Ismaili Center Houston Nears Completion: The Houston Deal Sheet

The Ismaili Center Houston is preparing to open this year on an 11-acre site bordered by Montrose Boulevard, West Dallas Street and Allen Parkway.

Designed by renowned architect Farshid Moussavi, the center represents a milestone for the Ismaili Muslim community and an addition to Houston’s cultural landscape. 

The center will be a 150K SF building with a five-story atrium, flanked by two side atriums that connect to verandas. Cultural and civic facilities will include an exhibition gallery, a black box theater, banquet halls, meeting rooms, educational spaces, a café and a prayer hall. 

Final preparations underway include the completion of dramatic veranda spaces and landscaping of 9 acres of gardens by Nelson Byrd Woltz Landscape Architects.

The late Aga Khan IV, the then-spiritual leader of the Shia Ismaili Muslims, selected Houston in 2006 as the site of the first Ismaili Center in the United States, joining six others across the world. Washington, D.C.-based Aga Khan Foundation USA acquired the 11-acre site that year, the Houston Business Journal reported. Aga Khan IV was 88 when he died in February.

Moussavi’s design was developed in partnership with structural engineering firm AKT II and DLR Group, the architect and engineer of record. Construction is led by McCarthy Building Cos.

PEOPLE

Texas Medical Center appointed Travis Overall, a real estate veteran with more than 20 years of experience, to its board of directors. As TMC continues to expand, he will help shape approaches to meet the growing demand for lab and office space, medical facilities and biotech.

Overall is executive vice president for Brookfield Properties in Texas, though he will transition out of that position next month, a spokesperson said. In that role, he oversaw major office, retail and mixed-use projects. Before that, he spent 19 years at Hines, leading $2B in commercial real estate development and management.

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Partners Real Estate hired Mitchell Hanzik as partner and managing director for development in Texas. He will oversee the firm's development and construction efforts across the state. 

Prior to joining Partners, Hanzik served as managing director at Allen Harrison Co., where he led the company’s development and construction functions. Before that, he was a developer for Trammell Crow Co. and began his career as a real estate, banking and finance attorney.

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Oxford Partners launched a healthcare division with the appointment of Nelson Udstuen at the helm. Udstuen brings 30 years of commercial real estate experience, most recently serving as senior vice president at CBRE. 

In his new role as president, Udstuen will lead a platform focused solely on healthcare clients, advising physician practices, specialty groups and health systems on site selection, lease negotiations, compliance-driven build-outs and portfolio strategy.

SALES

Knightvest Capital acquired Arlo Buffalo Heights apartments, a 318-unit wrap-style property built in 2014. This is the 10th acquisition in Knightvest's Fund II and expands the firm's footprint in the Neartown-River Oaks submarket.

Knightvest will upgrade full unit interiors, relocate the leasing center and enhance amenities. The community was renamed Whitmore.

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An undisclosed buyer purchased 58 acres near the southwest corner of the Grand Parkway and Mueschke Road in Northwest Houston from Darvesh Investments. The sale provides an opportunity for long-term development in a rapidly growing industrial corridor, said James Kadlick of Colliers.

Kadlick, Chris Hutcheson and Harrison Kane of Colliers represented the seller. 

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MC Hanuman MHM, a Houston-based investor, bought the 55-key Comfort Suites near the Texas Medical Center and NRG Stadium at 1055 McNee Road. The property, built in 2002, was purchased from Avalon Sai Hotels LLC. 

HVS Brokerage & Advisory team members Eric Guerrero, James Rebullida, Kyle Peterek, Fadi Rawashdeh and Daneen Godinet participated in this transaction.

There was a compressed timeline to market the listing due to the property's bankruptcy, Rebullida said in a statement.

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Atlantic Pacific Cos., via its affiliate Blue Atlantic Partners, acquired Montecito Apartments in the Uptown/Galleria submarket of Houston. A|P will perform property management responsibilities and plans a multimillion-dollar renovation program at the 299-unit property.

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Stag Industrial Inc. acquired PortNorth 59, a 462K SF industrial asset on 22 acres at 7491 Rankin Road in Humble. JLL Capital Markets’ Trent Agnew, Charlie Strauss, Lance Young, Brooke Petzold and Dawson Hastings represented the seller, Phelan Bennett Development.

The cross-dock distribution facility was delivered in the fourth quarter and achieved full occupancy from two tenants within five months. 

LEASES

Saber Power renewed and expanded its lease to 57K SF at 13100 Space Center Blvd. Partners Real Estate’s Charlie Neuhaus and Harrison Schuhmacher represented the tenant.

FINANCING

Cushman & Wakefield arranged $4.5M in refinancing for Two Harbor Square, a 27K SF medical office building at 3033 Marina Bay Drive in League City. It is 94.5% leased. 

The financing, arranged on behalf of owner Creative Equities, was provided by Amegy Bank. Cushman & Wakefield’s Tyler Morss advised the borrower.

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CBRE helped secure permanent financing for an 11-asset medical outpatient portfolio in the Dallas and Houston metropolitan areas. The portfolio totals 258K SF and was about 81% leased at closing.

Zack Holderman and Jesse Greshin of the CBRE U.S. healthcare capital markets debt and structured finance team, alongside Chris Bodnar, Brannan Knott, Mindy Berman and Cole Reethof, advised the sponsor and owner, Pinecroft Realty.

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Hartman Properties refinanced its $41.9M master credit facility with East West Bank. The refinancing extends the maturity of the facility to July 15, 2027. 

The facility is collateralized by eight office properties and one retail property across Houston and San Antonio. Hartman and East West Bank executed a derivative instrument to fix the interest rate at 6.49% for the remaining 24 months.

THIS AND THAT

Fertitta Hospitality unveiled a multimillion-dollar renovation of The Westin Houston Downtown, which refreshed all 200 guest rooms with new flooring and expanded amenities, including mini refrigerators and reading lights built into the headboards.

The lobby features a transformation of the Ballpark Bar, Ballpark Café and the main entrance to serve as a gathering spot for people heading to Daikin Park, the George R. Brown Convention Center or nearby Downtown attractions. An entertainment unit with an 85-inch screen within a locally sourced raw-edge limestone shelf separates the lounge from the main bar. 

The fitness center was upgraded, and guests can book limited rooms with a Peloton included.