Southwest Corporate Center Houston, TX

View Auction Offering Memorandum & Due Diligence

Southwest Corporate Center

Address

9700 Bissonnet Street
Houston, TX 77036

Property Overview

Located in southwest Houston, Southwest Corporate Center (“Property”) is a 525,580 square foot two-story office campus that also uniquely offers four shovel-ready pad sites and a larger 8.6 acre tract that are poised for near-term disposition and/or future redevelopment. Positioned inside Beltway 8 at the corner of Highway 59 and Bissonnet Street, the Property provides unmatched access to some of Houston’s most sought after suburban communities as well as to the Texas Medical Center, Galleria/Uptown, Downtown, Westchase District and all vital business hubs. Recently renovated, the Property features numerous on-site amenities including a fitness center, tenant lounge, food court and an outdoor courtyard. Additionally, the Property offers secure parking in a gated parking lot as well as around-the-clock security. The infill campus is currently leased to notable medical and office tenants including Texas Children's Health Plan, State of Texas, S4 Communications, Mikhail Education Corp and DIRECTV. At 52% occupancy, the Property provides investors with existing income stream while offering immediate upside through the lease-up of existing vacancies at below replacement cost and the sale of ancillary parcels. Further, the Property is uniquely positioned to offer a generational hold and redevelopment opportunity due to its irreplaceable infill location and broad scope of commercial property uses. 

Investment Highlights

Value-Add: At 52% occupancy, the Property provides investors with a secure income stream while offering immediate upside through the lease-up of existing white box and turn-key vacancies.

Renowned Anchor Tenants: The Property is anchored by a mix of national and regional medical and office anchor tenants, including Texas Children's Hospital, DIRECTV, Texas Department of Family and Protective Services and S4 Communications.

Generational Hold & Repositioning Opportunity: Located at the dominant intersection of Highway 59 and Bissonnet Street, the 39 acre campus offers an irreplaceable position within a dense, infill market.

Excellent Connectivity: Located along Highway 59 in southwest Houston with immediate access to Beltway 8, the Property offers access to Houston’s top suburban communities, downtown and several vital business hubs

Recent Capital Improvements: Over the past decade, the owner has made significant capital investments into the Property, creating a modern campus setting.

Below Replacement Cost: Based on current construction prices as well as the cost of infill land, this Property provides an opportunity to maximize value and purchase the Property within the market guidance range of +/- $40/SF to the building, which is considerably below replacement cost in today’s economic environment. This pricing also equates to a low teen per square foot pricing to the land parcel, which is in line with raw industrial land.

Additional Value Creation: The Property offers numerous opportunities to create additional value including the ability to unbundle the asset. A combination of separate parcels, including four pad sites with excellent exposure to Bissonnet Street and an 8.6 acre undeveloped tract, results in unmatched investment potential.

Video

Location

Team

Brokerage team

Micha van Marcke, CCIM

Principal
713.900.3011 micha@edge-cm.com

Chace Henke

Principal
713.900.3009 chace@edge-cm.com

Michelle Wogan

Transwestern
713.270.3348 michelle.wogan@transwestern.com

Paula Musa

Transwestern
713.231.1630 paula.musa@transwestern.com

Phone
214.545.6900
Address
5950 Berkshire Lane, Suite 700, Dallas, Texas 75225