Category: Southeast Texas News DO NOT USE

Bowman Expands Texas Operations Through Acquisition of Houston and San Antonio Based Terra Associates, Inc.

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Bowman Consulting Group Ltd. (the “Company” or “Bowman”) (NASDAQ: BWMN), today announced it had entered into a definitive purchase agreement for the acquisition of Terra Associates, Inc. (“Terra”). Closing is scheduled to occur on December 31, 2021, subject to customary closing conditions. Headquartered in Houston, Texas, Terra delivers civil design and engineering solutions to clients focused on traffic and transportation planning, water-wastewater solutions, landscape and irrigation systems, office and industrial facilities, and multi-family development. Under the continuing leadership of Vickie Henkel, Terra’s staff of 30+ professionals work from offices in Houston and San Antonio for both public and private sector clients. In connection with their water-wastewater practice, Terra serves in the role of District Engineer for several Texas-based Municipal Utility Districts (MUDs).

“Terra is a company with a forty-year heritage of serving eastern Texas,” said Gary Bowman, CEO of Bowman. “The leadership of Terra has surrounded themselves with a team of committed and energetic professionals who will all be great additions to Bowman. We have been intent on growing our Texas operations and this acquisition, following closely on the heels of our acquisition of 1519 Surveying, fortifies Bowman’s presence in the Lone Star state. Terra’s experience in commercial site work, transportation design and utility district services are highly complementary to our portfolio of services and align with our growth plans and evolving market demand. I am pleased to welcome everyone at Terra to Bowman and I am excited about the potential for our future together.”

“Choosing to join Bowman was an easy decision,” said Vickie Henkel, CEO of Terra. “Bowman’s approach to growth is very exciting to all of us at Terra. We’ve gotten to know the leadership at Bowman over the course of the acquisition process and we all feel very comfortable with the decision. Their commitment to helping our leadership and staff grow without changing the core of who we are is a big part of what makes us excited about this opportunity. The opportunity to be a part of an entrepreneurial public company is both exciting and energizing. We are all looking forward to the future as a Bowman company.” Click to read more at www.valdostadailytimes.com.

Houston-Based Asset Living Acquires JMG Realty

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Asset Living, a Houston-based leader in the property management sector, announced today that it has acquired JMG Realty, a real estate company specializing in the development and management of multi-family communities, headquartered in Atlanta. With the addition of JMG, Asset Living expands its footprint into the Southeast by adding more than 20,000 multi-family units and a new corporate office in Atlanta. This is the second acquisition for Asset Living in 2021.

“We began our conversations with Ryan McGrath many months ago and are delighted to be joining the Asset Living brand that shares similar principles as well as a history of establishing a loyal client base throughout the years,” said Karlton Jackson, CEO of JMG Realty. “After working with Ryan’s team to make this acquisition possible, I am confident that we’ll accomplish many amazing things together in 2022 and beyond.”

With over two decades of experience and approximately 575 employees, JMG Realty brings expertise in management, redevelopment, financial, and investment services for multi-family, affordable, and build-to-rent real estate properties servicing both private and institutional owners. The company has both regional and divisional offices located throughout the Northeast, Mid-Atlantic, Southeast, and Southwest.

“I’m excited to welcome JMG to the Asset Living family—it was an honor to collaborate with both Karlton and Tim to make this venture a reality,” said Ryan McGrath, CEO and President of Asset Living. “Don’t be mistaken, just because the acquisition is official doesn’t mean that we’ll be slowing down anytime soon. Now, the real work begins. Our plan is to continue this momentum of growth into the new year.”

This acquisition is an investment in Asset Living’s multi-family, affordable and build-to-rent portfolios from both a growth and geographical expansion perspective. The change will also bring new opportunities and resources to JMG employees, who will also have access to new tools and technologies to best serve clients.

“This is an exciting time to be joining the Asset Living brand,” said Tim Brock, President of JMG Realty. “We’ve been so impressed by Asset Living’s ability to grow while maintaining best-in-class client service, and we’re excited to bring that same drive to the Southeast.”

In November, Asset Living announced the company had acquired Dallas-based City Gate Property Group. Last year, Asset Living strategically acquired three organizations, growing by more than 60 percent in one year. McGrath plans to continue expanding the company’s footprint to bring Asset Living’s partners industry-leading talent and an enhanced suite of services.

Houston Office | Monthly Market Snapshot | December 2021

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Houston Office market vacancy at 25.4%.

HOUSTON OFFICE VACANCY STILL PUSHING UPWARDS
The vacancy rate increased 180 basis points to 25.4% as of November 30, compared to this time last year at 23.6%. Almost 2.6 million sq. ft. has been delivered to the market in 2021, with half of that space available for lease. At a time when leasing activity hasn’t returned to pre-pandemic levels, overall office net absorption registered at negative 2.4 million sq. ft.

CONSTRUCTION JUST UNDER 2.5 MILLION SQ. FT.
As of year-to-date November 30, 2021, there is 2.4 million sq. ft. under construction, representing non-owner-occupied buildings 20,000 sq. ft. and over. The submarket with the most square footage under construction is the Texas Medical Center, underscoring continued momentum toward life sciences office product. Texas A&M and partner Medistar are underway on construction of the 510,000-sq.-ft. Horizon Tower—a state-of-the-art life sciences building—at 6929 Main Street, which is expected to deliver in Q1 2023.

FUTURE JOB GROWTH EXPECTED FROM SECTORS OTHER THAN ENERGY
Houston shed 361,400 jobs at the start of the pandemic, but the metropolitan area has since recovered about 74.4% of those positions, according to the Greater Houston Partnership’s annual employment forecast. About 8,700 jobs are expected to be added in the professional, scientific, and technical services sector, which includes office-using industries such as accounting, engineering, architecture, and law to name a few. However, it’s not clear how many of the office-using jobs will translate to the need for more office space. Click to read more at www.naipartners.com.

Elandis Acquires 569-unit Multifamily Communities in Houston

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HOUSTON, Nov 2021 –Elandis, a real estate ownership and property management company, today announced that it has acquired Hudson & Crosby at Westchase, two multifamily communities with a combined 569 residential units in Houston.

Located at 2909 Hayes Rd., Houston, Texas, the two-story properties ideally match Elandis’s stated goal of acquiring workforce housing communities throughout the Sun Belt states. The acquisition price was not disclosed.
The centrally located communities, which were built in 1980, have three shopping centers within a half mile for ease of shopping and for meeting residents’ everyday needs. It is also within easy access of major thoroughfares.

Hudson & Crosby at Westchase feature one-, two- and three-bedroom residences, along with shared amenities which include a swimming pool and clubhouse, covered parking, business center, and a fitness center. The communities will benefit from a comprehensive in-unit upgrade program, along with upgrades to its common areas and amenities. Click to read more at www.elandis.com.

Major Texas Retail Markets are Back to Pre-pandemic Vacancy Levels

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The pandemic hasn’t exactly been kind to retailers as residents across the nation were asked to stay home for months on end last spring and summer. However, despite the ongoing nature of the COVID pandemic, there are not only signs of life for Texas retail, but an indicator that the health of the retail market is strong. Recent reports from NAI Partners specifically look at the markets in Austin, San Antonio and Houston, and offer compelling evidence of a return to normalcy.

Perhaps the biggest story in Texas retail at the moment is the success of the San Antonio market. According to the NAI Partners report, San Antonio retail rents have actually reached a new all-time high. Inflation concerns aside, the average triple net lease asking rent has risen by nearly a dollar from $16.08 in October 2020 to $17.06 this October. Vacancy and availability is also down in San Antonio. The current vacancy is just 5.2% while the availability rate is just under 7%.

The report also notes that this October was the first time in three years that the amount of net absorption was higher than the volume of deliveries between January and October, suggesting that demand is beginning to outpace supply.

There were a number of big deals that helped push the leasing activity well over 2 million square feet. Floor and Decor took 91,000 square feet at 13905 North I-35 while gyms LA Fitness and Crunch Fitness leased 50,000 square feet and 30,000 square feet respectively.

The story is similar in Austin as the city continues to witness tremendous population growth and investment. The vacancy rate currently hovers just under 4%, which is the lowest rate in three years, according to the report. This means that this is not only back to a pre-pandemic vacancy level, but this level of low vacancy predates the pandemic by at least a year. A year prior, the vacancy rate was slightly higher at 4.6%.

Also similar to San Antonio, overall availability is down and net lease prices are up. The overall availability this October was 5.7% — down from 6.3% a year prior — while triple net lease rents were up a few cents to $21.38.

There is less than 700,000 square feet of new retail space under construction in Austin, which could see vacancies and rents continue to head in the same direction as demand increases. Leasing activity was more or less unchanged between October 2020 and October 2021 at 1.78 million square feet.

Notable leases include H-E-B’s 102,000-square-foot lease in Liberty Hill and a 62,000-square-foot lease in Taylor, the report highlights. Ashley HomeStore claimed a 40,000-square-foot space in Cedar Park, also making it one of the biggest lease deals of the year for Austin.

And finally, we take a look at the Houston retail market, which is also quickly gaining ground. Unlike the office market, which has struggled in this last year, the retail market in Houston is back to pre-pandemic vacancy levels, the report reveals.

Overall retail vacancy was down to 5.8% this past October, which is a slight improvement from 6.1% during the same period in 2020. Availability is mostly unchanged at 3.925 million square feet versus the 4.046 million square feet from October 2020.

However, the big story here is leasing activity and net absorption. Year-to-date, Houston has witnessed 6.39 million square feet of lease deals and had 4.87 million square feet of space absorbed. The net absorption is almost double the number from the same period of January-October 2020. In fact, it’s the first time since 2016 that the city has seen a similar absorption rate, the report indicates.

The leases highlighted in the report include a 136,000-square-foot deal by Target in Montgomery County, the 77,697-square-foot lease by AXXA Auto on Gulf Freeway and Hobby Lobby’s 56,000-square-foot lease renewal in Willowbrook.

VLK Architects and Bridgeland High School CANstruction® Houston Team Takes Home Three Awards at the 25th Annual Competition and Exhibition

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(Houston, Texas) – On November 6th, the VLK Architects employees participated as the Professional Mentor to Bridgeland High School students of Cypress-Fairbanks Independent School District for the 25th Annual CANstruction® Houston Competition and Exhibition. The VLK Architects and Bridgeland High School CANstruction® Houston team received three awards, the People’s Choice, Most Cans, and Best Meal.

CANstruction, Inc.® was founded in 1992 and now has competitions in 200 participating cities. Professionals from the architecture, engineering, and construction industries team up to showcase the talents of design and construction industry professionals and students they mentor in this annual event. All proceeds are donated to benefit the Houston Area Food Bank (HAFB).

“Stop Hunger” was the 2021 competition’s overall theme, and “Good Night Hunger” was the theme of the VLK Architects and Bridgeland HS team’s structure. They used over 6,900 taco-inspired canned food items to feature the story behind Vincent Van Gogh’s painting, Starry Night. The team members found Van Gogh inspiring due to his ability to look past his hospital room’s barred windows to see the true beauty of the night sky.

“Couldn’t be prouder of Bridgeland High School for all their hard work,” said Krista Thomas, captain of the VLK Architects/Bridgeland HS team. “The students helped by solving some design challenges and also helped collaborate ideas to make our CANsculpture come to life. We are ecstatic to have been able to help the Houston Food Bank. We hope that through this event, we can impact the lives of those in our surrounding community.”

The competition had sixteen team structures on display at Understory in downtown Houston from November 7-13th. The awards were announced on November 15th. Every canned food item used in this competition was donated to the Houston Area Food Bank.

VLK Architects and Bridgeland High School would like to extend a special thank you to the 2021 team sponsors, Griesenbeck, Kroger, Acme Brick, and Bridgeland™.

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About VLK Architects: With offices throughout Texas, VLK Architects provides architecture, planning, and interior design services to automotive, K-12, higher education, corporate, and institutional clients throughout Texas. For more information, please visit our website: www.vlkarchitects.com or contact 817-344-0344 or tbartley@vlkarchitects.com.  

About CANstruction®: CANstruction® is a unique international nonprofit organization that hosts competitions, exhibitions, and events showcasing colossal structures made entirely out of full cans of food. After the structures are built, the creations are displayed to the public as a giant art exhibition. At the end of the viewing, all food is donated to local food banks. For more information, please visit their website: //www.canstruction.org.