Colliers International is moving into a new space that will expand its Houston operations to meet demand for its commercial real estate services to investors, property owners, tenants and developers.
The Colliers Houston office will relocate to a 22,250-square-foot space occupying a full floor in the Park Towers North building at 1233 W. Loop South in the Galleria/West Loop market. Park Towers will soon boast Colliers signage at one of the busiest intersections in the city. Jay Kyle, principal of Colliers International represented Colliers in the lease transaction and Steven M. Seltzer, chief operating officer of TPMC Realty Corporation represented the landlord, Post Oak Realty Investment Partners, L.P
The new lease is driven by Colliers’ steady growth during the past five years. Park Towers offers a much more efficient floor-plate allowing Colliers to add up to 26 more professionals with just 3,000 square feet of additional space.
“Colliers in Houston was created by its true visionary, Les Appelt, in 1957. It grew as the city grew and now is expanding once again,” said Charlie Herder, co-chairman & principal of Colliers in Houston. “What is truly exciting about our new offices is not just the increased size but the opportunity to plan out our internal interface with one another, to provide an open atmosphere for the most productive dialogue and to demonstrate to our clients our commitment to solid, professional services in the Houston market.”
Colliers is a leading global commercial real estate services organization defined by spirit of enterprise. Their 12,300 professionals in over 520 offices worldwide are dedicated to creating strategic partnerships with clients, providing customized services that transform real estate into a competitive advantage.
Colliers International Outpacing Industry, Growing Faster than Three Biggest Competitors Combined
Nationally, Colliers International is growing fast and strong and the Houston office is part of it. “We don’t want to be the biggest, but we feel like we have substantial room to grow without our brokers stepping over each other,” commented Pat Duffy, president of Colliers in Houston.
In October 2012, Colliers International outpaced the industry, growing faster than their three biggest competitors combined.
“We are excited about our future and the continued growth in our company. We expect to continue attracting experienced real estate professionals in 2013. The relocation is a reflection of our growth and the need for additional office space,” said Bob Parsley, co-chairman & principal of Colliers in Houston. “Our capabilities are continuously evolving to provide new and expanded services for our clients and 2012 was a reflection of that growth. With an increase of 40% in gross revenue over 2011, 2012 was the best year in the Houston office’s history and we hope to build on that momentum.”
Colliers strives to be the firm that defines the next 10, 20, 30 years within the industry. Among its local clients are the Methodist Hospital System, Talisman Energy, Fidelity Investments, Newland Communities, and The Woodlands Development Company, a wholly-owned subsidiary of The Howard Hughes Corporation.
Houston's Strong Economy Boosts Office Leasing, Sales, and Development Activity
Houston’s strong job growth boosted office leasing in 2012. Fourth quarter leasing activity reached 2.4 million SF, pushing the year-end total to over 12.2 million SF. The Houston metropolitan area added 85,300 jobs between November 2011 and November 2012, an annual increase of 3.2% over the prior year’s job growth. Further, Houston’s unemployment fell to 5.8% from 7.3% one year ago, which bolstered annual Houston area home sales by 27.9%.
Expansion in the energy industry has driven demand for new office development as tenants find it harder to locate blocks of quality office space. Currently, over 4.2 million SF of office space is under construction and approximately 50.0% of it is pre-leased.
Houston’s overall vacancy levels fell to 13.8%, an annual decrease of 170 basis points. The city-wide average rental rate increased from $22.20 per SF to $23.97 per SF over the year, a nearly 8.0% increase.
“With continued expansion in the energy industry and a strong housing market, Houston’s economy is expected to remain healthy for both the near and long-term,” commented Lisa Bridges, director of market research for Colliers Houston office.