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Q4 2022 | E Fort Bend Commercial Real Estate Snapshot

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E Fort Bend Commercial Real Estate Snapshot


Key Takeaways

  • Office records positive absorption and vacancy decreases
  • Medical office vacancy is up quarterly and annually
  • Industrial records positive net absorption and vacancy drops
  • Retail records positive net absorption and vacancy falls

Office Highlights

2022_Q4_Fort Bend_Office_Quad modified  

The E Fort Bend office submarket contains 6.0M SF of office space. The submarket posted 14,820 SF of positive net absorption in Q4; however, the submarket ended 2022 recording an annual total of negative 91,965 square feet. The average vacancy rate decreased 30 basis points over the quarter from 22.2% to 21.9%. The average quoted gross rental rate increased over the quarter from $29.46 to $29.49 per SF, and leasing activity increased over the quarter from 66,459 SF in Q3 2022 to 96,277 SF in Q4 2022. There are currently no buildings under construction in the submarket.

Medical Office Highlights

2022_Q4_Fort Bend_Medical_Quadrant  

The E Fort Bend medical office submarket contains 1.8M SF of medical office space. The submarket recorded -37,247 SF of negative net absorption in Q4 2022. The average vacancy rate increased 210 basis points from 10.4% to 12.5% over the quarter and increased 130 basis points annually. Leasing activity decreased 40.8% annually, but increased on a quarterly basis by 40.5%, recording 21,597 square feet in Q4 2022. The average quoted gross rental rate increased over the quarter from $28.72 to $29.10 per SF. There are no medical office buildings currently under construction in the submarket.

Industrial Highlights

2022_Q4_Fort Bend_Industrial_Quad modified  

The Fort Bend/Sugar Land industrial submarket contains 39.8M SF of industrial space and currently has 3.5M SF of space available. The submarket recorded 807,977 SF of positive net absorption in Q4 2022, bringing the year-end 2022 total to 2.7 million SF. Vacancy decreased from 6.5% to 5.1% over the quarter. The average asking NNN rental rate for all property types increased over the quarter from $8.94 per SF to $9.96 per SF. Bulk distribution represents 38% of the existing inventory and the average rental rate is $7.42 per SF. There are eight buildings totaling 1,088,820 SF of industrial space that are currently under construction. The largest building under construction is a 523,640-SF distribution warehouse located in the Main Central Business Park at U.S. Hwy 90 and Chimney Rock.

Retail Highlights 

2022_Q4_Fort Bend_Retail_Quad modified

The Fort Bend/Sugar Land retail submarket contains 16.1M SF of retail space, 858,740 SF of which is available for lease. The submarket recorded 357,041 SF of positive net absorption in Q4 2022, pushing the year-end 2022 total net absorption to 467,098 SF. Vacancy decreased 20 basis points from 5.6% in Q3 2022 to 5.4% in Q4 2022. The average asking rental rate for this retail submarket increased from $23.09 per SF in Q3 2022 to $23.23 per SF in Q4 2022. There is one retail property currently under construction in the submarket in Brazos Town Center, which is scheduled to deliver in Q3 2023. 


Representative Properties

2022_Q4_Fort Bend_Stiles Lane 2022_Q4_Fort Bend_AC Rosenberg 2022_Q4_Fort Bend_Constellation Post Oak
Two (2) ±50,040 SF Industrial Buildings ±48.61 AC in Rosenberg, TX Constellation Post Oak - Under Construction
13027 Stiles Ln
Sugar Land, TX
±48.61 AC
Rosenberg, TX
14942-15012 S Post Oak Rd
Houston, TX
2022_Q4_Fort Bend_FM 1464  Beechnut 2022_Q3_Fort Bend_Industrial Boulevard 2022_Q3_Fort Bend_Reed Road
±14.8 AC Multifamily Site 50,004 SF Office/Warehouse ±12,175 SF Office/Warehouse
FM 1464 & Beechnut
Sugar Land, TX
1350 Industrial Blvd
Sugar Land, TX
12560 Reed Rd
Sugar Land, TX
2022_Q3_Fort Bend_Stafford Road 2022_Q3_Fort Bend_Southwest Freeway 2022_Q3_Fort Bend_Gillinghan Lane
±5.11 AC in Stafford, TX Four-Story, 69,011 SF Office Building ±150,000 SF Office/Flex Building
Stafford Rd & Mula Rd
Stafford, TX
14140 Southwest Fwy
Sugar Land, TX
1410 Gillingham Ln
Sugar Land, TX

2022_Q4_Fort Bend_SRI_1024x972

Q4 2022 | E Fort Bend Commercial Real Estate Snapshot

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Related Experts

Kolbe Curtice

Managing Director & Principal


Kolbe has been a licensed Texas real estate broker for more than 40 years. In 1997, he opened Curtice Commercial Real Estate in Sugar Land where the fast-paced growth in Fort Bend County propelled him into a broad spectrum of real estate solutions. Kolbe merged CCRE with Colliers in the Houston office in 2010. Over the last 15+ years Kolbe has played a significant roll in developing Sugar Land and the Fort Bend County market. Kolbe specializes in office and retail sales, leasing and development. Prior to opening Curtice Commercial Real Estate, Kolbe spent 11 years with Weingarten Realty Investors where he handled leasing/asset management for shopping centers in Southeast and Central Texas.

Kolbe was a founder and organizer of Founders Bank in Sugar Land in 2007 and served as director until the bank merged with Vista Bank in 2011.  He is also a founding member and past president of the Fort Bend Society of Commercial Realtors. Kolbe currently serves as an advisory director for the Fort Bend Business Journal.

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Jim Pratt



Jim Pratt has more than 35 years’ experience in commercial real estate.  Prior to joining Colliers in 2009, he was a Principal with NAI Houston. In addition to representing tenants, buyers and sellers of real estate, Jim has represented many institutional and private owners in the leasing of office and industrial properties and has developed an in-depth understanding of the dynamics involved and what makes a deal work for both tenants and landlords.  He is known for his significant creativity in the structuring of unique solutions for complex assignments, resulting in “win-win” transactions.  His analytical skills and his ability to communicate the pertinent facts throughout the negotiation process have produced significant results.

Jim has represented tenants and owners ranging from local entrepreneurs to large corporations in transactions in Houston and throughout North America, completing more than 100 assignments outside of Texas.  He has handled all types of industrial and land  requirements in addition to offices leases, and the acquisition and disposition of all types of real estate. In the last economic downturn, Jim helped structure sale/leasebacks providing significant liquidity for one of his clients.  Jim is currently assisting clients with the evaluation and implementation of this same strategy, as well as lease restructuring where applicable.

Prior to entering commercial real estate in 1985, Jim served as a project manager on several multi-million dollar commercial construction projects for W.S. Bellows Construction Corporation.  His educational background in architecture has also proven invaluable in assisting landlords and tenants in the evaluation process involved in site selection.

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Barkley Peschel



Mr. Peschel is a multi-disciplined commercial real estate advisor with experience in tenant/buyer representation, relocation/expansion, land acquisition/disposition, and economic incentive negotiations.  He spends most of his time on industrial and land transactions, but given the Colliers network and resources, he’s involved in a variety of deal types including office and investments.  He is surrounded by experts who he partners with depending on the deal.  He stays involved in transactions to bring trust to the client. 

Barkley's clients tell him that they enjoy working with him; that they have a high degree of confidence that he can perform to help them meet their goals; and that they appreciate his resourcefulness and sense of urgency.  Barkley's background in economic development combined with the Colliers process and platform gives him a unique perspective and experience that he uses to meet his clients’ commercial real estate needs.

Barkley is consistently a top producer (Titan) in the Houston office.  In 2015, he was a Colliers' Everest Award recipient. This award is bestowed upon the top 10% of all Colliers brokerage professionals across the United States based on revenue production. 

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Jason Scholtz

Senior Vice President


Jason’s primary focus is on buying, selling and leasing supply chain properties throughout the greater Houston region. Whether it’s locating additional distribution space for a growing e-commerce company, advising a client on potential relocation sites, or helping a property owner monetize an under-performing asset, Jason’s expertise and knowledge of supply chain properties ensure that his clients are making the best possible real estate decisions.  If you are considering an upcoming real estate project that involves distribution, logistics, or manufacturing, contact Jason for a complimentary advisory consultation today.   

Prior to joining Colliers, Jason held various positions of increasing responsibility with Fluor, Halliburton, and Nalco Champion. His corporate experience enabled him to lead complex projects aimed at increasing revenues, decreasing costs, and maximizing supply chain efficiencies across global networks. His experience as a corporate real estate "user" has given him a unique perspective on the proper utilization and optimization of real estate assets, thus enabling his clients to take a strategic approach to their real estate portfolios.

Jason received his Masters of Business Administration from the C.T. Bauer College of Business at the University of Houston. He also holds a Bachelor of Science in Finance and Real Estate from the University of South Carolina.

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