Category: Focus October – 20

CBRE Relocating Corporate HQ to Dallas

Posted on by Sarah

CBRE Group Inc. is moving its corporate headquarters from California to Dallas, according to multiple sources with knowledge of the deal. The company is already a major player locally with at least four offices in North Texas, including its main office at 2100 McKinney Avenue in Uptown. CBRE’s current headquarters is listed as 400 South Hope Street in downtown Los Angeles. Some of CBRE’s top executives are already based in Dallas, including the company’s CFO, Leah Stearns, and CBRE’s global CEO of real estate investments, Mike Lafitte. The company’s local operations are headed by Michael Caffey, president of advisory services for the South-Central Division and Latin America. CBRE’s top executive is president and CEO Robert Sulentic, a former Trammell Crow Company chief executive who was named CEO of CBRE after the Los Angeles-based firm acquired the Dallas-based development and property management company in 2006.

Lubbock Charter School Acquires 68,000-SF Site of Former Call Center

Posted on by Sarah

Coldwell Banker Commercial represented ownership in the sale of a 68,124-square-foot former Convergys call center in Lubbock, Texas. The original asking price for the property was $7.5 million. The selling price was not disclosed. The office property is located at 3701 W Loop 289 and was constructed in 1997. The building is fully ADA compliant, has 490 parking spaces and is three miles from Texas Tech University. Operations were discontinued at the call center in 2018 after a Convergys-outsourced provider closed the center. Harmony Public Schools, out of Houston, was the buyer of the facility. “The Loop 289 property is an excellent and well-located facility, but a bit unique, so we had to find just the right buyer,” said Scott Womack of Coldwell Banker Commercial Capital Advisors. “The original intent was to close the sale this past Spring, but the pandemic delayed the original acquisition date. We worked closely with the buyer and seller to ensure that the deal stayed on track.” The buyer intends to use the location to house a charter school for grades 1 through 12. The Lubbock area has experienced consistent population growth over the past decade and, with growth, comes the demand for more educational facilities.

Industrial & Innovation; Dallas-Based 42Real Estate Digs into New Projects

Posted on by Sarah

As an interviewer, it’s tough to talk to 42 Real Estate founder Scott Rohrman and not ask about Deep Ellum, what is now the arts and entertainment neighborhood in east Dallas, but he graciously talked about Deep Ellum, so long as we could discuss his other love: industrial real estate. “Deep Ellum was just a complete departure from what we’d done before,” said Rohrman, adding, “Although urban revitalization is now also part of our DNA.” Though his company’s name is inextricably linked to the reinvigoration of what had been a largely industrial and neglected area into a successful restaurant, bar and venue scene, 42 Real Estate’s foundation is industrial built-to-suit projects. “In the past 20 years, we’ve built about $1 billion worth of industrial,” Rohrman said, “And we’ve developed projects in 26 states, plus Canada.” Before forming 42 Real Estate, Rohrman served as a partner in two separate commercial real estate development companies. He also logged time at brokerage firms The Stratford Group and Fischer & Company after working as a broker at Grubb & Ellis / Henry S. Miller Company, where he started his career. You’re no doubt wondering about the company name. Why 42? Rohrman likes to play coy with the answer. 42RealEstate.com has an entire page dedicated to the explanation of the name, or possible lack thereof. The verdict, really, is yours. Another unique feature of the firm is its approach. Its team is divided into development management, construction management and property management because, you see, the firm does it all. Rohrman says that over the years, people have suggested hiring a construction manager and/or a property manager for his projects as that may be more efficient. Maybe so, he acknowledges, but it would also be less personal. Click to read more at www.rednews.com.

CRE Superheros (Who Happen to be Women): Texas Pros Share Their Tales of Challenges Met, Successes Won, and Ceilings Busted

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From the Metroplex to the bayous to Hill Country, women have used their experience, knowledge, insight and intuition to help shape Texas commercial real estate. This issue is a celebration of their collective achievements, as well as an opportunity to recognize their continued fight for equal footing in what has been a male-dominated industry for decades. Even today, women only account for roughly 37 percent of all professionals in CRE, according to a 2020 report by CREW. “Women don’t see this as a career path,” says Susan Arledge, ESRP’s executive managing director of site selection. “They need to know this is a gender-blind industry. By that, I mean your career is driven by how much effort you want to put into it.” REDNews connected with CRE pros from all over the state to learn their keys to success that will, hopefully, unlock doors for more women in the future. “How do you stay in the business? You just have to live with the belief that it’s going to get easier and more profitable the longer you’re in,” laughed Arledge. It’s something she says she had to believe wholeheartedly when she started in commercial real estate in the late ‘70s. Arledge had just left a job at an oil and gas company and landed a spot at Henry S. Miller, where she only knew of one other woman on the staff. She quickly learned her success would be dictated by how much she invested in it. Click to read more at www.rednews.com.

Now’s the Time to Invest in Texas

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Alfredo Gutierrez, founder of SparrowHawk Real Estate Strategists, didn’t mince words. His firm specializes in the industrial market and the Lone Star State, he thinks, is the place to be. “With everything that’s happening with e-commerce right now, it’s ready to go,” Gutierrez said. Look to Central Texas for proof. When the pandemic hit, online retail quickly became an essential part of everyday life. “We have seen major e-commerce tenants and last-mile distributors scramble to secure quality infill warehouse space and expand into developing parts of the city,” said Kevin Cosgrove, vice president of Stream Realty Partners. “Many companies have decided to outsource their distribution / final mile operations to 3PL providers in the near term.” Now’s the time to invest in Texas 4958 Stout Drive, a 102,000-square-foot industrial space just east of downtown San Antonio. He also expected an influx of auto-related distribution and light manufacturing requirements in San Antonio in the next few months after Tesla announced it would open its Gigafactory in Austin, what Cosgrove called “a huge win for the region.” Today’s market may have been what CRE insiders hoped for, but few could have predicted the rollercoaster that was the first half of 2020. “We experienced record positive absorption in 2019 and steady rent growth in our core submarkets, but understood that we could be facing a downturn after a decade of economic growth,” Cosgrove said, explaining why Stream was cautiously optimistic heading into this year. Just in the past month, he listed 4958 Stout Drive, a 102,000-square-foot industrial space just east of downtown San Antonio. In addition to its prime location near the I-10 and Loop 410 interchange, the building is 100 percent climate controlled and offers tenants the ability to utilize an adjacent 2.5-acre fenced yard. Click to read more at www.rednews.com.