Permian Basin Generates Demand for Industrial Buildings

In Odessa, Texas, AVERA, a Houston-based commercial real estate firm, is building a spec industrial building in the petroleum-rich Permian Basin near Odessa, Texas.

With the widespread growth of hydraulic fracturing, or fracking, the Permian Basin of West Texas has become one of the most productive oilfields in the world.

Odessa was No. 2 in the nation in 2013 population growth on a percentage basis, behind only The Villages, Fla. Odessa added 4,769 residents last year, a 3.2 percent gain to take the city’s population to 149,378, as stated by the U.S. Census Bureau.

The CBRE Group reports that apartment occupancy in the Odessa/Midland area is 97 percent.

To serve the many energy companies in the Permian Basin, Avera is building its spec building in the Leeco Industrial Park, a deed restricted business park located east of Odessa along I-20, in the Permian Shale Basin.

Companies with facilities near the AVERA site include: National Oilwell Varco, GE Oil & Gas, Knight Oil Tools and Weatherford International.

The building is for sale or lease, with expected completion in Q4 2014