JLL Capital Markets closes sale of two-building office portfolio in Sugar Land

JLL Capital Markets has completed the sale of and arranged financing for The Offices at Kensington, a two-building, Class-A office complex totaling 171,055 square feet in Sugar Land, Texas.

JLL represented the seller, Buchanan Street Partners, in the sale of the property to DML Capital. In addition, JLL worked on behalf of DML to secure the fixed-rate acquisition loan.

The Offices at Kensington is located at 1600 and 1650 Highway 6, at the intersection of Highway 6 and Interstate 69, Sugar Land’s “main and main” intersection. The property is highly visible to the 157,000 vehicles per day that pass through this intersection and is close to many of Houston’s major thoroughfares, providing a convenient commute to the residential communities in the western and southern suburbs of Houston. Additionally, The Offices at Kensington are close to a variety of retail, restaurant and entertainment offerings in the Sugar Land area.

The four-story buildings are 84.1% leased to a diverse rent roll of tenants in the real estate, accounting, engineering and consulting industries, among others. The properties are comprised, primarily, of suites under 5,000 square feet, which fits the needs of smaller office tenants that dominate the Sugar Land market.

JLL’s Investment Sales & Advisory team representing the seller was led by Senior Director Rick Goings and Managing Director Marty Hogan.

JLL’s Debt Advisory team representing the borrower was led by Managing Director Michael Johnson and Director Michael King.