Developer Buys Historic Farmer Bros. Coffee Plant in East End

The historic Farmer Bros. coffee building on Navigation Blvd. in Houston. Photo credit: Ralph Bivins of Realty News Report

HOUSTON – Developer Frank Liu of Lovett Homes and Lovett Commercial has acquired the historic Farmer Bros. coffee facility on Navigation Boulevard at Norwood Street in a transaction valued at $10 million.

Liu has not yet revealed formal redevelopment plans for the brown-brick, 85-year-old building, but he described the property as an important East End landmark.

For decades, Liu has been an early mover in Houston’s Inner Loop real estate markets, frequently identifying neighborhoods poised for transformation. Local investors closely watch his activity the way stock market observers track prominent financial figures because his site selections often signal broader neighborhood potential.

The Farmer Bros. property lies just south of Buffalo Bayou and within easy reach of the Turkey Bend extension. The nonprofit Bayou Bend Partnership has proposed enhancements to the existing wood-plank wharf at Turkey Bend—concepts that include a public boardwalk, food vendors, and kayak launches. That wharf would be within walking distance of the Farmer Bros. site, creating potential connectivity between the bayou and any future uses for the property.

As part of the purchase, Liu has leased the coffee plant back to Farmer Bros. on a three-year agreement with a reported base rent of $50,000 per month, according to a filing by the company. That arrangement gives the buyer near-term income while preserving continuity for the tenant.

Longer term, the mid-rise Farmer Bros. complex could be adapted to mixed-use development, with residential units above street-level retail. Potential programming for the ground floor could include food and neighborhood services, and developers might consider adding co-working or creative office space to serve entrepreneurs and small businesses in the rapidly evolving East End.

The overall site covers roughly six acres and contains about 300,000 square feet of built space. Coffee operations have occupied the location since 1935, marking nearly a century of industrial use. With the sale complete and the leaseback in place, the era of on-site coffee roasting appears to be winding down, opening the door to new possibilities for the property and its surroundings.

Feb. 10, 2020 Realty News Report Copyright 2020