Brett Moody, chairman and CEO of Moody National Cos., says thedealmakers were the like-new finish-out and solid upside potential."We set aside $2 million for additional TIs and leasingcommissions, but the building is in excellent shape," says Moody,whose company acquired the asset at 15710 JFK Blvd. from KBS RealtyAdvisors of Newport Beach, CA.

On the tenant side, Weatherford International Ltd., FMCTechnologies Inc. and Kraton Polymers US LLC take up 70% of the1985-constructed building with long-term leases averaging 10 years.Moody tells GlobeSt.com that the remaining tenancy has three- tofive-year leases. Moody National will manage the 90%-leasedbuilding and outsource the leasing assignment.

"The majority of the building was leased out in the $19 per sfrange. Class A space of this caliber is $21 per sf in thissubmarket," Moody says. As leases roll over the next five years, hesays rents could be bumped as high as $23 per sf if the market anddemand live up to expectations. "We saw minimal rents withlong-term leases in place from the three long-term companies," heexplains, "and when the majority of the other leases roll, there'sour increase."