National MarketingTranswestern Development completes 455,000-SF spec warehouse near Port of Houston
Houston Business Journal, Feb. 11, 2023
A new warehouse near the Port of Houston’s Bayport Container Terminal is ready for tenants. Transwestern Development Co. said it completed Bayport 146 Distribution Center, a 454,600-square-foot, cross-dock industrial space at 5803 Old Highway 146 in Seabrook, in January.
Work is still underway on the expandable 2,500 square feet of office space, and the building will be operational in the next two to three months, said Ryan Baumgartner, development manager for TDC’s Houston and Central Texas region. The facility has 36-foot clear heights and 400 feet of building depth. It can accommodate tenants needing from 113,680 to 454,600 square feet and includes 74 trailer parking spaces and 150- and 180-foot truck aprons. Transwestern’s Brian Gammill, Darryl Noon and Nick Peterson are leasing the property.
TDC closed on the 32-acre property on April 5, 2022, and broke ground the next day, Baumgartner said. Katy-based Rosenberger Construction is the general contractor, and Houston-based Munson & Associates is the architect. LJA Engineering provided civil engineering services. The building could be divided into four parts for different tenants, Baumgartner said, though the goal is to lease to a single tenant. “We’ve had a lot of activity that we’ll probably just end up splitting it (into) no more than two,” he said. “Or … we may have the opportunity to land a single tenant.” Transwestern is talking with several interested companies, said David Duncan, also a development manager at TDC. The location right by the Bayport Container Terminal makes it a prime spot for any company that benefits from being close to the Port of Houston, such as third-party logistics companies. “We’re blessed to have developed on this site specifically because we believe it’s the premier location in the market today,” Baumgartner said. Industrial real estate is doing well in Greater Houston overall. By the end of the fourth quarter of 2022, vacancy was 5.6%, there were 33.6 million square feet of new facilities under construction, and asking rents were up more than 12%, while total net absorption was 28.9 million square feet last year, according to Colliers.
In the southeast Houston region, which includes the port, vacancy was at 5% with 2.4 million square feet under construction and more than 370,000 square feet absorbed, per Colliers. However, Colliers observed a slowdown of speculative developments in Greater Houston and expects that to continue this year. “The developers we’re talking to, it’s mostly build-to-suit that they’re working on right now,” Patrick Duffy, Colliers’ Houston area president, said during a recent presentation, noting spec development is expensive and exit rates are uncertain. But that doesn’t affect the Bayport 146 warehouse, Duncan said. “This building was a no-brainer because it was so close to the port and the market was as hot as ever. Capital was available, so that didn’t really come into play,” he said. Overall, the company will adjust to a slowdown in construction starts, Duncan said. “Our Texas team in general is bullish but especially in Houston,” he said. “And we’re looking at these next few months and this next year as a great opportunity to scale. We’re going to be disciplined in the sites that we chase, but we’re going to be very aggressive on the sites that we believe in, with the goal of coming out of this (slowdown) … as the premier developer in Houston and across the state as well.”
TDC’s Texas team, led by regional partner Denton Walker, has five industrial projects totaling 5.4 million square feet under construction or in planning across the state. In Houston, the company most recently completed three industrial projects in 2021: Sam Houston Distribution Center, Stafford Crossing and Sugar Land Business Park.
TDC plans to break ground on another large industrial project in the Houston area this year, Duncan said, though he declined to provide details at this point.
ESG’s Staying Power Tested by 2023’s Economic Uncertainty
The Commercial Observer, Feb. 8, 2023
ESG is bracing for a storm – and this time it’s not because of climate change. Rather, the economy – in particular, speculation about a looming recession – is testing the resilience of the environment, social and corporate governance (ESG) framework used by corporations to measure their societal impact.
16 Arizonans named to Valley Leadership program exploring state’s diverse communities, issues
The Phoenix Business Journal, Feb. 7, 2023
Valley Leadership has announced its latest Explore cohort. The Explore program, which was launched in 2022 as part of VL’s reimagined development programs, aims to foster connections among leaders throughout the state by giving them first-hand experience with the diversity of communities and issues — including rural, urban, suburban, border and Native American — across the state of Arizona.
Transwestern Brokering Sale of 168,078-SF, Class A Office Building in Charlotte, North Carolina
CityBiz Journal, Jan. 26, 2023
Transwestern Real Estate Services’ Senior Managing Directors John Bell and Kevin Markwordt are bringing 605 Munn Road to market for sale. The Class A, 168,078-square-foot office property is in Fort Mill, South Carolina, a suburb of Charlotte.
Transwestern Puts Mike Salmen in Charge of Midwest Capital Markets
ConnectCRE, Feb. 8, 2023
Transwestern Real Estate Services has charged industry veteran Mike Salmen with service delivery strategy and operational oversight of the firm’s Midwest Capital Markets team.
