Construction Cranes Continue to Soar Over Booming Energy Corridor
Construction in The Energy Corridor continues to outpace almost all other markets in the United States. According to The Energy Corridor District’s most recent Land Use and Demographics Report, twelve buildings, totaling 4,101,000 square feet, are currently under construction, and are approximately 65% pre-leased. The rate is well ahead of last year’s torrid pace, when nine buildings added 2,442,000 square feet of office space. Eleven more projects, totaling 8,370,000 square feet are in the planning stages. Driven by the growth of the energy industry, The Energy Corridor continues to build to accommodate a growing workforce. Currently it is home to more than 91,000 employees occupying over 21,000,000 square feet of office space, 78% of which is Class A. With full occupancy of buildings currently under construction, employment in The Corridor will exceed 108,000.
Energy Tower III (428,000 square feet) is now complete and Energy Tower IV (429,000 square feet) is under construction. Spectrum Geo Inc. is a lead tenant.
As the crane on Stena/PM Realty’s 175,000 square foot Jacobs Plaza building recently came down, the crane for Sasol North America’s new 175,000 square foot headquarters was being erected.
Shell continues to expand its Woodbranch campus at I-10 and Dairy Ashford, recently completing two twelve-story towers totaling 750,000 square feet. Work is well underway on another 375,000 square feet in Building Five. This will bring Shell’s campus to approximately 2,245,000 square feet.
At the corner of I-10 and Eldridge, Trammel Crow’s Energy Center III will be 100% occupied by ConocoPhillips in May 2015. Energy Center IV, also completely pre-leased to ConocoPhillips will be completed by the end of 2015. Energy Center V will break ground this July. Together, the three buildings will add almost 1,700,000 square feet of office space to The Energy Corridor market.
The first of two 350,000 square foot buildings by Skanska USA (1) at West Memorial Place is nearing topping out, while construction proceeds briskly on Grayco’s apartment and townhome community immediately to the south (2).
The Worthing Companies have started construction on The Heights at Park Row. The 342-unit luxury apartments will wrap the central garage (shown above) in Wolff Companies’ Central Park . Worthing’s site fronts Park Row and is bordered on the north by the 14,000 acres of permanent open space in Addicks Cullen Park. Over 80% of the new office construction in The Corridor is located east of State Highway 6 and surrounding Central Park. In Central Park we have two sites available, 15.3 acres fronting on I-10 and 10.4 acres on Park Row. Both are perfectly sited in The Corridor for corporate office, executive/conference hotel or high density residential housing.
Transwestern has completed three office buildings, totaling 661,000 square feet in Park 10 at IH-10 and Houston Chronicle Blvd., which are 90% leased. Lead tenants include Wood Group, Mustang Engineering and Subsea 7, S.A.
Site preparations will begin next month for a Courtyard by Marriott and a Hampton Inn & Suites by Hilton in Wolff Companies’ Ten Oaks. Dallas-based Western International is developing the two hotels directly across Park Row from The Texas Medical Center West Campus, where The Methodist Hospital recently completed its second 166,000 square foot medical office building. The addition of the second professional building brings the Texas Medical Center – West Campus to over 1,300,000 square feet.
Hunington Residential Properties has purchased 8 acres for a 352 unit, high density executive apartment and town home community.
Ten Oaks has a 6.6 acre site remaining, which is perfectly located for high density residential, medical and office uses. At the corner of Park Row and Barker Cypress Road, 3.3 acres are available for retail, financial, food services and other complimentary uses.
Since 1972 Wolff Companies has developed over 1,000 acres in The Energy Corridor, including Park 10, Westlake Center, Ten Oaks at the Texas Medical Center West Campus and now Central Park.
For more information about any Wolff Companies property, please visit www.wolffcompanies.com or contact me at 713-626-8050.
Thank you,
David W. Hightower
Executive Vice President
Wolff Companies