SUGAR LAND, TX—The first quarter of 2017 was marked by continued confidence through multiple Texas metros. Job growth remained positive and any negatives associated with declining oil prices were offset by overall strengthening economies within the state. Houston's beginning to 2017 was also marked with more optimism throughout all areas of CRE in comparison to the bleaker beginnings of the prior year, according to a report by Q10 Kinghorn, Driver, Hough.

Retail remained the strongest overall performer within Houston's CRE markets as multiple large users continue to occupy both existing and new developments. Retail remains focused on desirable locations near existing or new residential developments, GlobeSt.com learns.

As an example of the continued strength of the retail market, Holliday Fenoglio Fowler LP closed the sale of First Colony Commons, a 410,121-square-foot retail center with multiple big box tenants on behalf of the seller, Covington Realty Partners. TriGate Capital purchased the property for an undisclosed price. Additionally, working on behalf of the new owner, HFF placed the $38.2 million in acquisition financing with a five-year extension option with NexBank SSB.

First Colony Commons is 99% leased to a variety of big box and national retailers, including The Home Depot, Babies R Us, Office Depot, Michaels, Conn's and Tuesday Morning. Situated on 37.85 acres at 15201-15555 Southwest Freeway, the center is at the highly visible intersection of Highway 59/Interstate 69 and Williams Trace Boulevard, which is accessible to approximately 239,321 vehicles per day. The property is just north of the intersection of Highways 59 and 6, the two main transportation corridors that link Houston to Sugar Land.

Sugar Land is an affluent community 20 miles from downtown Houston and in the heart of Fort Bend County, the sixth fastest-growing county in the country. More than 85,000 residents earning an average annual household income of more than $134,000 live within a three-mile radius of First Colony Commons.

HFF's investment sales team was led by senior managing directors Rusty Tamlyn and Ryan West. HFF's debt placement team was led by director Jim Curtin.

“This power center had a lot of moving parts, which presented challenges for buyers and lenders,” Tamlyn said. “TriGate was able to navigate through the issues and will have potential value add opportunities down the road.”

The Home Depot

HFF's investment sales team was led by senior managing directors Rusty Tamlyn and Ryan West. HFF's debt placement team was led by director Jim Curtin.

Instant Insights /

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