center, Greenspoint Place continues to be the top-tier office asset in North Houston.”

The Greenspoint Place campus is a 13.5-acre, mixed-use office and retail development at the intersection of the North Sam Houston Parkway and Greenspoint Drive. The campus includes the Hilton Houston North Hotel, premium Class-A offices, various dining options, executive athletic club and child-care facilities. Hines, the campus’ real estate firm, has invested in several upgrades to the campus including a new fitness center and conference facilities for tenant use. Five Greenspoint Place has received the LEED® Gold Certification.

This story originally ran in the July edition of Site Solutions, Greenspoint District’s bimonthly newsletter featuring stories about business deals as well as company news from the District’s office, industrial and data center community. To subscribe to this bimonthly newsletter, click here

MerchantNegotiators.com Takes Advantage of Unique Office Space in Greenspoint

MerchantNegotiators.com is one of the newest companies to move in to the Greenspoint District, leasing space at 519 North Sam Houston Parkway E.

The company seeks to change the way businesses shop for credit card processing services by making features, terms, and pricing transparent and comparable. The website takes over 40 of the largest credit card processors and allows them to compete for business on the site.

These credit card processors must provide their pricing to MerchantNegotiators.com in order to be displayed as a service provider on the site. These prices are in various formats – monthly, bimonthly, annually and so on. In order to allow companies looking for credit card processing services to compare these providers side-by-side, MerchantNegotiators.com takes those price and converts them all into an overall estimated monthly price.

MerchantNegotiators.com’s building is one of the properties where Boxer Property is offering their new WorkStyle office concept to tenants.

What exactly is the new WorkStyle office concept?

Boxer Property has developed this new solution for companies looking for non-traditional office space layouts. The new WorkStyle offices feature executive suites and co-working offices specifically suited for small businesses that allow for a unique mix of comfort, amenities and surroundings that provide employees with a productive and comfortable work area. Features include open floor plans as well as many amenities that would come with renting a traditional office suite including: Wi-Fi access, conference rooms and coffee bars.

Meeting rooms, lounge areas and breakout spaces open to all tenants in the WorkStyle offices allow teams to collaborate openly without the cost of paying for an individual meeting room.

MerchantNegotiators.com saw the new office space offered by Boxer in Greenspoint as an opportunity too good to pass up.

“It was attractive because we got amenities consistent with a much larger office space for a price that was much lower,” Rich McIver, founder of MerchantNegotiators.com said.

McIver also said that the location in Greenspoint was perfect for a startup company.

“When it comes to why we chose Greenspoint to locate our business, frankly, there are a lot of good reasons. First, for a business that has partners flying in for meetings, Greenspoint’s proximity to George Bush Intercontinental Airport is really attractive. Second, for startups like ours, the availability of additional affordable office space means that we are able to expand our lease as our needs grow. Finally, the fact that free parking is a given means that we have additional capital to reinvest in our business, He said.”

Welcome, MerchantNegotiators.com, to the Greenspoint District.

Greenspoint Just Keeps Swimming

Bisnow recently released an article entitled “Greenspoint: Will it Sink or Swim?” Despite the title, the publication made it clear that several real estate industry experts tasked with representing the submarket’s office buildings see Greenspoint’s newly and soon-to-be vacated space as nothing but a positive.

Exxon is currently is the process of vacating 380,000 square feet throughout the submarket. Additionally, other big tenants including Southwestern Energy, Noble Energy, FMC and Schlumberger have all recently put office blocks up for lease.

In fact, according to Bisnow there are 13 blocks of 100,000 square feet and 22 blocks over 50,000 square feet of available commercial space in Greenspoint with more coming online throughout 2015 and in the years to come.

However, the sky is not falling.

Colvill director of leasing Richard Barbles and vice president Damon Thames told the publication that the region will bounce back stating that corporations located here tend to remain for quite some time. ExxonMobil called Greenspoint home for 30 years, and, as Barbles said “the only way it could do better was building its own state-of-the-art campus.”

Several companies have recommitted to the area lately, either renewing leases or choosing to simply relocate to a different building while remaining in Greenspoint.

Nabors recently renewed and expanded to 314,000 square feet and Swift Energy announced last month its 145,000 square foot relocation from Two Greenspoint Place to Five Greenspoint Place. Both of these organizations have called the area home for more than 15 years.

HealthHelp is another corporation that recently chose to stay in Greenspoint when they were moving from 654 North Sam Houston Parkway to locate in 40,000 square feet in Four Greenspoint Place. HealthHelp cited the submarket’s proximity to the  other business centers in the city as the predominant reason behind their decision to continue to locate here.

The Greenspoint District truly is the downtown of Houston’s north side, conveniently located within a 30-minute drive time of not only Downtown but the Galleria area, The Woodlands, Kingwood and Atascocita. A major draw for the District is the proximity to George Bush Intercontinental Airport (IAH), located just 10 minutes away via the North Sam Houston Parkway. IAH boasts 700 daily departures and is the 11th busiest airport in the U.S. Nonstop service is available to 116 U.S. and 69 foreign destinations. There are nearly 70 direct international flights to 38 countries. The District also benefits from excellent fiber capacity being situated at the crossroads of the national north/south and east/west fiber feeds. There are more than a dozen long haul and last mile carriers that have affordable fiber optic cable in Greenspoint.

Lastly, Greenspoint is a value to organizations looking for prime office space and location at comparable rates. Greenspoint continues to offer companies the best value for leasing in the region with prices currently running at $28.55 per square foot for Class A space, $18.04 per square foot for a Class B office and $13.33 per square foot for Class C space in Greenspoint. Thames told Bisnow that he has received calls from tenants coming out of long-term leases in other submarkets who are looking to avoid increasing rental rates.

The Greenspoint District is still a prime location for corporations to locate, offering both quality office buildings and connectivity to both the greater Houston region and the world. As tenants vacate large blocks of office space, it only provides ample opportunity for other companies and corporations to benefit from the area’s location and amenities.

The ABCs of Successful Business: L is for Land Availability

A recent press release from the Harris County Appraisal District predicts that the demand for raw land will continue to grow, following a trend of improved sales volume over the past two years.

This is good news for the Greenspoint District, where there is more than 800 acres of undeveloped land available.

The District’s largest parcels are in Pinto Business Park, located at the southwest corner of Interstate 45 and the North Sam Houston Parkway. When built out, the facility has the capacity to total as much as nine million square feet of industrial, office, flex and some amenities situated on 971 acres. About 365 shovel-ready acres are still available in the Park. Tenants can purchase land from Hines and build their own facility, or tenants have the option to work with Hines who will assist owner-users with the development, construction management and design-build of a space.

This story originally ran in the March edition of Site Solutions, Greenspoint District’s bimonthly newsletter featuring stories about business deals as well as company news from the District’s office, industrial and data center community. To subscribe to this bimonthly newsletter, click here