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In Houston’s Fiery Industrial Market, Here Are The Top Projects To Break Ground This Year

November 8, 2018

With more than 4.2M SF of new product delivered in the third quarter, Houston's industrial market continues its blazing streak, according to Avison Young's Q3 market report. Houston's direct vacancy stands at 5%. 

And there is no slowdown in sight.

The construction pipeline increased to 10.3M SF during the quarter with 63 buildings under construction, representing mostly warehouse and distribution space. They are 37% pre-leased. 

The key factors pushing the demand for the industrial product include the growth of e-commerce suppliers and the influx of traffic at Port Houston, which has moved to top 5 in container traffic in the U.S. More big-box retailers like Best Buy and Conn's HomePlus have announced plans to open distribution centers. 

While distribution centers are launching throughout Houston, petrochemical activity has concentrated on developing in the southeast near the port and e-commerce companies have been attracted to the northern corridor. 

Other trends that support the industrial sector include the recovery of the energy sector, employment growth and the healthy construction pipeline, according to the report.  

Using data provided by Transwestern, Bisnow has compiled the largest industrial developments to break ground this year:


10. North Houston Logistics Center

Address: 30 Esplanade Blvd.

Tenant: None disclosed 

Rental space: 351K SF 

Percent leased: 0%

Developer: IDI Logistics 

Submarket: North Houston 

Expected Delivery: Q4 2019 


9. Underwood port logistics Center

Address: 4600 Underwood Road 

Tenants: None disclosed 

Rental space: 404K SF 

Percent leased: 0% 

Developer: Triten Real Estate Partners

Submarket: Southeast 

Expected Delivery: Q1 2019 


8. Plastic Bagging & Packaging Distribution Center 

Address: 5055 East Grant Parkway S. 

Tenants: Plastic Bagging & Packaging

Rental space: 519K SF 

Percent leased: 100%

Developer: Trammell Crow Co. 

Submarket: Southeast 

Expected Delivery: Q2 2019 


7. Best Buy Distribution Center  

Address: 636 Highway 90 

Tenants: Best Buy

Rental space: 550K SF 

Percent leased: 100% 

Developer: Seefried Properties Inc.

Submarket: Southwest 

Expected Delivery: Q4 2018


6. Port Crossing Commerce Center  

Address: 1302 Wharton Weems Blvd. 

Tenants: None disclosed 

Rental space: 600K SF 

Percent leased: 79%

Developer: Liberty Property Trust 

Submarket: Southeast 

Expected Delivery: Q1 2019 


5. Fallbrook pines building phase 2 

Address: 9800 Derrington Road 

Tenants: None disclosed

Rental space: 660K SF 

Percent leased: 0%

Developer: Trammell Crow Co. 

Submarket: Northwest 

Expected Delivery: Q4 2020 


4. Conn's homeplus Distribution CENTER

Address: 1401 North Rankin Road 

Tenants: Conn's HomePlus 

Rental space: 657K SF 

Percent leased: 100% 

Developer:  Liberty Property Trust 

Submarket: North 

Expected Delivery: Q2 2019 


3. PARK AIR 59 

Address: Highway 59 and Will Clayton Parkway  

Tenants: None disclosed

Rental space: 685K SF 

Percent leased: 0% 

Developer: Archway Properties Development 

Submarket: Northeast 

Expected Delivery: Q2 2019 


2. Grocers Supply Distribution Center

Address: 14803 Woodham Drive 

Tenant: Grocers Supply

Rental space: 728K SF 

Percent leased: 100%  

Developer: Liberty Property Trust

Submarket: North 

Expected Delivery: Q2 2019 


1. Pinto Business Park 

Address: Interstate 45 and Beltway 8

Tenants: The Coca-Cola Co.  

Rental space: 1M SF

Percent leased: 100% 

Developer: Hines 

Submarket: North  

Expected Delivery: Q1 2020