X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

HOUSTON-Time to sell, says the owner of a 79,000-s industrial flex building in the west Houston Energy Corridor. The decision by Techniplex 10 Ltd, an entity controlled by Dallas-based Harkinson Investment Corp., comes after a successful repositioning for 100% occupancy and marrying rent to market averages.

Techniplex Business Center LLC is the buyer of record for 16203 Park Row. David M. Boyd of Boyd Page represented the seller in the deal and Boyd Page’s Ed Page acted for the buyer, a newly formed entity of a Houston investor.

Boyd tells GlobeSt.com that the seller owned the building for five years and predicated the decision to sell upon meeting goals set for the site at purchase time. The fully leased structure provides space for smaller energy and services firms that cater to high-profile clients such as BP, Amoco and ExxonMobil.

In the last five years, Energy Corridor rent has spiked, solidifying the recovery from the mid-1980s recession. The mark-up has been considerable, says Boyd.

Seller Harkinson Investment Corp.’s portfolio mainly consists of industrial flex buildings in the Dallas-Ft. Worth region, says Boyd. Each of the 12 units in Houston’s Park Row building has a flex component with office finishes from 25% to 100%.

Boyd, who focuses on the industrial markets in northwest Houston and west Houston, as well as user building sales, tenant and landlord representation and investment sales, says the Houston market as a whole is gaining mixed reviews from brokers. He is seeing a general softening in the industrial market in the past few months. Boyd says many believed the Houston market would remain strong due to the velocity of the energy industry, but there’s a definite softening as oil prices steadily drop.

Boyd’s concerns also extend to the northwest industrial market, which, he says “is close to overbuilding.” He believes it will take about 2 1/2 years to absorb all of the product coming on line in that submarket.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

Dig Deeper

GlobeSt. NET LEASE Awards 2020Event

These awards honor the industry's most influential and knowledgeable real estate executives from the net lease sector.

Get More Information
 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.