Category: News & Market Reports

Buying Time: Austin’s Retail Market Can Wait Out the Pandemic

Posted on by Sarah

Think back in time five quarters or so. At the end of 2019, brick-and-mortar retail was feeling the pinch of e-commerce. Virtually everywhere in the country, landlords struggled as storefronts went dark. Virtually everywhere, that is, but not in Austin. “We were not experiencing pre-pandemic challenges in market demand within the Austin MSA,” said Kevin Murphy, vice president on NAI Partners’ retail services team in Austin. “The increased cost of property taxes was causing downward pressure on rates. Nonetheless, development and demand remained healthy.” The key component of this unexpected performance is population growth. Between 2010 and 2019, U.S. Census figures show that Austin grew by over 177,000 residents, moving up the country’s list of most populous cities from 14th to 11th. Where the people go, so to do physical retailers, even in the age of online shopping. That was 2019; then 2020, of course, altered the trajectory of this and every other asset class. With COVID-19 leaving patrons unable or unwilling to go out to restaurants, stores, bars, bowling alleys and every other type of retail establishment, the sector took a hit. But again, Austin’s retail market proved to be slightly more resilient to the effects of the pandemic. According to NAI Partners data, the metro’s year-to-date retail occupancy rate at the end of October 2020 hovered around 95.2 percent. That’s nearly on par with the year-to-date figures from the previous October, which stood at 95.7 percent. “Austin continues to experience strong population growth numbers,” Murphy said, “with absorption of existing retail and back-filling of struggling tenants being healthy and strong.” Click to read more at www.rednews.com.

NAI Partners Arranges Sale of O’Reilly Auto Parts Retail Property

Posted on by Sarah

NAI Partners recently arranged the sale of a 7,225-square-foot O’Reilly Auto Parts retail property for Agree Stores, LLC at 8142 Kitty Hawk Road in Converse, Texas. NAI Partners’ Joe DeCola along with Cole Flanagan of Investment Property Advisors represented the seller in the transaction. Terms of the deal were not disclosed.

Asite Becomes a Member of Construction Industry Institute at the University of Texas

Posted on by Sarah

Asite has joined the Construction Industry Institute (CII) based out of the University of Texas in Austin. The CII is a consortium made up of over 140 leading owner, engineering-contractor and supplier firms from both the public and private sectors, brought together to enhance the business effectiveness and sustainability of the capital facility life cycle through CII research, related initiatives and industry alliances. “For over 30 years, CII has been working to apply research and best practices to create positive change in the industry,” said Chris Peters, Asite senior vice president of North America. “Here at Asite, we are thrilled to be joining the CII and become part of this effort to identify opportunities and invoke true change.” The CII creates competitive global market advantages for its members through its research-based and member-driven creation of knowledge and CII best practices. Working with the CII will help provide Asite with a decisive industry edge and provide the company with access to leading academics, identifying the most significant opportunities for industry improvement. “We are delighted to join the Construction Industry Institute (CII) based here in Texas. Our membership with CII is a perfect fit for Asite as we share the value of working collaboratively to develop the innovative solutions that will, ultimately, drive our industry forward,” said Gene Brieck, Asite vice president of sales for North America. “Working as an R&D research lab for capital projects, CII is consistently at the forefront of new industry developments, and we are excited to now be part of this team and that journey.

The J. Beard Real Estate Company Facilitates Sale of 10,000-SF Office Building in Tomball, TX

Posted on by Sarah

Neal King of The J. Beard Real Estate Company has represented Lone Oak Holdings, LLC, in the sale of a 10,000-square-foot office building situated on 9.5 acres of land in Tomball, Texas at 1600 East Hufsmith, adjacent to the new Broussard Community Park near F.M. 2978. The property includes a 2,500-square-foot warehouse and recreational area that has a baseball field, volleyball court, shaded pavilion and outdoor restrooms. Joseph Pantoja of Realm Real Estate Properties represented the undisclosed buyer, who will use the property for business operations.

Stream Houston Closes Massive Lease Transactions at New Industrial Park

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Stream Realty Partners’ Houston office has closed four lease transactions totaling over 212,800 square feet at Waypoint Business Park in the third and fourth quarters of 2020. The Stream industrial team of Matteson Hamilton, Justin Robinson and Woody Hillyer represented ownership, a joint venture of 4M Investments and Clarion Partners, LLC, in the transactions. “We’re thrilled about the tremendous interest in the property and are excited to welcome the newest additions to Waypoint.” said Tripp Rice, partner at 4M Investments. “With the site’s unparalleled location in the heart of Houston’s Southwest Industrial market, combined with the unprecedented high demand it is experiencing, we are confident this momentum will continue into 2021.” The recent tenant signings included Advanced Wheel Sales’ 65,520-square-foot lease in Building 2; Edvivi Lighting’s 52,210-square-foot lease in Building 3; Rasa Floors’ 25,169-square-foot lease in Building 4 and Texas Plumbing Supply’s 69,865-square-foot lease in Building 2. Delivered in the first quarter of 2020, the project consists of four buildings totaling over 700,000 square feet with the potential for a second phase of construction in the near future. “There’s no denying that demand remains strong in the Southwest Houston Industrial market, and we expect this to continue as we enter 2021,” said Hamilton, a partner and senior managing director in Stream’s Houston office. “From our perspective, Southwest Houston has been one of the most active submarkets this year. We are confident that despite new supply that has recently delivered in the submarket, Waypoint will continue to out-perform and increase occupancy in the near future.” The park encompasses 60 acres in southwest Houston’s Missouri City, with excellent ingress/egress to Beltway 8 and Highway 90, and S Gessner Road via Cravens Road. In recent years, this area of Houston has become known as a primary distribution hub for logistics and last-mile companies due to its immediate access to major highways and distribution centers. 496,000 square feet remains available for lease at Waypoint Business Park.

Former Williamson-Dickie Manufacturing HQ Listed For Lease

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Transwestern Real Estate Services is the exclusive leasing agent for 319 Lipscomb Street, a 21,548-square-foot, two-story office building in Fort Worth. Rebranded as The Schoolhouse on Lipscomb, the site is the oldest standing school building in Tarrant County and was named to the U.S. National Register of Historic Places in 1983. Originally built in 1892 in the Richardsonian Romanesque style, the building served as the Stephen F. Austin Elementary School until 1977. Famed golfer Ben Hogan and actress Ginger Rogers both attended the school. After purchasing the building in 1980, Williamson-Dickie Manufacturing Co. renovated the space to use as its corporate headquarters until 2020, when the company moved to its current headquarters at 509 W. Vickery Boulevard. Transwestern principal Whit Kelly and associate Dallas Margeson represent the property owner. “This history-rich building offers a one-of-a-kind chance to lease a beautifully designed space in a submarket that has seen incredible growth in recent years,” said Kelly. “Opportunities for single or multi-tenant use are extraordinary, and the design of the schoolhouse only supplements the tenant experience within the unique space.” The campus features multiple expansive executive offices with private restrooms, conference rooms, a catering kitchen, walkable outdoor green space with room for amenities, original chalkboards in most offices and ample parking. Large arches framing the recessed entries are complemented by hardwood floors throughout the space, antique glass, original doors and wainscoting. “The Schoolhouse on Lipscomb served the needs of our employees for decades,” said Philip Williamson, former CEO of Williamson-Dickie, and a long-time Fort Worth native. “It is truly unique, has a fantastic feel and offers a glimpse into the past, while meeting all the needs tenants might require in today’s world. We are excited for the possibility of a new tenant enjoying the space, just as we did.”