Quadrant Investment Properties, Stream Realty Partners Launch Flex Office Leasing Strategy at Dallas’ St. Paul Place

Quadrant Investment Properties and Stream Realty Partners announced the launch of its flex office strategy, which will provide fully furnished and internet-enabled office suites on a short-term basis. The program is being piloted at the boutique St. Paul Place, located in the Dallas Arts District. “Since the COVID lockdown last March, we have seen increasing demand for flexible leases outside of coworking space,” said Chad Cook, founder of Quadrant Investments. “These tenants are looking for move-in ready office space on a shorter-term basis while still desiring their own controlled office environment. We are not changing the traditional real estate leasing model, but rather enhancing it by providing another option for prospective tenants.” The flexible leasing strategy enables short-term leases of six to 12 months of fully furnished modern office that includes internet, private conference room and kitchenette and tenants have full access to building amenities including outdoor lounge, community space, coffee, additional conferencing options and on-site food services. Stream Realty, a partner in the building, will continue to lead the leasing strategy at St. Paul Place. “We are excited to get this program into the market as the boutique nature of St. Paul Place provides a unique opportunity to address the demand for shorter term lease options while still providing a class A experience,” said Rhett Miller, vice president of Stream’s Dallas office. The program was developed in part to cater to companies that are uncertain about their long-term office needs or behind in their office search due to the current environment. The suites available at St. Paul Place range in size from 2,500 to 14,000 square feet with many offering elevator lobby exposure. The marketing of the flex program is being managed through the St. Paul Place website where prospective tenants can view spaces, book tours and find transparent pricing to allow for easy decision-making. “This is the next step in our strategy of making flexibility a central operating principal for every building we own,” said Cook. “Over the last year we have re-tooled our technology operations to make it easier for us to onboard, service, and support our customers in a timely manner. That operational foundation gives us the freedom to focus on this business strategy without worrying about the operational complexities.”

Development Depth: EDCs Protect Business, Encourage Growth During Pandemic

Success in the commercial real estate world has always been about the ability to evolve. Investors are constantly looking for what’s “next,” while developers keep an eye on what the market is asking for. Retailers need to know the trends that their customers will want. And economic development organizations must be able to pivot when their community indicates a change is needed. In so many ways, the COVID-19 pandemic has tested the evolutional capacity of EDCs throughout Texas and a number of them are passing with flying colors, helping the investors, developers and companies that call their towns home weather an incredibly challenging time. At the Greater Houston Partnership (GHP), the team shifted to a strategy of remote working, online meetings and virtual events in March, according to Craig Rhodes, senior director of regional economic development. “The traditional trade shows, conferences and outbound recruitment missions have been replaced with virtual industry roadshows, site consultant outreach and targeted business outreach activities,” he said. An example of that: GHP hosted a virtual business recruitment mission with Houston Mayor Sylvester Turner in October 2020 to connect with companies in Silicon Valley. The event followed up a successful delegation trip in 2019 meeting with California tech companies about the opportunities for growth in Houston. “The project pipeline has continued to stay active with new prospects considering relocations and expansions in the region. We have had multiple new projects announce this year including Amazon, Google Cloud and Greentown Labs,” said Rhodes. “We are currently tracking over 140 active projects in the pipeline, with manufacturing and logistics leading the industry sectors.” Similarly, the pandemic has changed operations for the City of Seabrook and its economic development arm, but economic development director Paul Chavez said his team is embracing the new normal. “We are utilizing new technologies and finding innovative and creative ways to communicate with prospects,” he said. In nearby La Marque, the EDC changed its focus from business attraction to business retention, delivering nearly $1 million in COVID Business Relief Grants to business owners. The funds helped keep the doors open after state-mandated closures had a profound impact on business owners of every kind, especially retail and restaurants. “Over and over, we’ve heard our business owners say that they wouldn’t have made it through the pandemic without our COVID Business Relief program. Rather than a big project slam dunk this year, we had hundreds of small businesses survive the 2020 COVID pandemic,” said Alex Getty, executive director of La Marque EDC. “That’s something we’re proud of and we’re in a great position heading into 2021.” There’s been no slowdown in prospect activity at all in Conroe, one of Houston’s fastest-growing suburbs. If anything, Conroe Economic Development Council executive director Danielle Scheiner said things are picking up, particularly for warehousing and logistics projects but also for manufacturing of consumer products. “We are still averaging 1,000+ homes a year with more and more sites in the early stages of development,” she said. Conroe’s EDC just celebrated the signing of its first occupant in the Deison Technology Park. VGXI, Inc., a manufacturer of plasmid DNA for vaccines and gene therapies, will move its headquarters to Conroe from The Woodlands. The state-of-the-art, 240,000-square-foot facility is expected to be operational in January 2022. “On the industrial side, we have five projects currently under construction in our two parks,” said Scheiner. “We still have some retail/commercial sites under construction, although I don’t anticipate any new ones starting anytime soon.” Retail, she expects, will be the sector hit hardest by the pandemic. Scheiner said many of Conroe’s local eateries and boutiques have held on so far, but they need the continued support of the community. In Seabrook, that’s exactly what customers have been doing. Sales tax revenue there has remained healthy, while other areas have taken hits. “Both retailers and restaurants in Seabrook offered and continue to offer services to meet the current needs of our residents and visitors. This in addition to our SEDC Emergency Business Retention Incentive has helped keep our economy strong,” said Chavez. The City Council’s planning and zoning commission is currently reviewing plans for a five-level, 170-room boutique hotel that would feature an extended stay complex of 76 guest suites. “Also included in the plan is a 23,700-square-foot conference center, 24,850 square feet of retail buildings for food beverage leases and a future proposed multifamily apartment building containing approximately 260 residential units,” Chavez said. “This development will be located with waterfront views of Clear Lake and only minutes away from I-45 and NASA Space Center.” Location, he points out, is as important as ever when discussing future development plans. “Being on Galveston Bay and Clear Lake with prime commercial property that fronts the water, Seabrook has numerous opportunities that are available for planned development,” said Chavez. “In a past survey when asked what makes Seabrook attractive and distinguishable from surrounding cities, the most repeated responses received from the community survey were: the waterfront, the potential for waterfront development, opportunities for water recreation (boating, fishing, etc) and coastal living.” The value of location is something La Marque EDC’s executive director also stressed. “COVID changed things but our position is as strong as ever. Our location along 45 and proximity to the Galveston-Kemah-NASA tourism market will continue to drive commercial development in our city,” Getty said. “Over the past decade our population has grown by more than 30 percent and we don’t see it slowing down as another new neighborhood development was approved by the City Council this fall.” La Marque’s EDC is also responding to business owners who are taking advantage of this time as an opportunity to renovate and improve their properties. “We’ve seen an uptick in business improvement grants, which is encouraging. We’re seeing everything from 50-year-old buildings getting facelifts to new signs and landscaping at some of our retail centers and even complete interior remodels in some of our local restaurants,” said Getty. Chavez agreed. “Businesses and developers continue to ask for feedback on the types of projects that would qualify for incentivizing,” he said, “and our track record shows that we are aggressive with coming up with deals that provide a solid return on investment for the community that also pushes the needle towards landing the project in Seabrook.” Prospective developers in Conroe are asking about anything that will help offset their overall cost of doing business, whether that be tax incentives or fast permitting approval. “Anything that allows them to operate more efficiently to help their bottom line,” said Scheiner. “They are interested in understanding how we approach incentives for jobs that might be working remotely. In our case, if the payroll is managed out of that facility, they can count those jobs regardless of whether they are working remotely or at the physical location.” Though the pandemic has certainly created challenges, Houston-area EDCs are stepping up to face those challenges in whatever way their communities need and will continue to do so to help businesses thrive.

Dalfen Industrial Expands East Dallas Footprint with Acquisition of Peachtree Distribution Center

Dalfen Industrial has acquired Peachtree Distribution Center from Clarion Partners at 17745 Lookout Road in the east Dallas suburb of Mesquite, Texas. Terms of the deal were not disclosed. Constructed in 2001, the property is a 396,750-square-foot, cross-dock, multi-tenant distribution facility within a minute drive of I-635—the loop around Dallas—as well as I-30, I-80 and the Mesquite Airport. The property includes 68 docks, ample car and trailer parking space and is 100 percent leased to three internationally recognized tenants–Dal-Tile Corp., Parker-Hannafin Corp. and Bronco Orora. “This acquisition is squarely within our strategy of focusing on infill in key markets,” said company president and chief investment officer, Sean Dalfen. “Dallas-Fort Worth has one of the strongest industrial markets in the nation, and the East Dallas Mesquite submarket is one of the best due to location, workforce and proximity to major highways.” The East Dallas Mesquite industrial submarket is a longstanding transportation center and is home to one of Dallas-Fort Worth’s major intermodal hubs for industrial development, attracting the undeniable attention of institutional investors and large-cap companies. “Adding Peachtree to our other two properties in the submarket (as well as one large property under development), Dalfen views this submarket as a perfect last mile location to service the rapidly growing north and east Dallas suburbs,” said Kevin Caille, market officer for Dalfen. With this acquisition, Dalfen Industrial currently owns and operates over 4.4 million square feet of last mile industrial assets in Texas and over 24 million square feet nationwide.

Stream Realty Partners Awarded 910,000-SF Leasing Assignment for Recently Renovated Office Towers

Stream Realty Partners’ Houston office has been awarded the leasing assignment for Riverway Houston, two Class A office properties totaling 910,000 square feet. Located near the southeast corner of Woodway Drive and South Post Oak Lane and owned by Unilev Management, Riverway Houston underwent a $35 million renovation program completed in 2019. “We are thrilled about the opportunity to continue our leasing success in the Riverway submarket,” said Brad Fricks, senior vice president at Stream. “The capital that the ownership has invested in the buildings, combined with the exceptional location of these assets, makes this an exciting assignment to work on. We can’t wait to show the market the new and improved One and Three Riverway.” The high-end renovations at Riverway Houston—which consists of One Riverway and Three Riverway—include modernized lobbies filled with glass, greenery, natural light, new coffee bars and tenant lounges with collaborative seating areas inclusive of complimentary Wi-Fi and multimedia services, state-of-the-art fitness and conference centers and a full-service food service in each building. Upon the completion of the infrastructure updates at Three Riverway, there will be a brand new outdoor green space with an event lawn, lush landscaping and a vibrant mural wall for all tenants to enjoy. “Riverway Houston is a unique project, and with the recent renovation, One and Three Riverway are well-positioned to welcome new tenants,” said Raymond Levy, co-founder and managing principal of Unilev Management. “Unilev and its partners are impressed by the professional presentation, track record and creative marketing approach of Stream Realty’s leasing team. We’re looking forward to working with Stream to bring a fresh perspective to the Riverway project.” Riverway Houston also offers abundant covered parking, 24/7 security and on-site ownership/management services. Riverway Houston has high-end office suites ready for occupancy and availabilities ranging from 1,000 to 40,000 square feet. An additional perk includes upper floor balconies accessible from tenant spaces showcasing stunning views of Houston. Recent enhancements to nearby Memorial Park prove beneficial to tenants as well, providing them with the opportunity to access all of the natural beauty and relaxation the park has to offer, including running/walking trails, tennis courts, biking, golf and much more. With convenient access to Loop 610, Interstate 10 and prominent neighborhoods such as Tanglewood and The Memorial Villages, the iconic buildings offer a premier Galleria address for tenants of all sizes. Stream’s office leasing team of senior vice president Brad Fricks and vice presidents Craig McKenna and Mathew Volz will be responsible for the leasing efforts on behalf of Unilev Management.

Hewlett Packard Enterprise Relocates Global HQ to Texas

AUSTIN, TX – Governor Greg Abbott today announced that Hewlett Packard Enterprise (HPE) will relocate its global headquarters to Spring, Texas from San Jose, California. The headquarters will be located in a new state-of-the-art campus that will open in early 2022, building upon the company’s established presence in the state of Texas. The company’s headquarters relocation to the Houston area holds the potential to add additional jobs to its already robust presence in Texas in the coming years. HPE already has a significant presence across Texas, with locations in Austin, Plano, and Houston — the latter of which is home to more than 2,600 employees and is the company’s largest employment hub. HPE currently operates major product development, services, manufacturing, and lab facilities in Houston and Austin. HPE is a global enterprise information technology company that helps customers drive digital transformation by unlocking value from all of their data. Built on decades of re-imagining the future and innovating to advance the way people live and work, HPE delivers unique, open and intelligent technology solutions, with a consistent experience across all clouds and edges, to help customers develop new business models, engage in new ways, and increase operational performance. The company was founded in 2015 following the separation from HP, Inc. It is currently ranked 109 on the list of Fortune 500 companies. “We are excited that Hewlett Packard Enterprise has chosen to call Texas home, and I thank them for expanding their investment in the Lone Star State by relocating their headquarters to the Houston region,” said Governor Abbott. “Hewlett Packard Enterprise joins more than 50 Fortune 500 companies headquartered in the Lone Star State, including 22 in the Houston area alone. That is because Texas offers the best business climate in the nation. Our low taxes, high quality of life, top-notch workforce, and tier one universities create an environment where innovative companies like HPE can flourish. We look forward to a successful partnership with HPE, as together we build a more prosperous future for Texas.” “As we look to the future, our business needs, opportunities for cost savings, and team members’ preferences about the future of work, we are excited to relocate HPE’s headquarters to the Houston region,” said Antonio Neri, CEO of HPE. “Houston is an attractive market to recruit and retain future diverse talent and where we are currently constructing a state-of-the-art new campus. We look forward to continuing to expand our strong presence in the market.” “HPE’s headquarters relocation is a signature moment for Houston, accelerating the momentum that has been building for the last few years as we position Houston as a leading digital tech hub,” said Bob Harvey, president and CEO of the Greater Houston Partnership, the economic development organization serving the Greater Houston area. “Houston has long been a hub for global innovation and offers leading tech companies a deep bench of digital and corporate talent to drive success. We are excited HPE leadership recognized this, and look forward to welcoming the headquarters team to Houston.” “It’s a smart relocation move for HPE to come to Texas, bringing their Corporate Headquarters to North Harris County! These are great 21st century jobs for Texans,” said Senator Paul Bettencourt. “As one of the State Representatives for the Spring area, I am elated that Hewlett Packard Enterprise has chosen to relocate their new Global Headquarters to Spring. New business growth such as this is one of the primary economic drivers to look forward to in an area that will see tremendous job creation, providing new innovation and opportunity for our communities. HPE’s “state-of-the-art” facility will add another jewel to the crown that is our community and our home. With the impact this year of COVID on our local businesses, the addition of a world class technology headquarters will be a welcome indication of a brighter future,” said Representative Sam Harless. In addition, Governor Abbott released a video to celebrate the announcement.

Source: Office of Governor Greg Abbott

HOM Condominiums Completes Construction & 40% Sold Out

With Construction Complete, Prospect Real Estate Says Remaining HŌM Condos Will Sell Quickly Prospect Real Estate Now Conducting Walkthroughs and Closings for HŌM Condominiums in Prime East Austin

Locale AUSTIN, TEXAS—December 1, 2020. Austin-based Prospect Real Estate—a full-service, family-owned and operated boutique residential real estate firm focusing on Austin’s evolving urban core—today said with construction of the highly anticipated HŌM Condominiums complete, interested parties should move quickly to secure one of the remaining residences. “HŌM is currently 40% sold out, and the residences will be move-in ready in this month,” said Emily Lee, founder, principal and broker of Prospect Real Estate, which has the exclusive sales listing for HŌM. “We are conducting walkthroughs and scheduling closings for the sold units now, and we anticipate the remaining 35 available units will sell quickly.” Located at 3101 Govalle Avenue in a quiet, residential area of East Austin, HŌM will offer the perfect blend of peaceful residential living and luxury amenities. Its target audience is predominantly local residents who want a more urban lifestyle. HŌM Condominiums feature the atmosphere of a single-family home in a park-like setting that is walkable and dog-friendly, combined with the benefits of community luxuries and low-maintenance upkeep in a prime location. The property is situated just around the corner from the eclectic bars, shops, cultural centers and restaurants of East 7th Street, and moments away from downtown’s vibrant culture and nightlife. Lee projects HŌM will be completely sold out by the end of the year. Seven of the original fourteen floorplans are still available, ranging from $339,000 to $509,000. HŌM residences feature quartz countertops; stainless steel appliances; wood-style flooring; designer tile in kitchens and baths; designer cabinetry; media walls in living rooms; and kitchen islands, full pantries, walk-in showers, large balconies and private yards (in select units). All residents will enjoy reserved, gated-access parking; a community courtyard that is perfect for gatherings of families or friends; a community pool with conversation cove and tanning ledge; and eco-friendly landscaping that controls rain overflows. The architect for HŌM is Mark Hart Architecture, the general contractor is Bartlett Cocke, and the civil engineer is the Wuest Group, all of the Austin area.