Howard Huge Posted November 9, 2015 Share Posted November 9, 2015 How much money is there in being a skyscraper landlord? Lets say I owned Texaco Heritage Plaza, how much am I making a month off of that? 1 Quote Link to comment Share on other sites More sharing options...
BigFootsSocks Posted November 9, 2015 Share Posted November 9, 2015 If it's empty, you're making the increased (or losing if decreased) price of land and the building. If it's full, it's the same, but with rent money also coming in. 1 Quote Link to comment Share on other sites More sharing options...
Howard Huge Posted November 9, 2015 Share Posted November 9, 2015 I'm looking for a dollar figure.How much are companies paying in rent?Let's use BG group place as an example. Prime, Class A office space with tunnel access. How much is the building owner making a month on a fully leased out 940,000 sq feet? Quote Link to comment Share on other sites More sharing options...
Gator Purify Posted November 9, 2015 Share Posted November 9, 2015 (edited) I'm looking for a dollar figure.How much are companies paying in rent?Let's use BG group place as an example. Prime, Class A office space with tunnel access. How much is the building owner making a month on a fully leased out 940,000 sq feet? Average rents depend on the submarket, so even though it's relatively new, BG Group Place, which is downtown, is not a good comparison for an Uptown building. 2200 Main (BBVA Compass) is renting at $30.88/sf/yr. BG Group Place is renting at $34.11/sf/yr. That only addresses income. You need to factor in expenses (property management fees, additional salaries, janitorial, utilities, taxes, maintenance, insurance, captial improvements, tenant improvements, etc.) to get a sense of your take home. Edited November 9, 2015 by Gator Purify 2 Quote Link to comment Share on other sites More sharing options...
JJxvi Posted November 9, 2015 Share Posted November 9, 2015 (edited) In general the way buildings like this are appraised is the income approach which applies a cap rate to the net income to get an income value for the entire property. So if you know the value and the cap rate you can back out to what the yearly income probably is. For either the CBD or Uptown the cap rate is probably somewhere in the neighborhood of 7-8% for early 2015. For BBVA this is $100 million * 7%/8% = $7 to $8 million income per year For Bg Group Place is roughly $450 million * 7% = $31.5 to $36 million income per year Edited November 9, 2015 by JJxvi Quote Link to comment Share on other sites More sharing options...
Houston19514 Posted November 9, 2015 Share Posted November 9, 2015 In general the way buildings like this are appraised is the income approach which applies a cap rate to the net income to get an income value for the entire property. So if you know the value and the cap rate you can back out to what the yearly income probably is. For either the CBD or Uptown the cap rate is probably somewhere in the neighborhood of 7-8% for early 2015. For BBVA this is $100 million * 7%/8% = $7 to $8 million income per year For Bg Group Place is roughly $450 million * 7% = $31.5 to $36 million income per year Is that EBITDA? 1 Quote Link to comment Share on other sites More sharing options...
Howard Huge Posted November 10, 2015 Share Posted November 10, 2015 In general the way buildings like this are appraised is the income approach which applies a cap rate to the net income to get an income value for the entire property. So if you know the value and the cap rate you can back out to what the yearly income probably is.For either the CBD or Uptown the cap rate is probably somewhere in the neighborhood of 7-8% for early 2015.For BBVA this is $100 million * 7%/8% = $7 to $8 million income per yearFor Bg Group Place is roughly $450 million * 7% = $31.5 to $36 million income per yearWow, thanks for the in depth breakdown.So just to clarify, that figure is net profit, before expenses, correct? Quote Link to comment Share on other sites More sharing options...
BigFootsSocks Posted November 10, 2015 Share Posted November 10, 2015 Bruh that's basically what I wrote**its nothing like what I wrote Quote Link to comment Share on other sites More sharing options...
JJxvi Posted November 10, 2015 Share Posted November 10, 2015 Yeah...net operating income or pretty much EBITDA. Quote Link to comment Share on other sites More sharing options...
AREJAY Posted November 11, 2015 Share Posted November 11, 2015 (edited) The additional two towers are on hold, for now... http://www.bizjournals.com/houston/blog/breaking-ground/2015/11/after-galleria-area-tower-sells-phase-two-on-hold.html Preston Young, regional managing partner for Dallas-based Stream, said the sale showed that interest from outside investors is still strong in Houston despite low oil prices. Still, he said the fundamentals of the market mean the phase two office tower proposed for 2100 Post Oak Blvd. is on hold for now. According to TRC Capital Partners' website, the proposed project would include 343,000 square feet of high-end office and retail space on 29 floors. "Last year, we made the decision to put pencils down on that project for the time being. Not only would it be difficult to achieve financing for a spec office project right now, the fundamentals aren’t right," Young said "A similar thing happened with phase one," Young added. "We originally had plans in 2007 to push the ball forward on development, but the Great Recession put the project on hold for 18 to 24 months, and we broke ground in 2011. Right now, we’re in wait-and-see approach with phase two." Edited November 11, 2015 by AREJAY 3 Quote Link to comment Share on other sites More sharing options...
wxman Posted November 11, 2015 Share Posted November 11, 2015 Go figure. I just don't understand why you wouldn't want to take advantage of cheap material to build the tower knowing that by the time the price of oil recovers, you're building is ready to be delivered. I mean if you're hell bent on developing the property, to my trivial, elementary mind, it makes sense. 1 Quote Link to comment Share on other sites More sharing options...
cloud713 Posted November 11, 2015 Share Posted November 11, 2015 i didn't see anything about the Hotel/Residential tower being put on hold? 3 Quote Link to comment Share on other sites More sharing options...
dcdude Posted November 12, 2015 Share Posted November 12, 2015 The additional two towers are on hold, for now... http://www.bizjournals.com/houston/blog/breaking-ground/2015/11/after-galleria-area-tower-sells-phase-two-on-hold.html Stream doesn't have the best reputation in many circles in the industry...i believe they couldn't make the International Tower work either... Quote Link to comment Share on other sites More sharing options...
Popular Post Urbannizer Posted November 18, 2015 Popular Post Share Posted November 18, 2015 Hotel still a go: TRC Capital Partners is re-evaluating its plan to do more office in Uptown, says TRC Capital Partners CEO Steve Lerner (right, with Lehmberg & Associates’ Gary Lehmberg). It’s going forward on a hotel next to BBVA Compass Plaza (a hotel flag has been chosen and the team is heavy in redesigning that project), but even though a second office tower is designed and permitted, TRC could do residential (rental or condo) there instead if it doesn’t find a 100k SF anchor tenant. Read more at: https://www.bisnow.com/houston/news/mixed-use/uptown-one-of-houstons-strongest-submarkets-but-needs-mass-transit-52598?rt=title_alt_1?utm_source=CopyShare&utm_medium=Browser 12 Quote Link to comment Share on other sites More sharing options...
monarch Posted November 18, 2015 Share Posted November 18, 2015 ^^^ this site would be PERFECT for houston's first W HOTEL. we can only PRAY that this is indeed the hotel flag that has been chosen. props urbannizer, for this cool / wonderful information... 3 Quote Link to comment Share on other sites More sharing options...
Naviguessor Posted November 18, 2015 Share Posted November 18, 2015 I think it'll be that upscale Mexican Brand. I forgot the name. 1 Quote Link to comment Share on other sites More sharing options...
AREJAY Posted November 18, 2015 Share Posted November 18, 2015 (edited) I think it'll be that upscale Mexican Brand. I forgot the name. Is it "la doble U" ? Edited November 18, 2015 by AREJAY 1 Quote Link to comment Share on other sites More sharing options...
LarryDierker Posted November 18, 2015 Share Posted November 18, 2015 I think it'll be that upscale Mexican Brand. I forgot the name. aqua? 1 Quote Link to comment Share on other sites More sharing options...
Avossos Posted November 18, 2015 Share Posted November 18, 2015 Is it the doble U ?Might be! 1 Quote Link to comment Share on other sites More sharing options...
Naviguessor Posted November 19, 2015 Share Posted November 19, 2015 Yes, Larry. Aqua is where my money is. 1 Quote Link to comment Share on other sites More sharing options...
Howard Huge Posted November 19, 2015 Share Posted November 19, 2015 Wow. Post oak is going to be mad dense, and isn't even close to being fully built out yet.Traffic will be a nightmare, which is scary because it already is a nightmare. 3 Quote Link to comment Share on other sites More sharing options...
Howard Huge Posted November 20, 2015 Share Posted November 20, 2015 Yes indeed, (all political bs aside) the next mayor/council MUST find a way to proceed with mass transit, full-speed-ahead. Houston has become a gigantic clusterf*ck, and it gets worse everyday; especiallly with the continual influx of people. I'm in NY right now, and it's a breeze getting all around town on the trains.Yes, I am fully aware of how easy it is to get around without a car whenever I'm in NY, it's unbelievable, you can go literally anywhere in the city in a breeze, the trains and buses are so well connected. Truly a marvel of mass transit, the finest system in the world. I am so jealous. 2 Quote Link to comment Share on other sites More sharing options...
Popular Post lockmat Posted May 16, 2016 Author Popular Post Share Posted May 16, 2016 (edited) Sorry if we've seen this one: http://www.trccapitalpartners.com/ Edited May 16, 2016 by lockmat 15 Quote Link to comment Share on other sites More sharing options...
lockmat Posted June 4, 2016 Author Share Posted June 4, 2016 Based of the BBVA tower brochure they only mention the hotel/multi-family project, not the office project. Y'all think that's just because they don't want to mention a competing project or that this will be the second phase? http://www.bbvacompassplaza.com/pdf/bbva-compass-plaza-brochure.v3.pdf 3 Quote Link to comment Share on other sites More sharing options...
Urbannizer Posted June 7, 2016 Share Posted June 7, 2016 Luxury hotel brand mulls Houston opening Quote Loews Hotels and Resorts owns a plot of land in Uptown that could one day occupy a Loews hotel, the brand's first in the Houston market, a Loews spokesperson told the Houston Business Journal. Loews Hotels and Resorts, a subsidiary of New York-based Loews Corp. (NYSE: L), has "work underway to assess feasibility and concept for a hotel," the spokesperson said, adding that no decisions have been made. The land's specific location wasn't made available, and the spokesperson couldn't be reached for further comment. It's unclear how long Loews has owned the land. A timeline on when Loews would develop a Houston hotel wasn't made available, but "Houston will be the first to know when the time comes," the spokesperson said. Loews has been interested in Houston since at least 2013, when the company's then-president and CEO Paul Whetsell said Loews was interested in entering the Houston market either through an acquisition or a new development, Hotel News Now reported. Anyone know which plot of land they own? 6 Quote Link to comment Share on other sites More sharing options...
monarch Posted June 8, 2016 Share Posted June 8, 2016 ^^^ @Urbannizer very very interesting... indeed! 2 Quote Link to comment Share on other sites More sharing options...
Popular Post ew2003 Posted June 8, 2016 Popular Post Share Posted June 8, 2016 (edited) 2120 Post Oak 2.09 Acres at the corner of Post Oak Blvd and Guilford Ct Purchased in December 2014. HCAD info: Owner Name & Mailing Address: LH TRC HOUSTON VENTURE LLC 667 MADISON AVE NEW YORK NY 10065-8029 http://www.hcad.org/records/details.asp?crypt=%94%9A%B0%94%BFg%85%90%81%81ie%8El%88tXt%5CQJXJzDTpHjEyr%D4%BE%C2%AF%AE%AA%9Fpk%88%5Dn%5B%B8%96%A3%C0q%5E&bld=1&tab=2 Edited June 8, 2016 by ew2003 11 Quote Link to comment Share on other sites More sharing options...
Mab Posted June 8, 2016 Share Posted June 8, 2016 @ew2003 great find!! Very exciting that the Loews hotel will be located at the Perennial Hotel area next to BBVA Compass building!!!! 2 Quote Link to comment Share on other sites More sharing options...
Urbannizer Posted June 8, 2016 Share Posted June 8, 2016 Great find indeed! Merged w/ The Perennial thread. 1 Quote Link to comment Share on other sites More sharing options...
monarch Posted June 8, 2016 Share Posted June 8, 2016 (edited) ^^^ wow... a LOEWS at the PERENNIAL development... who knew? Edited June 8, 2016 by monarch 2 Quote Link to comment Share on other sites More sharing options...
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