Tom Melody, vice chairman in Houston for CB Richard Ellis, saysthe San Francisco-based CR Commercial Property Fund III is closingout. With the 35-story Total Plaza at 1201 Louisiana St. now sold,there's just one more to go--a 224,735-sf building at 801 TravisSt. Melody and CBRE vice chairman Jack Fraker in Dallas arescheduled to close that deal for the seller within two months.

"The second reason for the sale is they've focused on landacquisition for the past couple of years as opposed to office andthey're trying to sell their office product," Melody says. He tellsGlobeSt.com that Coast Ridge has bought 7,000 acres nearAlbuquerque and 10,000 just outside Austin in the past 18months.

Melody points out that Total Plaza's upside potential lies inthe 12% vacancy and steadily increasing CBD rents, which havejumped up $5 per sf to $10 per sf in the past year. "There are alsogood, institutional-quality tenants there," he says, "and it's myguess that internal growth alone will account for increasedoccupancy over the next 12 months." Meanwhile, he says the tenantroster has no immediate roll. The 88%-leased asset's top tenantsare Total Petrochemicals USA Inc., PricewaterhouseCoopersInternational Ltd., Reliant Energy Inc., Eni Petroleum Co. Inc. andHillcorp Energy Co.