Office Building At 3000 Weslayan St.

[Urbannizer]

https://www.bizjournals.com/houston/news/2018/02/06/exclusive-inner-loop-office-building-trades-hands.html

An 81,505-square-foot office building near the River Oaks area has traded hands and will likely be redeveloped into some sort of multifamily development.
 
The office property at 3000 Weslayan sold in November to Houston-based Morningside Capital, Tom Dosch and David Marshall told the Houston Business Journal.

Dosch and Marshall co-founded Dosh Marshall Real Estate and the firm represented the seller, Houston-based McCord Development, in the 3000 Weslayan deal. McCord Development owns and operates Generation Park in northeast Houston.

The purchase price of the building wasn't disclosed. The building was appraised at $8.3 million in 2017 by the Harris County Appraisal District.

Morningside Capital intends to hold the property for several years until its ready to sell to a developer; the site is well-suited for a condominium or multifamily development, Dosch said.

"Someone's going to go vertical," Dosch said.

The building is at least 90 percent occupied and some tenants have several years remaining on their leases. Interest in the property was high; the firm received 30 offers in 30 days. Normally, they'd receive around 10 offers in such a short timeframe. Interest came from local investors, high-rise developers, multifamily developers and more. Developers comprised between 50 percent and 60 percent of the pool of interested buyers.

http://images3.loopnet.com/i2/Mvy6ELCuHCxJzWernkq1Q5C_FWvYldeF3ndxBbiZWts/110/image.jpg

[wilcal]

Quote

 Interest in the property was high; the firm received 30 offers in 30 days. Normally, they'd receive around 10 offers in such a short timeframe. 

 

 

You've got to be very confident in your plan if you bid higher than 29 other people. 

 

 

[swtsig]

you sure do... especially in a location that isn't particularly special.

[Twitter1]

2929 will have a sibling soon! Maybe.

[j_cuevas713]

I think this a great example of how one building is a catalyst to transform an entire area. 

[LBC2HTX]

https://www.bizjournals.com/houston/news/2018/03/14/developer-mulls-plans-for-flipping-river-oaks.html

 

Quote

The developer who recently acquired a Class B office building near River Oaks is mulling redeveloping the property into a high-rise residential project, he told the Houston Business Journal.

In November, Houston-based Morningside Capital closed on 3000 Weslayan, a six-story, 81,505-square-foot office building across the street from PM Realty Group's 2929 Weslayan, Houston's tallest residential tower outside of downtown. When asked about the company's redevelopment plans for the office building, Morningside co-founder Chris Calato suggested another project in the vein of PMRG's luxury development.

 

"You don’t have to have a great imagination to see what could go there," Calato said. "You could look right across the street."

Calato said that, at the earliest, Morningside Capital would look at redeveloping the property in late 2019 or early 2020. The office building is at least 90 percent occupied and tenants have a redevelopment clause in their lease that allows Morningside to cancel any office lease with 12 months notice.

"I think a high rise in that location could work," Calato said. "The bottom line, is you can walk to (Central Market) and Costco, you have tremendous amenities, and you have tremendous wealth in those residential neighborhoods that could opt for easy living in a high-rise as opposed to a 5,000-square-foot house in River Oaks."

Calato didn't disclose the purchase price of the building. The building was appraised at $8.3 million in 2017 by the Harris County Appraisal District.

Morningside Capital bought the property from Houston-based McCord Development. McCord Development owns and operates Generation Park in northeast Houston.

 

[Urbannizer]

The building is for sale again

https://www.us.jll.com/en/investorcenter/office/3000-weslayan-2022-houston-tx-unitedstates