Men's Wearhouse will take down two-thirds of the 206,362-sf, LEED-certified building at 6380 Rogerdale Rd. in early 2007. Local experts say the tenant signed a long-term lease valued at $14 per sf to $16 per sf triple net. The submarket's weighted average is $23.81 per sf, gross.
With the vacancy rate hanging in the single digits and construction costs for new product sailing through the roof, David Lee, senior vice president for locally based Transwestern Commercial Services, anticipates rental rates will start to climb in the submarket. Value offices admittedly are less expensive options. "They're typically attractive products to users, providing class A services, but with the benefits of larger floor plates and much denser parking," he explains.
The other upside to a value office is it allows a tenant to control the interior environment. "The building owners spent more money on the exterior skin rather than inside" says Gary Altergott, principal with Houston-based Morris Architects, which landed the interior design assignment. He tells GlobeSt.com that matching the interior environment to corporate culture was particularly important to the folks at Men's Wearhouse. "There won't be a bunch of pictures and suits and ties on the walls. That isn't their culture," he says. "Their MO is service and great value for customers in an exciting environment. That's what the design will reflect." Faye Alleman of Morris Architects is the main designer.
Scot Ison, president of Axis Property Advisors LLC of Houston, steered the site search and lease talks for Men's Wearhouse, which now leases space at 5803 Glenmont Dr. Myers, Crow & Saviers Ltd., the building's developer, was self-represented.
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