Los Angeles-based RPD Catalyst bought the building at 13100 Northwest Fwy. a little more than three years ago. According to Rudy Hubbard of Transwestern's Houston office, RPD Catalyst put some capital into the building during the three-year hold.

"The seller is focusing on other property types," says Hubbard, who worked with Transwestern's Leah Gallagher to broker the transaction. "They have a fund they're putting together for multifamily acquisitions." Hubbard tells GlobeSt.com that the asset attracted several offers, with Fausset-Neely offering the most competitive price and paying all cash for the deal.

Rick Fausset with Fausset-Neely says the company was looking for finished housing lots in Houston when Hubbard suggested the company give a look-see at Northwest One. Given that there is no debt involved, Fausset says the plan is to offer aggressive rental rates in an attempt to stabilize the building, which is currently 44% occupied.

The company has another building under contract in Dallas. Fausset says closing should take place sometime in January. "Our formula is simple," he tells GlobeSt.com. "We buy properties substantially below replacement cost in markets that are good for job growth, then sell early. That way, we miss the next down cycle."

Fausset-Neely bought assets in Dallas and Houston during the early to mid 1990s. In 1998, when the REITS started coming in to buy, that's when the company sold and began searching for likely assets in secondary and tertiary markets. This is how Fausset-Neely ended up with a large concentration of assets in Amarillo, TX, Fausset says. The last acquisition was in 2001, when the company bought land for a business park in Amarillo.

"We started selling," Fausset comments. "At one point, we owned more than 2 million square feet, last year we were down to about $400,000. Now things are starting to get interesting again." Fausset goes on to say that the company will take a look at office, retail, land and industrial, though seems to have a greater comfort level with the office product.