HOUSTON – (Realty News Report) – A Houston investment group called 1220 Augusta LLC has acquired a 112,867 square-foot office building, just west of the Houston’s Galleria area.
Christopher D. Winters and Jay Kyle of Colliers represented the owner of the property in the sale. The mid-rise building was constructed in 1983.
“Even during the challenges presented to the office market over the past year, interest in this property was surprisingly strong,” said Christopher D. Winters, Principal & Director. “The San Felipe/Voss submarket has always been a desirable market for many small to mid-size firms. The area’s convenient access to the Galleria area, retail establishments and high-end residential communities is a driver for many firms to relocate here. The new owners will occupy a portion of the space along with some existing tenants, with plans to lease-up the remaining space.”
1220 Augusta Drive is located in the San Felipe/Voss office submarket which is one of the smaller submarkets consisting of only 5.4 million square feet of office space. The average asking market rental rate is $26.46 per square foot.
A spate of Houston office buildings have traded in recent weeks.
Recently, David Z. Mafrige Interests purchased the World Houston Plaza, a 216,889 square foot office building located at 15710 John F. Kennedy Boulevard at a Ten-X auction.
In addition, Braun Enterprises recently acquired a 90,000 SF office property at 7155 Old Katy Road. David L. Carter and Taylor Wright of Colliers represented the seller of the Old Katy Road building, Houston Eye Associates.
Younan Properties, a Los Angeles-based investor that says it is targeting Houston real estate, has acquired aa 10-story building on Westheimer Road, its second recent purchase in Space City.
“This is our second large acquisition in the Houston market in less than two months. We are highly active in the Houston market due to the current market cycle and upside potential during the recovery,” says Younan Properties Chairman Zaya S. Younan.
Younan has acquired the 232,000 SF Royal Oaks Centre office building in the Westchase District of West Houston. The building, 11490 Westheimer at Woodland Park Drive, had been owned by California-based Hertz Investment Group since 2017. Danny Miller, head of Houston-based HDM Realty Advisors, represented Hertz in the sale.
Earlier this year, Younan acquired Two Westlake Park, a vacant, 17-story, 455,000 SF office tower located in the Energy Corridor. Bloomberg News. placed the sales price of Two Westlake at $19.25 million.
Houston office investment activity was sluggish in 2020.
May 4, 2021 Realty News Report Copyright 2021
File: Houston Office Building Sold
For more about Texas real estate, check out the book Houston 2020: America’s Boom Town – An Extreme Close Up by Ralph Bivins. Available on Amazon http://tiny.cc/4a2g6y
Photo credit: Colliers