Record Deal by ConocoPhillips Indicative of Low Supply and High Values of Land in The Energy Corridor

 

Record Deal by ConocoPhillips Indicative of Low Supply and High Values of Land in The Energy Corridor

Houston based ConocoPhillips is reported to be purchasing Energy Center 3, which they currently lease in The Energy Corridor. The transaction establishes a record for the highest per-square-foot pice paid for a Houston office property outside of the Central Business District. The deal demonstrates how, despite recent weakness in the energy market, demand remains strong for high quality properties in The Energy Corridor, where land availability is at an all-time low.

ConocoPhillips is planning to buy Energy Center 3, a 20-story building in The Energy Corridor. The deal would set a record for highest per-square-foot price paid for a Houston office property outside of the Central Business District.

According to Real Estate Alert, a commercial real estate publication, ConocoPhillips plans to buy Energy Center 3 for $275 million. The 20-story, 548,000-square-foot property was completed in the fourth quarter last year. ConocoPhillips currently leases Energy Center 3 and will soon also occupy Energy Center 4, an adjacent 596,000-square-foot building expected to be completed at the end of this year.

“Companies that want to be strategically located in The Corridor and in the rapidly growing West Houston area are under pressure to find land or purchase properties already completed or under construction,” said David Hightower, Executive Vice President and Chief Development Officer of Wolff Companies. “Organizations that require facilities built to their own specifications, such as healthcare or senior living residences for example, have no choice but to find land quickly before it’s all gone, regardless of the temperature of the overall market.”

Wolff Companies has prime sites available in Ten Oaks and Central Park, located in The Energy Corridor.

At Wolff Companies, we have a long-standing history of commitment to help stimulate quality development in West Houston, including our city’s world-class healthcare institutions. We currently have prime sites available in The Energy Corridor, offering strategic proximity to this growing concentration of medical facilities.

For more information about Wolff Companies, please visit www.wolffcompanies.com.

FOR INFORMATION ABOUT PROPERTIES:

David W. Hightower, CCIM, CRE

Executive Vice President

Phone: 713-626-8050

dwh@wolffcompanies.com

FOR ALL OTHER INQUIRIES:

Carolyn W. Dorros

Vice President

Phone: 713-626-8050

cwd@wolffcompanies.com

 

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