Land Scarcity Pushing Redevelopment in The Energy Corridor
Redevelopment continues in The Energy Corridor, driven in large part by the scarcity of vacant land in one of the most vibrant, growing areas of West Houston. Older properties are being repurposed or completely replaced with new, high-profile office, healthcare, retail and living spaces to meet the needs of a region that has become one of Houston’s best neighborhoods in which to work, live and play.
“Historically, new development in The Energy Corridor has occurred on greenfield sites. With the current shortage of raw land, we are seeing an increase in re-development projects. Older, underutilized properties are being upgraded and increasing the overall quality of development in the area,” said Carolyn Wolff Dorros, Executive Vice President of Wolff Companies. “This drives value for the few remaining parcels of undeveloped land in the area – not only because of the increased quality in the neighborhood but also because redevelopment sites involve costs that greenfield sites do not, such as demolition.”
Notable redevelopment projects have happened across several sectors: multifamily, office and retail as well as multi-use projects.
Multifamily. Trammell Crow Residential has developed several multifamily complexes in West Houston. Alexan Ashford, a five-story multifamily community built on the former site of Cornelius Nursery at 1200 Dairy Ashford Road, began offering units in late 2016. The company also opened Alexan Enclave located at 13411 Briar Forest Drive, the former site of First Alliance Church, in January 2015. At the entry of The Energy Corridor, Alexan CityCentre opened in 2016 on the site of a former photography studio.
Alexan Ashford, a multifamily community developed by Trammell Crow Residential, is on the former site of Cornelius Nursery.
“The evolution of quality in West Houston is noteworthy. Developers along I-10 (Katy Freeway) have upped their game with projects built to last,” said Matt Khourie, CEO of Trammell Crow Company, at a recent event celebrating the completion of the last mile of the now-13-mile long Park Row.
Just east of The Energy Corridor, Greystar razed a La Quinta Hotel on North Wilcrest Drive, replacing it with The Slate apartments, an upscale, three-story community that opened in 2015. Also, near CityCentre, the Morgan Group opened both the Pearl CityCentre and the Pearl Residences at CityCentre in 2016 on the former site of Tallowood Baptist Church. Metro National also just began construction on an eight-floor, 327-unit project on the site of a former parking lot for Memorial City Mall.
Office. The 35-acre site that formerly housed Exxon Chemical’s headquarters is being brought back to life as Republic Square. Third Palm Capital is investing more than $1 billion into the project, repurposing the campus into office space, art studios, a biergarten and more.
Third Palm Capital is investing a $1 billion to redevelop the former Exxon campus into Republic Square that includes office space, art studios and public spaces.
Among Republic Square’s new occupants is the third location of the Houston Technology Center, the largest technology business incubator and accelerator in Texas. “Houston Technology Center is delighted to bring to Republic Square all the resources and the full suite of services available through HTC,” said Walter Ulrich, President and CEO. “We have worked with entrepreneurs in energy, medicine, and IT that have enjoyed over $2.8 million in funding the financial transactions, and this special location in Houston’s Energy Corridor is ideal for creating new companies, driving job growth and changing the world for the better.”
In CityCentre, Midway Companies recently demolished two 1970s-era office buildings. Recently released renderings showed plans for two high-rise office buildings on the site.
Retail. One of the most creative redevelopment projects in The Energy Corridor is Sewell Automotive Companies’ first Mercedes-Benz franchise in Houston, which incorporated a former Sam’s Club building into its new dealership. Located in Wolff Companies’ Park 10 Regional Business Center at the northwest corner of the Katy Freeway and Highway 6, the two-story, 182,000-square-foot dealership in 15.3 acres features an 18-vehicle showroom and an indoor display area for 200 vehicles.
Sewell Mercedes-Benz of West Houston, on the site of a former Sam’s Club, offers an 18-vehicle showroom and an AMG performance and design center.
Sites are available in Ten Oaks, adjacent to both Houston Methodist and Texas Children’s in Texas Medical Center – West Campus, and Central Park, adjacent to MD Anderson’s $169-million, 260,000-square-foot outpatient diagnostic and treatment center, which is under construction and opening in 2018.
At Wolff Companies, we have a long-standing history of commitment to help stimulate quality development in West Houston. We have currently have prime sites available – some of the only remaining undeveloped land in The Energy Corridor. Each site offers excellent proximity to nearby corporate offices and a growing concentration of healthcare facilities, as well as visibility and easy access to and from the Katy Freeway.
About Wolff Companies
Now in its fifth decade, Wolff Companies has been a leader in developing master-planned, mixed-use business communities in the Houston area. The company’s developments include: Beltway; Park 10; Interwood; Westway Park; First Crossing; Ten Oaks at the Texas Medical Center – West Campus and Central Park. The American Society of Landscape Architects, Scenic Houston, Keep America Beautiful, the American Institute of Architects and the Municipal Art Commission have all recognized Wolff Companies’ developments for enhancing and preserving the natural beauty of land, while meeting the ever-changing needs of business. For more information, please visit www.wolffcompanies.com.
FOR INFORMATION ABOUT PROPERTIES:
Carolyn W. Dorros
Executive Vice President
Office: (713) 626-8050
cwd@wolffcompanies.com