X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

(To read more on the industrial market, click here.)

HOUSTON-After nearly eight months of searching, the Atlanta-based Hoovers Materials Handling Group Inc. has found a replacement site for its manufacturing and distribution center in Beatrice, NE. The firm has inked a 15-year lease, valued at more than $15 million for a 260,000-sf flex building in West Houston.

The deal for a 42-acre industrial building at 2135 Highway 6 was sealed at 25 cents per sf, triple net rate. John Clark, an associate with NAI Houston who helped put together the deal for the tenant, says Houston was a logical destination because much of its distribution activities already are located the area. “They were freighting all their containers down here. Instead of manufacturing them and freighting them down here, they decided to move down here to save costs,” he says.

The flex building was a logical choice because of its access to Interstate 10 and demographics of the work force. “We went city-wide with the search and ended up with two or three others on the short list,” Clark tells GlobeSt.com, adding Hoover Materials hopes to have the relocation completed by year end.

Clark adds that the extensive tenant improvements include converting a good portion of the 150,000 sf of office space into warehouse space. The company also plans on adding a 70,000-sf structure in 2007. He says the deal was somewhat of a challenge because of the improvements to the 1970s-constructed facility.

NAI Houston’s tenant rep team included Chris Caudill and Joe Michael. Doug Nicholson with Grubb & Ellis Co. in Houston represented the building’s owner, Dallas-based 2135 Six Industrial Ltd.

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?

GlobeSt. NET LEASE 2020Event

This conference brings together the industry's most influential & 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.