Downtown Tower Tenants Renew, Expand

Builders FirstSource is taking over the rest of the 16th floor with an 11,220-sf expansion, extending the lease for one year to push the term to 2010, says Russ Johnson with Trammell Crow Co. For three years, the tenant has had its headquarters in 15,430 sf at the 2001 Bryan Ave. property.

"They looked at several locations outside the CBD and they chose to stay," Johnson tells GlobeSt.com. "With the deal we cut, it made sense for both parties." The building's quoted rent is $16 per sf plus electric.

Builders FirstSource will move into the extra space in March. Chris Schupp, president of the Robert Lynn Co. in Dallas, represented Builders FirstSource.

The law firm of Quilling, Selander, Cummiskey and Lownds stepped up for the 4,075-sf balance of the 18th floor. The firm, planning a May 1 takeover, has been occupying 22,575 sf for five years. Ian Russell with the locally based Ian Russell Co., steering talks for the law firm, worked out a 10-year term for the expansion and renewal.

Copy Solutions added 1,465 sf by relocating on the 19th floor to a 4,831-sf office. The five-year tenant signed another five-year lease just as the term was set to expire, Johnson says.

Newcomer Galvanon Corp. is unpacking in 1,134 sf, taking one of the ready-to-go model suites on four floors of dedicated space. Renewing suites were Midas Financial, Monster Legal and two law firms, Dennis Roossien and Daniel Davis. Pacts with one- to three-year terms are the norm for the offices, which range from 758 sf to 4,587 sf.

Though renewals don't gain occupancy traction, the expansions have pushed the tower's occupancy to a solid 70%. "It's tough to make it go up. It takes a lot of leasing," Johnson says. The 2005 goal is to hit 80%.

"We are seeing a lot of activity...a combination of deals closing and new tours," Johnson says. "It's not just people kicking tires. Hopefully, this is an indication of what we're going to do the rest of this year." Johnson says he and TCC's Jon McNeil are negotiating two more expansions that will rope off another 15,000 sf for building owner, Spire Realty Group LP of Houston.