Office Building Reaches 100 Percent Occupancy., Market briefs

In Houston, The Sam Houston Crossing II office building has reached 100 percent occupancy.

TFH Reliability Group has signed a new lease for 14,861 SF to take the suburban building up to the lofty 100 percent level.

Transwestern’s Doug Little, Louann Pereira and Matthew Seliger represented the landlord, Buchanan Street Properties.

Patrick Wolford and Travis Taylor of Lee & Associates and Robert Parsley and Chris Nash of Colliers International represented the tenant.

The 159,000-SF building is located at 10344 Sam Houston Park Drive in northwest Houston. The building is north of Highway 290 and South of Fallbrook Drive.

The three-story building is owned by Buchanan Street Partners, a real estate investment management firm based in Newport Beach, Calif. The building was originally developed by Duke Realty and purchased by Buchanan Street in 2017.

A Bright Spot

The leasing of Buchanan Street’s building to fullness is one of the rare “points of light” in a darkened office market.

The citywide office vacancy rate is at a 20-year high, over 22.7 percent vacant, as stated by a recent Houston survey by NAI Partners. That’s up from 21.6 percent vacancy a year ago, a 120 basis point change for the worst.

In its new report showing August activity, year-to-date Houston’s office market has 3 million SF of negative absorption.

Houston’s office market has hit with problems associated with coronavirus pandemic, in addition to declines in the energy industry, which has battled a freefall in oil prices and a sharp decline in drilling activity.