This Week's Houston Deal Sheet
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North Junction Plaza, a 110k SF retail center developed in the ‘70s, is about to get a $3M renovation.
Summit Realty Ventures is starting construction this month or next on the major facelift, including an entirely new facade. The firm acquired the property at I-45 and FM 1960 three months ago on behalf of ArrowRock Income & Growth Fund II. It’s hoping to replicate its success at Champions Stonebridge; it repositioned that 240k SF property and increased occupancy from 60% to 90%. North Junction Plaza’s occupancy will dip to 57% early next year when anchor PetSmart decreases to 52k SF, opening up a 23k SF junior anchor spot. NewQuest’s Brad Elmore leases (and the company manages) both assets and says that opening (which can be expanded to 33k SF) is the second-largest retail opportunity in the submarket. He’s getting interest from fitness retailers.
An undisclosed local investment group purchased Louetta Creek Plaza, a 27k SF shopping center in Spring. HighStreet Net Lease Group’s Matt Moake repped the seller, and MFT Interests’ Glenn Clements repped the buyer. The property was built in 2005, and the seller/developer will reinvest the capital into other acquisitions and developments. An adjacent power center is getting upgrades, which Matt believes will enhance the value of Louetta Creek Plaza for the new owner.
Momentum Indoor Climbing purchased four acres at Kingsland Boulevard and Katy Mills Parkway. It will build a 36k SF rock climbing facility with a 50-foot climbing wall and fitness/yoga areas. It’ll be one of the largest of its kind in the world when it opens next summer. Baker Katz’s Ben Brown repped the buyer, and Simpkins Group’s William Stacy repped the seller.
Moviehouse & Eatery is entering the Houston market. It purchased 5.9 acres in Cypress Creek Lakes master planned development near the intersection of Fry and Tuckerton roads. It will build a 10-screen facility, kicking off construction in early 2016 for a spring 2017 opening.
CABB JV purchased 24.8 acres in Lake Jackson along FM 2004 near Old Angleton Road. The firm had already bought 6.7 adjacent acres in July and will build 300 multifamily units on the combined 30-acre tract. Southern Realty Advisors’ Julia McManus repped the buyer and seller Rural Investments.
VP1 Partners purchased 128 Vision Park office building, a newly constructed, 75k SF property developed by D’Agostino Cos in Shenandoah. It was 30% leased at time of sale. J Beard’s Jeff Beard repped the seller. The new local owner projects occupancy will hit 80% by year’s end, based on current activity.
Wendy's leased a 48k SF pad site at Chambers Town Center (intersection of I-10 and TX 146 in Baytown). NewQuest’s Bob Conwell and Brad Elmore repped the landlord in-house, and NewQuest’s Daniel McCormack repped the tenant.
PMRG’s Marci Phillips completed seven leases totaling over 25k SF at three office buildings owned by Younan Properties in Greenspoint: 650, 652 and 654 N Sam Houston Pkwy E. The buildings recently underwent $1M in upgrades/renovations.
Hunt, Guillot & Associates relocated from Spring to The Woodlands, expanding its footprint in the process. It leased 26k SF (triple its previous office) at 8401 New Trails. Newcor CRE’s Ryan Dierker, Rob Banzhaf and John Wenckens repped the tenant, and TIG Real Estate Services’ Joel Dalak repped the landlord.
IronEdge Group leased 13k SF of office space at 3000 Wilcrest to be its new HQ. Lee & Associates’ Rob Johnson repped the tenant, and Client 1st’s Randi Carrabba repped landlord Jeffrey Westchase.
Lovett Commercial announced plans for Main Street Kingwood, a 33-acre development anchored by a HEB and a 45k SF Memorial Hermann Convenient Care Center. The property will sit at the northeast corner of West Lake Houston Parkway and Kingwood Drive and will have more than 240k SF of retail, grocery and healthcare tenants. Lovett’s particularly focusing on landscaping, including preserving most mature trees in the 50-foot setback and planting over 125 new trees. Main Street Kingwood should break ground in the next few weeks and deliver in fall 2016.
ARA Newmark’s Holly Minter, Tip Strickland and David Schwarz originated acquisition financing for Momentum Real Estate Partners to purchase Provenza at Barker Cypress. The seven-year fixed-rate CMBS loan has full term I/O. Provenza at Barker Cypress is a 318-unit Class-A multifamily community previously known as Watermark at Barker Cypress.
THIS AND THAT
Stream Realty was selected to manage Belle Vintage Park in Tomball. The 120-unit senior housing community is fully leased. In addition to managing other active adult communities, Stream has four similar developments underway in northwest Houston, Cinco Ranch, San Antonio and Cedar Park.
JLL was awarded leasing of DCT Fairbanks 8, a two-building office/industrial project at 7220 and 7330 N Sam Houston Pkwy W. The buildings combined have 116k SF available to lease. Mark Nicholas and Richard Quarles will lead leasing.
Skanska hosted its fifth annual school supply drive, raising $6,250 of materials to support Communities in Schools (a campus-based dropout prevention program) and Spring Oaks Middle School.