HOUSTON—Downton class-A space continues to be in demand. Case in point is the recent lease by TransCanada Corporation, which expands its office space by approximately 82,916 square feet on three floors at Bank of America Center. The 56-story 1.2 million-square-foot class-A office tower is located at 700 Louisiana St. in downtown.

Now occupying nearly 260,000 square feet, the additional space will accommodate TransCanada's expanding employee base in the Houston market. In 2016, TransCanada acquired Columbia Pipeline Group, also located in Houston.

“After careful evaluation of alternatives, consolidating personnel into the most iconic building in downtown Houston as soon as possible made sense for a number of reasons,” said JLL's Louis Rosenthal, broker for TransCanada. “In fact, when TransCanada initially looked at the market back in 2012, two of their primary objectives were to find a building that could accommodate future growth and enhance employee productivity. Bank of America Center meets their needs on both fronts and ownership's commitment to invest in the building's common areas and infrastructure will serve all of the tenants well for the next decade and beyond.”

Despite Bank of America vacating in 2019, PMRG is already engaged with both existing tenants and a few specific new tenant prospects to backfill that space. The tower is currently more than 91% leased and PMRG has completed more than 192,000 square feet of leasing activity in the last six months.

A couple of additional transactions at the building occurred recently. Consulting firm Alvarez & Marsal extended its lease and expanded its space to 49,508 square feet. Arnold & Porter moved from sublease space within the building to a direct lease of 21,290 square feet on floors 40 and 41. Alvarez & Marsal was represented by John Burke and Rosenthal of JLL, and Arnold & Porter was represented by Kevin Saxe of CBRE.

“This building has always been able to attract a prestigious roster of tenants. The challenge is to be able to anticipate the evolving expansion needs of our tenant base and plan accordingly,” said Ken Moczulski, founder and CEO of M-M Properties, which is part of the building's ownership group. “The building's distinctive architecture has endured and remained attractive even in cycles of new construction.”

The ownership group has been active in making improvements to the building, including a new elevator system and digital air conditioning controls. The bank's departure also provides an opportunity for some modifications to the lobby, with plans in the works and expected to be announced in the near future.

“Bank of America Center remains one of the most recognizable, iconic structures in the world and it continues to be competitive for prestigious tenants in Houston,” John Spafford, EVP and director of leasing for PMRG's Houston corporate office, tells GlobeSt.com. “The planned enhancements including the activation of the former Western Union location and other modifications for the banking hall will be a dramatic addition to the project.”

Bank of America Center was recently recertified by the US Green Building Council with LEED Gold for existing building, operations and maintenance.

The building, designed by architect Phillip Johnson and partner John Burgee, is located in the Theater District and is within a short walking distance to local attractions including Jones Hall, Bayou Place, the Hobby Center for the Performing Arts, Wortham Center and the Alley Theatre.

TransCanada was represented in the transaction by Rosenthal and Bruce Rutherford of JLL. Spafford represented the building ownership.

Bank of America

Bank of America Center was recently recertified by the US Green Building Council with LEED Gold for existing building, operations and maintenance.

TransCanada was represented in the transaction by Rosenthal and Bruce Rutherford of JLL. Spafford represented the building ownership.

Instant Insights /

CBD Class A Continues to Cast Tenant Net

Related Stories

Recommended For You