Middle Market Digest: This Week in the South and Mountain Regions

E-commerce, logistics, distribution and warehouses are all common words in the commercial real estate lexicon these days. Due to the strong demand from online retailers, shipping has increased exponentially in recent years. And while Houston’s industrial market had a rare quarter of negative net absorption, it is not a point of concern, says JLL, as fundamentals remain healthy: 4.9% vacancy, 2.5 million square feet of positive net absorption year to date and 11.8 million square feet of occupiers in the market for space. The strength of the market and availability of capital is driving increased construction particularly of warehouse/distribution product.—Lisa Brown

NEWS AND NOTABLES

FORT WORTH—Transwestern has expanded its Fort Worth brokerage team with three industry professionals: principal Theron Bryant, vice president Brent Landfried and associate Casey Tounget. The team of Bryant and Tounget focus on agency leasing and Landfried specializes in industrial tenant advisory services.

DEAL TRACKER

ADDISON, TX—Addison Foods renewed its lease for 5,901 square feet of office space at Addison Tower, 16415 Addison Rd. Transwestern principal Randy Garrett represented the tenant in the transaction. Michael Bowles, Chris Lipscomb and Jeannette DelBosque of Colliers International represented the landlord, Aque Investment Group.

ALLEN, TX—Lennox Industries Inc. renewed its 8,195-square-foot lease at 1303-1307 N Watters Rd. Josh Barnes and Ben Wallace of Holt Lunsford Commercial represented the landlord, Blackstone.

AUSTIN, TX—NAI Partners Austin recently arranged a 4,232-square-foot retail lease for Dadageek at 2015 E. Riverside St. NAI Partners’ Stephen Wentworth represented the landlord Presidium Group LLC in the transaction for Dadageek.

AUSTIN, TX—NAI Partners Austin recently arranged a 7,200-square-foot industrial renewal lease for Contego at 2112 Rutland Dr. NAI Partners’ David Stojanik represented tenant Contego in the transaction.

BROOKSHIRE, TX—Lee & Associates represented QC Land Development LLC in the sale of a 91,510-square-foot industrial building at 34218 Sunset Ln. Preston Yaggi and Patrick Wolford of Lee & Associates–Houston, along with Reed Parker of Lee & Associates–DFW, represented the seller.

CARROLLTON, TX—Sam Pack’s Five Star Ford renewed its 23,300-square-foot lease at 1210 Champion Circle. Mitch Pruitt with Prologis represented the landlord, and Jim Brice of Holt Lunsford Commercial represented the tenant.

CARROLLTON, TX—L.E. Klein Company renewed its 58,202-square-foot lease at 2115 East Beltline Rd. Andrew Gilbert and Jim Brice of Holt Lunsford Commercial represented the landlord, Rialto Capital.

CARROLLTON, TX—MMD Holdings LLC has renewed its lease for 50,979 square feet of industrial space at 1115 Crowley Dr. Transwestern principal Bill De La Chapelle and senior associate Sharon Cramer represented the tenant in the transaction.

CONROE, TX—Lee & Associates–Houston represented Blair Warehouse Park LLC in the sale of a 3,123-square-foot industrial building at 21149 Blair Rd. Robert McGee and Robert Noack of Lee & Associates–Houston represented the seller, and Wendy Johnson with Exit Lone Star Realty represented the buyer, South Texas Digital Mining LLC.

CORPUS CHRISTI, TX—JLL Capital Markets experts announced the sale of Carroll Ln., a 40-unit multifamily community. JLL’s senior vice president Zar Haro led the Central Texas multifamily team on the effort. He, along with JLL senior vice president Moses Siller, represented the sellers, Churchill Family Trust. Raybec Operating Corp. acquired the apartment complex.

DALLAS—Flip Screen LLC leased 13,440 square feet at 10990 Petal St. Josh Barnes and Ben Wallace of Holt Lunsford Commercial represented the landlord, Rialto. Adam Jones of Stream Realty represented the tenant.

DALLAS—Taylor Communications Inc. expanded to 220,110 square feet at 8700 Autobahn Dr. John Gorman and Canon Shoults of Holt Lunsford Commercial represented the landlord, TA Realty, and Ann Huntington of CBRE represented the tenant.

DALLAS—Peachtree Stair Company renewed its 26,203-square-foot lease at 5200 E Grand. Canon Shoults and Josh Barnes of Holt Lunsford Commercial represented the landlord, Frontier Equity, and Buddy Turner of Avison Young represented the tenant.

DALLAS—Martin Preferred Foods renewed its 20,400-square-foot lease at 5556 Redbird Center Dr. Canon Shoults, Andrew Gilbert and John Gorman of Holt Lunsford Commercial represented the landlord, Rialto Capital.

DALLAS—Burns & Wilcox extended and expanded its lease for 7,347 square feet of office space at Providence Towers, 5001 Spring Valley Rd. Transwestern principals Kim Brooks and Justin Miller and vice president Scott Walker represented the landlord, KBS Realty Advisors. Taylor Dickerson of Citadel Partners represented the tenant in the transaction.

DALLAS—Highpoint Administrative Services Inc. signed a new lease for 8,042 square feet of office space at 4455 LBJ Fwy. Transwestern principal David Besserer represented the tenant in the transaction. Mark Siegel of Amtrust North America represented the landlord.

DALLAS—Marcus & Millichap has extended and expanded its lease for 17,531 square feet of office space at Providence Towers, 5001 Spring Valley Rd. Transwestern principals Kim Brooks and Justin Miller and vice president Scott Walker represented the landlord, KBS Realty Advisors. Scott Bumpas of Cresa Partners represented the tenant in the transaction.

DALLAS—Barse & Company signed a new lease for 8,083 square feet of industrial space at Carpenter Center, 8701 John Carpenter Fwy. Transwestern vice president Timothy Veler represented the tenant in the transaction. Neil Felder of Felder Property Group represented the landlord.

DALLAS—Institutional Property Advisors announces the sale of the Quality Estates Value-Add Portfolio, an eight-property, 2,048-unit multifamily portfolio located throughout the Dallas/Fort Worth metroplex.

FARMERS BRANCH, TX—LCG Spring Valley LLC purchased Spring Valley Tech Center, a 61,139-square-foot flex property at 4200-4288 Spring Valley Rd. Transwestern senior vice president Steve Rowland and vice president Timothy Veler represented the buyer in the transaction. Hal Pollard represented the seller, 669 Fairway LLC.

FORT WORTH—366 Processing Services Inc. leased 12,000 square feet at Riverbend Business Park. Clay Balch of Holt Lunsford Commercial represented the tenant.

GARLAND, TX—Motion Industries renewed its 14,346- and 22,734-square-foot leases at 2450-2462 Merrit Dr. Josh Barnes and Ben Wallace of Holt Lunsford Commercial represented the landlord, Taurus Investment Holdings LLC.

GRAND PRAIRIE, TX—Bohler Uddeholm Corp. renewed its 22,265-square-foot lease at 921 Avenue M. Canon Shoults of Holt Lunsford Commercial represented the landlord, Sealy.

HOUSTON—Baker Katz represented American Furniture Warehouse in connection with the acquisition of two sites within the Houston MSA.

HOUSTON—NAI Partners recently arranged a 12-acre land sale in two different parcels in Satsuma Station Industrial Park, a 115-acre master-planned industrial park in Northwest Houston. NAI Partners’ Travis Land represented the buyer United Equities Inc., in the transaction. The seller, SIC-River Park LTD, is an affiliate of Pinpoint Commercial which developed Satsuma Station Industrial Park. United Equities has two spec Industrial buildings planned totaling 83,500 square feet on the 7-acre tract with the 5-acre tract being marketed for Industrial build to suits 30,000 to 90,000 square feet.

HOUSTON—NAI Partners recently arranged the sale of 13735 FM 529, a 23,000-square-foot warehouse. NAI Partners’ John Ferruzzo, Nick Peterson and Ryan Searle represented the seller Southbelt Park Ltd. in the sale.

HOUSTON—Houston-based 741 Solutions LLC signed a new 12,000-square-foot industrial lease at Cunningham Business Park, 6423 Cunningham Rd. JLL’s Jordan Raney and David Buescher represented 741 Solutions in the transaction. Copeland Rhea of Clay Development represented the landlord.

HOUSTON—Lee & Associates–Houston represented Aerotek Inc. in the lease of two office spaces. A 10,796-square-foot office space at Remington Square III at 10713 West Sam Houston Parkway North. Brad Fricks and Ryan Bishop with Stream Realty represented the Landlord Sun Life Assurance Company of Canada. Additionally, a 10,743-square-foot office space at Energy Center II at 575 North Dairy Ashford Road. Steve Rocher with CBRE represented the landlord Interstate 10 EC Corridor #2 LP. Ryan Young of Lee & Associates–Houston represented the tenant in both transactions.

HOUSTON—Lee & Associates–Houston represented Nazar Invest Inc. in the sale of a 9.99 acres on Fondren Road. Cameron Hicks and Preston Yaggi of Lee & Associates–Houston represented the buyer, and Harlene Johnson with Lone Star Realty represented the seller, New Light Church World Outreach & Worship Center Inc.

HOUSTON—Lee & Associates–Houston represented Nazar Invest Inc. in the sale of a 6,020-square-foot industrial space at 11718 North Garden. Cameron Hicks and Preston Yaggi of Lee & Associates–Houston represented the seller, and the buyer was Thinh Le Holding LLC.

IRVING, TX—Greysteel has arranged the sale of Metker Garden, a 68-unit property. Greysteel managing directors Doug Banerjee and Boyan Radic, senior investment associates Andrew Mueller and Andrew Hanson and investment associate, Jack Stone who are based in the company’s Dallas and Fort Worth offices, negotiated the sale on behalf of the seller.

LITTLETON, CO—Transwestern provided disposition services for Transmark Co. in the sale of Broadridge Shopping Center at 6905 S. Broadway. The 75,831-square-foot shopping center was acquired by Fort Lauderdale-based SunCap Opportunity Fund LLC for $10.85 million. Managing directors Brad Cohen and Larry Thiel of Transwestern’s Denver Capital Markets Group brokered the transaction on behalf of the seller.

MESQUITE, TX—T&T Realty Corp. purchased 16.49 acres at 2749 Interstate Highway 30 at Gus Thomasson Rd. from YA Live Oak Landholdings LLC for an undisclosed price. Transwestern principal Thomas Clarke negotiated the transaction on behalf of both buyer and seller.

PINEHURST, TX—NAI Partners recently arranged a 19,108-square-foot industrial building sale at 19156 Circle Lake Dr. NAI Partners’ Travis Land represented the buyer, AAA Asphalt Paving Inc., in the sale.

SAN ANTONIO—NAI Partners sold the 50,175-square-foot Bratton Lane Commercial Park for an undisclosed amount to an undisclosed buyer on behalf of Kotel Investments. Located at 16501 Bratton Ln., the property was appraised by the Travis County Appraisal District for $3.8 million. NAI Partners’ Joshua Swank brokered the deal.

SAN MARCOS, TX—NAI Partners’ Investment Fund II has successfully closed on San Marcos Place, a 73,105-square-foot mixed-use office-and-retail shopping center, marking the first acquisition for the recently raised Fund II. The purchase of this asset marks the fifth transaction completed in 12 months by NAI Investment Fund, the private equity arm of NAI Partners.