HOUSTON-American Spectrum Realty Inc. has added the 400,000-sf Beltway Industrial Park to its portfolio in an off-market transaction. Similar properties are trading for $47 per sf to $53 per sf in the West Houston submarket.
American Spectrum president and CEO William J. Carden says the transaction with the local developer was a difficult one because the park consists of 23 buildings. "This had different buildings and three different lenders," he explains. "It was marketed last year. The way I understood it, a lot of people passed on it because of that." Beltway Industrial Park consists of 12 buildings at 11875 Little York Rd.; six buildings at 6525 Cunningham Rd.; and the balance at 6529 Cunningham Rd.
According to Internet research, Camco Development Co. of Houston built the park. The buildings were developed in the past 10 years.
Positioned one mile west of Beltway 8 and Hwy. 290, the park is 73% leased to tenants like Commercial Interior Products, Electro-Tech Industries Inc., South Coast Technology Inc. and GLZ Distributors LLC. American Spectrum's in-house team will oversee management and leasing.
Carden tells GlobeSt.com that his company will definitely upgrade and rehab the project, but he wasn't sure to what extent. In addition, he says there could be further development on the 30-acre plot.
The buy boosts American Spectrum's portfolio to two million sf of office and industrial space in Texas, Arizona, South Carolina and the Midwest. Carden acknowledges the company would like to buy more in Houston. "We're looking at various projects right now in Texas, but nothing is solid at this time," he adds.
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