PM Realty Grabs Plum Management Pact for Galleria Redevelopment

PM Realty's Houston office of PM Realty has snagged the plum assignment. Grubb & Ellis Co.'s Houston team of Keith Lloyd and Mark Preston, both senior vice presidents, holds the leasing contract.

E.E. Reed was the general contractor for the redevelopment, estimated to cost in excess of $10 million. On June 1, the 1960s-era building will have its "coming out," with occupancy certificate in hand.

PM Realty's management team consists of Don Eicholz, assistant vice president of operations, Brenda Dougherty, property manager tasked with day-to-day activities, and Bill Goeke, senior vice president and director of PM Realty.

Goeke tells GlobeSt.com that Koswood Investment chose PM Realty because it has strong local resources and manages several other buildings in the Galleria area. The nine-story building was vacant until Koswood decided to redevelop the property. Koswood had no assigned leasing and management representation before Grubb & Ellis and PM Realty. Goeke says PM Realty plans to have an on-site management office.

Grubb & Ellis' Preston says the building is well positioned and pre-leasing has been fairly active despite a soft Galleria market. He says the owners have a long-term view of the property. "Their horizon is well beyond where you and I can see," says Preston.

Preston says the combined investment and private interest in the Galleria submarket suggests the short- and long-term prospects for the area are good. The renovation elements, including 19,000-sf floor plates, state-of-the-art, carrier demand-controlled ventilation system and superior circulation among other things catapult the building into a competitive posture that could outsmart some of the aging class A inventory in the Galleria submarket.