Alterra IOS Buys Four Houston Projects, Market briefs

HOUSTON, – Alterra IOS, a player in the industrial outdoor storage (IOS) sector which has purchased over 270 properties nationwide, reported the purchase of four IOS properties totaling 17 acres in the Houston metropolitan area. The sites include 8121 & 8223 Parkside Avenue in Baytown, Texas, 5100 Underwood Road in Pasadena and 9002 Wayfarer Lane in Houston

“Alterra has placed a continued emphasis on IOS sites in the Houston market that are proximate to the critical infrastructure and highways that service both the global economy and one of the nation’s largest MSAs,” said Mark Gannon of Alterra IOS. “Houston will continue to be a vital component of Alterra IOS Venture III, Alterra’s latest fund which closed earlier in 2024.”

The Alterra purchase include:

8121 and 8223 Parkside Avenue, located within the newly developed Bay 10 Business Park in Baytown, represent a combined 7.2 acres with 50,000 SF of accompanying warehouse space. The newly constructed, fully paved sites offer highway frontage on Route 99 and provide tenants with immediate access to I-10 and close proximity to the Port of Houston.

5100 Underwood Road, a 5-acre site with 57,500 SF of warehouse space, is part of a three-property sale-leaseback with a national industrial chemical cleaning company. The property has its own rail spur, providing access to national rail networks.

9002 Wayfarer Lane is a 4.6-acre site with 40,930 SF of warehouse space located near Hobby Airport and the BNSF Railway.

Lee & Associates’ Houston facilitated the purchase of 8121 and 8223 Parkside Avenue and will also lease the sites. Marketing of the properties has already begun, with a new speculative office and a reinforced concrete yard being added to the property at 8121 Parkside.

Zane Carman of Partners Real Estate facilitated the purchase of 9002 Wayfarer Lane, with Partners handling future leasing.

A number of firms have been pursing expansion in the IOS sector of industry properties, including Dallas-based Apricus Realty Capital and Triten Real Estate Partners of Houston.

Triten Real Estate Partners of Houston has also been active in the outdoor storage sector. The firm recently was involved in a significant upsize in Triten’s initial joint venture with global alternative asset management firm TPG Angelo Gordon, which has positioned the firm to acquire more than $1 billion in additional IOS assets over the next five years. Since its inception, the Triten programmatic joint venture has purchased over $500 million of IOS assets across 16 markets, averaging 18 new acquisitions yearly since 2020.

In Northeast Houston, Zenith IOS recently purchased a 194,000-SF truck terminal on 17 paved acres at 2222 North Wayside Drive. The deal was facilitated by Lee & Associates brokers C.E. “Trey” Erwin III and Josh Carl, and purchased by Zenith IOS in a joint venture with institutional investors advised by J.P. Morgan Asset Management.