What Are The Odds These Will All Be Built?

[Houston19514]

Great find!   It sure is the right location.  That has to be it.  (Oh, and the link makes it clear.)

[lockmat]

Now that I've seen all three I think I'd prefer Hines' proposal. This Skanska proposal is definitely dead least. Stream is a close second.

[swtsig]

even with the full rendering Capitol Tower doesn't get any more impressive... think glass rectangular box.

[King Owl]

Now that I've seen all three I think I'd prefer Hines' proposal. This Skanska proposal is definitely dead least. Stream is a close second.

 

Stream is a close second to Hines?  Or it's a close second to being dead last?

[lockmat]

Stream is a close second to Hines? Or it's a close second to being dead last?

Sorry. It is a close second to hines, in terms of the beauty and uniqueness of the building

[KinkaidAlum]

even with the full rendering Capitol Tower doesn't get any more impressive... think glass rectangular box.

 

That was my fear after seeing their Waterwall development.

 

What a shame. Was hoping Skanska would bring some European styling to downtown Houston. Instead, we'll lose a historical box (which we don't have many of) to gain a generic glass box (or which we have many)

[lockmat]

That was my fear after seeing their Waterwall development.

 

What a shame. Was hoping Skanska would bring some European styling to downtown Houston. Instead, we'll lose a historical box (which we don't have many of) to gain a generic glass box (or which we have many)

 

If the tenant they're all fighting over has any sense, they'll go with HInes or maybe Stream. They're much more dynamic than this one. However, I'm sure there are other factors besides design that weigh into the decision.

[HoustonBoy]

Where are all the renderings?

[Urbannizer]

 

 

[swtsig]

If the tenant they're all fighting over has any sense, they'll go with HInes or maybe Stream. They're much more dynamic than this one. However, I'm sure there are other factors besides design that weigh into the decision.

actually if tenant(s) have any real sense design would likely be far, far, FAR down the list of deciding factors. cost (including build out allowances), parking, efficiency, amenities, and location downtown should weigh significantly heavier for most prospective tenants. not all, but definitely most.

[lockmat]

actually if tenant(s) have any real sense design would likely be far, far, FAR down the list of deciding factors. cost (including build out allowances), parking, efficiency, amenities, and location downtown should weigh significantly heavier for most prospective tenants. not all, but definitely most.

Touché.

However, how much of a difference is there really among those things?

How would you rank the locations?

[King Owl]

actually if tenant(s) have any real sense design would likely be far, far, FAR down the list of deciding factors. cost (including build out allowances), parking, efficiency, amenities, and location downtown should weigh significantly heavier for most prospective tenants. not all, but definitely most.

 

As somebody who has been through a couple office moves downtown, I think you're overstating your point.  Yes, there's a threshold that needs to be met on parking, amenities, location, etc, but there is certainly consideration to "the buzz" of being in a nice looking building.  When you move offices you want the employees to be excited about where they're heading to next, especially if you're willing to pay for A+ space, which our company was. 

[swtsig]

As somebody who has been through a couple office moves downtown, I think you're overstating your point.  Yes, there's a threshold that needs to be met on parking, amenities, location, etc, but there is certainly consideration to "the buzz" of being in a nice looking building.  When you move offices you want the employees to be excited about where they're heading to next, especially if you're willing to pay for A+ space, which our company was. 

which is why i said "not all but definitely most." most companies factor cost well above "buzz".

[tangledwoods]

Touché.

However, how much of a difference is there really among those things?

How would you rank the locations?

As for location Skanska wins in my book.  They will have five tunnel connections when they are complete.  Right next to the tallest building in Houston and easy walking distance to the theater district.

[ClutchCity]

Well this bisnow article has some great news for Hines' 609 Main, but I also think it bodes well for the other prospective buildings because it talks about for the need for more state of the art facilities and how they are good for recruiting.

http://www.bisnow.com/commercial-real-estate/houston/greg-and-chip-to-head-hendricks-berkadia/

[cloud713]

So obviously Chevron is official now. the good news is the tower already has its own tenant, so it wont be taking away from any of the other downtown developments. maybe we will see a mini boom happen over the next few years.

[Urbannizer]

I added 6 Houston Center to the poll since the project has been resurrected.

Based off the info we know now about these office towers, which ones do you all think has the most likely to least likely chance of getting off the ground?

From most likely to least:

Hilcorp Energy Tower - Tenant secured, demolition of Macy's building on-going.

1600 Louisiana - Tenant secured as well, but Chevron still has to make its final decision.

609 Main - Moving forward w/o tenant, construction date set and because the developer is Hines.

Capitol Tower - No construction date set yet, but the Houston Club building is being gutted out; because the developer is Skanska, highly likely as well.

Six Houston Center - Construction date given, official announcement coming soon.

Five Allen Center - This one will be built eventually, but more likely later rather than sooner.

International Tower - Soil testing done back in July, they hope to make an official announcement this year. As time goes on it looks like International Tower will be the last one to start construction, if at all.

It seems all are moving forward behind the scenes though.

[Houston?]

Are there any renderings off the Hilcorp Tower?

[Urbannizer]

Are there any renderings off the Hilcorp Tower?

No renderings yet. More info should be revealed once the Macy's building comes down next Sunday. What we know so far, from the Macy's Redevelopment Thread:

• Believed to begin construction the end of this year or ealry next year
• 23-Stories, said to look like an elliptical prism
• Developer: Hines
• Park like area on the roof top floor
• Does not take up the entire block
• Retail included
• December 2015 completion date

[Subdude]

It's not new construction, so not on the list, but I think the project that is potentially most at risk is the redevelopment of the Exxon Building.  The location is suboptimal, tunnel connections would be expensive to build, there will be no lead tenant, and the structure may need some (very expensive) asbestos remediation.  On top of all that, Exxon won't fully vacate until starting in 2015, by which time a lot of these other Class A buildings would have come online.  All it takes is one downturn and this can become a huge white elephant.  It is easy to see a scenario where it remains vacant for decades, like its neighbor the Heaven on Earth Inn. 

 

 

[swtsig]

It's not new construction, so not on the list, but I think the project that is potentially most at risk is the redevelopment of the Exxon Building.  The location is suboptimal, tunnel connections would be expensive to build, there will be no lead tenant, and the structure may need some (very expensive) asbestos remediation.  On top of all that, Exxon won't fully vacate until starting in 2015, by which time a lot of these other Class A buildings would have come online.  All it takes is one downturn and this can become a huge white elephant.  It is easy to see a scenario where it remains vacant for decades, like its neighbor the Heaven on Earth Inn. 

 

But it's even easier to see a scenario where the exact opposite happens and they move forward as planned.

 

Btw Hines is in extended negotiations with a large lead tenant for 609, as if that wasn't already fairly obvious.

[TexasGeneral]

 

 

Btw Hines is in extended negotiations with a large lead tenant for 609, as if that wasn't already fairly obvious.

 

Any info you can provide?  Is the tenant in professional services (i.e. accounting, legal firm) or is an energy company, or neither?

 

How many sf are they looking at? 

[Subdude]

From Houston Business Journal - 

 

 

What Hines' new downtown skyscraper means for other tower timelines

After Hines released the timeline for its next downtown tower, other developers with proposals are remaining quiet — planning their next strategic move to get another on the ground.

It’s uncertain at this point if other developers with proposals are moving forward on spec or with secured pre-leasing.

New York-based Skanska USA Commercial Development announced plans for its Capitol Tower, a 34-story office structure, designed by San Francisco-based Gensler’s Houston office, with 700,000 square feet. It is the former site of the Houston Club at 811 Rusk and is bounded by Main, Clay, Fannin and Bell.

“Construction timing will depend on market conditions,” Mike Mair, executive vice president and regional manager of Skanska, said after the Hines announcement.

Dallas-based Stream Realty Partners LP’s Houston office and Houston-based Essex Commercial Properties have a 750,000-square-foot structure in the works in a downtown lot bounded by Preston, Prairie, Milam and Travis. Essex is affiliated with Houston-based Linbeck Group.

After the Hines announcement, Stream said the company is “still excited” about its project and is “working on it;” however it was not ready to announce anything.

 

 

http://www.bizjournals.com/houston/blog/breaking-ground/2013/10/what-hines-new-building-means-for.html?page=2

 

 

 

[LTAWACS]

Ugh.

[Houston19514]

Of all the space downtown, why are developers honing in on a particular section? Southeast downtown is begging for development.

 

 

You're right, but most of the office is concentrating in the northeast part.

 

Here are the current high-rise developments according to the Downtown Houston development map, dividing downtown at Main Street Square:

 

Southeast:

3 highrise residential

(Plus the possible high rise hotel addition to GreenStreet)

 

Southwest:

3 highrise office towers under development

2 highrise office towers under redevelopment

1 highrise hotel under redevelopment

 

Northwest:

2 highrise office towers under development

2 highrise residential under development

1 highrise hotel under redevelopment

1 highrise office building under redevelopment

 

Northeast:

2 highrise office buildings under development

3 highrise hotels under development

1 highrise residential under development

1 highrise residential under redevelopment

[LTAWACS]

Cool list. What are the names of these?

[H-Town Man]

Here are the current high-rise developments according to the Downtown Houston development map, dividing downtown at Main Street Square:

 

Southeast:

3 highrise residential

(Plus the possible high rise hotel addition to GreenStreet)

 

Southwest:

3 highrise office towers under development

2 highrise office towers under redevelopment

1 highrise hotel under redevelopment

 

Northwest:

2 highrise office towers under development

2 highrise residential under development

1 highrise hotel under redevelopment

1 highrise office building under redevelopment

 

Northeast:

2 highrise office buildings under development

3 highrise hotels under development

1 highrise residential under development

1 highrise residential under redevelopment

 

Probably could have just posted the map. ;-)  Dividing downtown into 4 quadrants at Main Street Square seems misleading, as it would for example put the 806 Main renovation in the "northwest" on par with the stuff on Market Square, which doesn't really seem right.

[Houston19514]

Probably could have just posted the map. ;-)  Dividing downtown into 4 quadrants at Main Street Square seems misleading, as it would for example put the 806 Main renovation in the "northwest" on par with the stuff on Market Square, which doesn't really seem right.

 

So sorry.  I guess even the ever-so-slight honing in on a particular section of downtown that could be discerned from my suggested division of downtown was exaggerated.   Thank you for helping to demonstrate the silliness of treblelino's complaint about developers honing in on a particular section of downtown.

[LTAWACS]

If one is to divide downtown into qaudrants it should originate at the geographic center.

[H-Town Man]

So sorry.  I guess even the ever-so-slight honing in on a particular section of downtown that could be discerned from my suggested division of downtown was exaggerated.   Thank you for helping to demonstrate the silliness of treblelino's complaint about developers honing in on a particular section of downtown.

 

I don't really follow your second sentence. As far as treblelino, he wasn't really complaining, and I think his point was legitimate, at least as far as office development - I count four new buildings that aren't additions to an existing campus and so could have been anywhere, and three of them are on the north side. You spend too much time trying to bully people.