Houston Tenant Representation. Why use a Tenant Representation broker?

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Houston Site Acquisitions. Houston commercial real estate company. Need Space ? We can help. Free Location Service Citywide.

By Theodore Brakatselos, President of Houston Site Acquisitions
Houston Chronicle
March 4, 2009
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We frequently speak with tenants who are interested in obtaining information regarding a commercial property and who have expressed difficulty in getting a return call when attempting to gather market research. Tenants (companies) that are not working with a broker will call on leasing signs posted in front of a building. What the tenant might not realize is that the building’s leasing agent at times is not in a hurry to return the call sometimes due to the size of their requirement or that the space advertised as being available for lease actually is not available at all. Typically, the leasing sign will remain in front of a building regardless of whether or not space is available. We also have found tenants get exhausted spending time conducting research on Web sites that contain only listings belonging to one landlord or Web sites that are paid-advertisement directories that contain very limited or outdated listing information.

Presenting current market options is one of the most beneficial services a broker can offer to tenants in addition to evaluating options when they are faced with renewing an existing lease, relocating/leasing space in other buildings, and exploring ownership opportunities such as purchasing a facility. As an added benefit, a broker familiar with the entire city at times might present options in other areas to consider that might not be offered in their particular submarket or existing location.

One important factor to consider when selecting a broker to assist with leasing space is to select one who is free of any potential conflicts of interest. In other words, when leasing space it serves a tenant well to select a broker who is not working for several landlords as well as (you) the tenant.

Securing a business location is extremely important and typically is the second highest line item in terms of operating expenses when operating a business. Many tenants believe that they are able to handle their company’s real estate needs on their own. One example of how some tenants substantiate their ability to handle their business real estate affairs is by reflecting upon how many leases they have successfully negotiated over the years. Lease terms vary and may extend over a period ranging from one year to 15 years. If a tenant has negotiated five leases over the course of 15 years, imagine how many leases a leasing agent working for a landlord has negotiated in comparison over the course of just a few months. When thinking about this example it is easy to understand why negotiating on your own behalf might not be such a good idea.

Every broker over the years develops their own style and technique of working on assignments and interviewing a broker when making a decision regarding your commercial real-estate needs is a good first step. A lot of brokers work for tenants on a commission structure, which doesn’t involve an out-of-pocket fee being paid directly to then by a company using their services, because it ends up being paid by a landlord who splits the commission between your agent and his or simply remains with that landlord and just sweetens the pot for him at the end of the day.

Additionally, a good broker not only will save a company a lot of time and money by allowing tenants to concentrate on their core business during the course of a real-estate transaction, but also will help save on intangible assets such as the time and effort involved in successfully closing a commercial real estate transaction.

Theodore Brakatselos is the President of Houston Site Acquisitions, a commercial real estate company. He has over 17 years of experience in commercial real estate and has represented a broad range of tenants and landlords over his career including star-up companies, publicly held companies, and overseeing portfolios for institutional landlords & investors. You can reach Theodore at 713-789-8700 or via the Web at http://www.hsaleasing.com/ or TenantRepresentation.com.

 

3 replies
  1. HSACQ
    HSACQ says:

    Houston Site Acquisitions based in Houston, Texas provides fast, friendly, free location service to Houston, Texas corporate tenants with our Houston office space , Houston warehouse space, retail space tenant representation services, Houston Commercial Real Estate real time lease and sales listings, and Houston commercial real estate corporate facility leasing management services including searching, identifying, negotiating, and securing Houston commercial real estate corporate facility sites for lease. Houston Site Acquisitions assists corporate tenants with identifying various types of Houston Commercial Real Estate curent real time listings / options for lease including Houston office space, Houston office buildings, Houston warehouse buildings, Houston office warehouse space, Houston distribution center space, Houston shopping centers, Houston sublease space, Houston lifestyle centers, Houston mall space for lease, Houston retail box space for lease, Houston warehouse Space, Houston retail Space, big box locations, Houston law firm space, school space, medical space, call center space, Houston technology center space, cell site acquisition, telephone data rooms, pad sites, and raw land for Houston build-to-suits. Additionally, Houston Site Acquisitions services corporate business expansions and rollouts throughout greater Houston and the entire Houston, Texas area .

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  2. HSACQ
    HSACQ says:

    March 25,2011
    Cabot Expands Footprint with Granite’s Portfolio
    By Jennifer Duell Popovec http://www.globest.com/news/1878_1878/houston/308348-1.html
    HOUSTON-Cabot Properties Inc. has bulked up its local industrial portfolio through the acquisition of 11 properties totaling 1.2 million square feet. The purchase price was undislosed, but local experts estimate the portfolio, which includes both distribution and flex-industrial space, traded for more than $50 million.

    The Boston-based firm bought the portfolio from Granite Properties Inc. in an all-cash deal through the Cabot Industrial Value Fund III. The fund seeks to invest up to $1.5 billion in the industrial property sector, focusing on major markets throughout North America and the United Kingdom.

    The 11 properties were part of a 16-property industrial portfolio owned by Granite. The Dallas-based firm made the decision last year to exit the industrial market and focus on office properties. With the sale to Cabot, Granite no longer owns any industrial properties, according to Rusty Tamlyn, a senior managing director with HFF’s local office.

    Tamlyn marketed the entire 16-property portfolio on behalf of Granite, working with HFF associate director Trent Agnew, senior managing director Randy Baird, managing director Jud Clements and director Robby Rieke. In December 2010, Exeter Property Group acquired three properties located in Dallas, while Duke Realty Corp. bought two properties situated near the Port of Houston.

    “This is the last piece,” Tamlyn tells GlobeSt.com, adding that Granite chose to split up the portfolio in order to maximize value. Cabot was the high bidder for the 11-property portfolio, which is spread across several Houston submarkets.

    “This is the largest industrial portfolio that has been on the market for 15 years,” Tamlyn notes. “We usually don’t have much industrial product of any scale that comes on the market.”

    Tamlyn says Cabot’s newly-acquired properties range from 100% occupied to completely empty. As a whole, the portfolio was 84% leased at the time of closing.

    “This is value-added acquisition because rents are below market in a lot of cases, Cabot has the opportunity to lease the portfolio,” Tamlyn notes, pointing specifically to Granite Plaza/Tech 290, a two-building complex offering 84,025 square feet of flex industrial space that is completely vacant.

    Tamlyn says Cabot was one of several investors interested in Granite’s portfolio. “Houston is on everyone’s radar because it’s a growth market,” he points out. “We had 4.3 million square feet of net absorption in the industrial sector – that puts us in the top five markets in the country – and most people think rental rates will go up.”

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    Houston’s #1: Houston Industrial Space, Houston Commercial Real Estate Sales and Houston Industrial Space For Lease. Houston Site Acquisitions specializes in Houston Commercial Real Estate including Houston Office Space, Houston Industrial Space, Houston Warehouse Space, Houston retail Space, Houston Tenant Representation and investment property. For commercial real estate assistance please contact us at 713-789-8700 or fill out the easy to fill out form located at the top right hand corner of this page.

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  3. HSACQ
    HSACQ says:

    July 14, 2011 at 1:08 pm (Edit)
    Real estate transactions HOUSTON CHRONICLEJuly 10, 2011, 8:31PM
    http://www.chron.com/disp/story.mpl/business/realestate/7647720.html

    Leases

    OFFICE: ION Geophysical Corp., a global provider of geophysical technology, services, and solutions for the oil and gas industry, has renewed its headquarters lease for 115,056 square feet in CityWestPlace, 2105 CityWest Blvd. Chip Colvill, Michael Anderson and Win Haggard Jr. of Colvill Office Properties represented the landlord, TPG/Cal/STRS, a joint venture of Thomas Properties Group and the California State Teachers’ Retirement System. Mark O’Donnell of Studley Houston represented the tenant.

    INDUSTRIAL: Houston Sound Service has leased 6,600 square feet at 352 Garden Oaks. Jeff Kuper and Preston Jaggi with the National Realty Group represented the tenant. Steve Hazel with InSite Realty represented the landlord, Houston Pine Forest.

    RETAIL: Buffalo Wild Wings has leased 5,700 square feet at The Crossing at Fry Road in Katy. James Doyle of Texas-Southwest Group represented the tenant. Dale Davison represented the landlord, Centro Properties Group.

    OFFICE: Association Management has leased 1,150 square feet at 4722 Riverstone Blvd. in Missouri City. Michael S. Holmes of Weichert Realtors-Wayne Murray Properties represented the landlord, Wayne Murray Holdings. Syd Talley of Association Management represented the tenant.

    RETAIL: Subway Real Estate has leased 1,200 square feet in Price Plaza Shopping Center at 1215 Fry Road. Alex Makris, Matt Keener and Jazz Hamilton of CB Richard Ellis represented the landlord.

    RETAIL: Southside Skate Shop has leased 1,310 square feet at Shoppes at First Colony, 1930 Texas 6. Matt Keener, Alex Makris and Jazz Hamilton of CB Richard Ellis represented the landlord.

    INDUSTRIAL: Nextel of Texas has renewed a 15,140-square-foot lease at 10718 Fallstone in the Sugar Land area and has renewed a 7,892-square-foot lease at 1291 N. Post Oak. Glynn Mireles and Jeff Everist of CB Richard Ellis represented Nextel. Steve Carter with Granite Properties represented the landlord at the Post Oak location, while Paul Magaziner represented the landlord at the Fallstone building.

    RETAIL: Nova Healthcare has leased 5,995 square feet in The Loop Shopping Center at 9565 S. Main from Malladi Reddy, trustee. Abe Charski of ACI represented the landlord. Mark Davis of Davis Commercial represented the tenant.

    RETAIL: Wonderwild has leased 7,483 square feet at The Grogan’s Mill Village Shopping Center, 2230 Buckthorne Place, for an arts-themed indoor party playground. Tim Maczko of the J. Beard Real Estate Co. represented the landlord.

    OFFICE: Depression and Bipolar Support Alliance of Greater Houston has leased 3,470 square feet at 3800 Buffalo Speedway. Collin Grimes of CB Richard Ellis represented the tenant. Warren Savery represented the landlord, Crescent Real Estate.

    RETAIL: Molina’s Restaurant has leased 5,600 square feet in Braes Heights at Bellaire Boulevard and Stella Link Road. Patrick Berna of Shanks & Associates represented the tenant. Stephen Swope represented the landlord, Centro Properties Group.

    INDUSTRIAL: Southern Fasteners and Supply has leased 13,645 square feet of warehouse space at 3341 Rauch St. from First Industrial Realty Trust. David Munson of Boyd Commercial represented the landlord. Richard Glass of CRC Real Estate represented the tenant.

    RETAIL: Hilti has renewed a lease for 4,374 square feet at 6306 Fairbanks North Houston. Russell Janicek, Matt Keener and Mark Raines of CB Richard Ellis represented the tenant.

    RETAIL: CiCi’s Pizza has leased 4,000 square feet at Clear Lake Center at 20700 Gulf Freeway. Mark Raines, Matt Keener and Russell Janicek of CB Richard Ellis represented the tenant.

    Etc.

    CITYCENTRE: Midway Cos. is adding a second conference venue to its mixed-use development near Interstate 10 and Beltway 8 in partnership with Hotel Sorella/Valencia Group. Construction is under way on the 8,500-square-foot Hotel Sorella Meetings & Events Centre, with completion planned in August to coincide with the hotel’s second anniversary. Houston-based Proem Design-Build is overseeing the build-out, and Los Angeles-based Jennifer Skaife is providing interior design services. The project includes the La Scala Ballroom, nearly 4,000 square feet, with seating for 300; four boardrooms; a 200-square-foot conference room; several pre-function areas — the largest approximately 1,300 square feet; and a partially open pantry kitchen. Bistro Alex’s culinary team will oversee food and beverage for the venue.
    (www.hsaleasing.com)

    FINANCING: HFF has arranged financing for 712 Main on behalf of an entity owned by Brookfield Real Estate Opportunity Fund. John Ahmed led the HFF team in securing the non-recourse loan through Capital One Bank. Built in 1929, the 35-story gothic/art deco-style building contains 794,186 square feet and is the Texas headquarters of JP Morgan Chase’s southwest banking operations.

    SERVICE KING: Service King has opened a 32,000-square-foot location at 5919 Westheimer. Service King redeveloped the long-vacated former Truluck’s restaurant location on Westheimer for its offices and built the collision repair center behind it. It is the 10th Houston-area location opened for the collision repair company since 2009.

    APARTMENTS: Allied Realty is targeting a summer 2012 opening for its first project in The Woodlands: The Retreat at The Woodlands, a 240-unit luxury apartment community at 4400 College Park Drive. The property is designed by Steinberg Design Collaborative and will be managed by Orion Real Estate Services, a division of Allied Realty. Financing and capital is being provided by JP Morgan Chase and a partnership between Allied Realty and De Anda Sandoval Group.

    APARTMENTS: Transwestern announced that its Houston-area multifamily services group has completed six transactions totaling over 2,000 units in the last six months. Most recently, The Brazos, a 160-unit apartment community at 1440 Brazos Drive in Huntsville, was purchased by a local private investor. Transwestern represented a California-based seller.

    CHRISTIAN BROTHERS: Andy and Christie Miller have opened a Christian Brothers Automotive franchise at 1515 W. FM 646 at Walker Road in League City. The 5,000-square-foot location includes nine service bays and an upscale lobby with leather couches, decorative lighting, artwork and hardwood floors. The Millers opened their first Christian Brothers location in February 2007 in Clear Lake. The automotive service and repair franchise operates in 14 states and has 81 locations plus 35 under development.

    LEASING: Rosemont Realty of Santa Fe, N.M., has chosen Moody Rambin Interests to handle leasing at 12621 Featherwood.

    LEASING: The Finial Group has been selected to provide leasing for 1001 Texas- The Binz Building. Keith Bilski, Neil Martin and Ben Debayle will handle leasing of the 121,392-square-foot building.

    APARTMENTS: Jones Lang LaSalle’s Capital Markets has been hired to market Legends at Cinco Ranch in Houston for sale for Sterling Investco, a Dallas-based multifamily developer. The new 260-unit community is expected to fetch in excess of $40 million. The firm has also been hired to secure $8 million in construction financing for the project’s second phase.

    CITY VIEW LOFTS: Orion Real Estate Services has been selected to manage City View Lofts, a newly renovated historic property at 15 N. Chenevert, scheduled to open in August. The former Nabisco cookie factory has been converted into 57 loft-style units with original exposed brick and pipes, 14-to-30-foot barrel-vaulted ceilings, large factory windows and original maple floors. City View Lofts is two blocks from Minute Maid Park.

    Interesting Article:
    Houston Site Acquisitions specializes in Houston Commercial Real Estate including , Houston Industrial Space, Houston Warehouse Space, and industrial investment property. For commercial real estate assistance please contact us at 713-789-8700 or fill out the easy to fill out form located at the top right hand corner of this page. http://www.hsacq.com

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