"There isn't really an option over 80,000 of contiguous space in that submarket," Eric Anderson, senior vice president for locally based Transwestern Commercial Services, tells GlobeSt.com. "Lockheed would have had to go to other locations. It just made sense for them to stay put." He adds Lockheed Martin opted to stay at the 100%-leased, 124,908-sf building at 555 Gemini St. because there were few other alternatives. He represents the building owner, BGK Properties Inc. of Santa Fe.
Because of the fairly small supply of office space in the area, Anderson says the Bethesda-based Lockheed's broker Derrell Curry of Houston's Studley really didn't seek out additional alternatives. "It was a straightforward, smooth transaction," Anderson says.
The lease's value is being kept under wraps, but class B office space in the Clear Lake submarket is commanding $17.50 per sf. Considered one of the tightest submarkets in Greater Houston, Clear Lake's class A office occupancy is 92% while its class B inventory is 93% filled. Anderson points out that developers have considered spec projects in the area, but demand comes from primarily aerospace companies with government contracts so space needs can change quickly depending on the amount of work available.
© Arc, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to TMSalesOperations@arc-network.com. For more information visit Asset & Logo Licensing.