The Woodlands: Chicago Investor Pays $115 Million for Building

MD Anderson at The Woodlands

In The Woodlands, An affiliate of Chicago-based Harrison Street Real Estate has purchased a medical building occupied by MD Anderson Cancer Center for $115 million.

The seller of 208,000-SF building, 100 Fellowship Drive near Highway 242, was Howard Hughes Corp., the developer of The Woodlands.

Paul Layne, CEO of Howard Hughes Corp., said the transaction is part of the company’s plan to sell $2 billion in non-core assets and to redeploy the funds into share repurchases and new development in the firm’s core large-scale planned communities.

The sale “exemplifies the type of value creation opportunities that Howard Hughes can execute in challenging times as this development was launched in 2017 when Houston’s economy was under pressure from a sharp decline in oil prices,” Layne said.

The MD Anderson sale is part of a 1031 exchange related to Howard Hughes Corp.’s December purchase of the two former Anadarko buildings from Occidental Petroleum.