HOUSTON – An affiliate of Beacon Capital Partners is acquiring a 90 percent interest in the 35-story Bank of America Tower for $373 million, Skanska, the developer of the downtown Houston project, announced.
The 780,000-square-foot tower, completed in the summer of 2019, sits at 800 Capitol Street on a full block bounded by Travis, Milam and Rusk streets.
The property is approximately 90 percent leased. The building’s foundation was poured on August 22 and 23, 2015.
Skanska said it expects the transaction to close before year end. Recent business coverage had identified CalSTRS (California State Teachers’ Retirement System) as the potential buyer, with Beacon Capital Partners acting as advisor, and suggested a higher price.
Current major tenants include:
-
Skanska — 12,481 SF (12th floor)
-
Bank of America — 210,000 SF (floors 14–20)
-
Winston & Strawn — 62,515 SF (floors 23–24)
-
Waste Management — 284,000 SF (floors 25–33)
-
Quantum Energy Partners — 32,000 SF (floors 35–36)
The Bank of America Tower was developed over several years. In 2011, Skanska purchased the former 18-story Houston Club building at 811 Rusk and demolished it, creating a full-block site for the new tower.
The foundation pour on August 22–23, 2015 involved a large fleet of concrete trucks. At that time the oil market was in steep decline: West Texas Intermediate crude, which had traded above $100 per barrel in 2014, fell rapidly and bottomed below $27 per barrel in early 2016. Vertical construction for the tower began in 2017.
Dec. 16, 2019 Realty News Report Copyright 2019
A Great Christmas Gift: The New Book by Ralph Bivins, Editor of Realty News Report
Houston 2020: America’s Boom Town – An Extreme Close Up
Available on Amazon