MARkET WATCH HOUSTON RETAIL - Transwestern · PDF fileMARkET WATCH Overall Vacancy Rates...
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HOUSTON RETAIL DECEMBER 2015 RECENT RETAIL LEASES Katy/Cinco Ranch :: Planet Fitness 20,000 SF new lease at Katy Ranch Crossing Spring Creek :: HCTRA 10,000 SF new lease at Northland Shopping Center Inner Loop/River Oaks :: Roka Akor 6,591 SF new lease at 2929 Weslayan RECENT RETAIL SALES Pearland/Manvel :: Brazos Mall 684,000 SF Buyer: Centennial Real Estate Co, Atlantic Creek RE Partners & The Northshore Property Group joint venture Seller: StreetMac Asset Managers, LLC & Five Mile Capital joint venture RETAIL IN THE NEWS Popular barbecue joint to open its largest location in Houston area link to story Houston Business Journal, December 9, 2015 Massive Sugar Land development signs Alamo Drafthouse as first tenant link to story CultureMap Houston, December 8, 2015 Post Oak bus lanes causing ‘concern and panic’ in retail, jeweler says link to story Houston Business Journal, December 7, 2015 RETAIL LEASE STATISTICS Source: CoStar - Houston retail buildings 5,000 SF and greater Retail Market Indicators SUBMARKET TOTAL RBA (SF) DIRECT VACANT (SF) DIRECT VACANCY RATE OVERALL VACANCY RATE SF UNDER CONSTRUCTION Q3 2015 NET ABSORPTION East (Pasadena/Galena Park, Channelview/Beaumont & Baytown/Chambers) 13,202,770 910,078 7.9% 7.9% 9,900 42,944 Inner Loop (CBD, Bellaire/West U, Galleria/Uptown, River Oaks, Heights & East End) 26,900,078 1,155,846 4.3% 4.3% 80,510 39,778 North (Near North, FM 1960/I-45, Greenspoint/North Belt, Spring Creek, Far North & The Woodlands/Montgomery) 57,177,727 2,866,424 6.0% 6.1% 61,000 78,626 Northeast (Near Northeast, Atascosita, Kingwood & Liberty County) 12,735,240 553,055 7.3% 7.5% 57,000 (101) Northwest (NW Oaks, Spring Branch, Willowbrook, Jersey Village, Copperfield, Fairfield, Cypress/Bridgelands, Far Katy North, Far NW & Tomball/Spring Cypress) 56,901,541 2,916,441 6.1% 6.2% 978,260 214,045 South (Pearland/Manvel & Near South) 13,679,963 713,999 6.2% 6.2% 174,060 (54,285) Southeast (Gulf Frwy/Pasadena, Baybrook/Clear Lake & Old Pearland/Alvin) 50,829,708 2,999,034 5.9% 6.0% 519,097 45,684 Southwest (Sharpstown/Southwest Central, West Oaks, Sugar Land/Stafford & Richmond/ Rosenberg) 34,575,448 1,978,639 6.7% 6.8% 259,525 (35,048) West (Memorial, Westchase, Energy Corridor & Katy/Cinco Ranch) 38,533,935 1,926,015 5.0% 5.2% 162,822 156,538 Total - Houston 304,536,410 16,019,531 6.4% 6.5% 2,302,174 488,181 Source: Costar - Houston retail buildings 5,000 SF and greater Retail Sales Statistics HOUSTON MSA UNITED STATES QUARTER TO DATE LAST QUARTER (Q3 2015) TRAILING 12 MONTHS LAST QUARTER (Q3 2015) TRAILING 12 MONTHS Volume ($ Mil) $193.1 $341.7 $1,698.3 $19,586.1 $90,375.7 No. of Properties 18 41 167 1,753 7,282 Total SF 1,496,733 3,023,645 10,479,099 101,204,307 438,476,413 Average Price/SF $212 $138 $185 $208 $214 Average Cap Rate (Yield) 6.6% 7.3% 7.0% 6.6% 6.6% Source: Real Capital Analytics MARKET WATCH Overall Vacancy Rates Asking Rental Rates (NNN) Q3 12 Q4 12 Q1 13 Q2 13 Q3 13 Q4 13 Q1 14 Q2 14 Q3 14 Q4 14 Q1 15 Q2 15 Q3 15 $16.50 $16.75 $17.00 $17.25 $17.50 $17.75 $18.00 6.0% 7.0% 8.0% 9.0% 10.0% 11.0% 12.0%
Transcript of MARkET WATCH HOUSTON RETAIL - Transwestern · PDF fileMARkET WATCH Overall Vacancy Rates...
HOUSTON RETAILDEcEmbER 2015
Recent RetAIL LeAses
Katy/Cinco Ranch :: Planet Fitness20,000 SF new lease at Katy Ranch Crossing
Spring Creek :: HCTRA10,000 SF new lease at Northland Shopping Center
Inner Loop/River Oaks :: Roka Akor 6,591 SF new lease at 2929 Weslayan
Recent RetAIL sALes
Pearland/Manvel :: Brazos Mall 684,000 SF Buyer: Centennial Real Estate Co, Atlantic Creek RE Partners & The Northshore Property Group joint ventureSeller: StreetMac Asset Managers, LLC & Five Mile Capital joint venture
RetAIL In tHe neWs
Popular barbecue joint to open its largest location in Houston area link to storyHouston Business Journal, December 9, 2015
Massive Sugar Land development signs Alamo Drafthouse as first tenant link to storyCultureMap Houston, December 8, 2015
Post Oak bus lanes causing ‘concern and panic’ in retail, jeweler says link to storyHouston Business Journal, December 7, 2015
RETAIL LEASE STATISTICS
Source: CoStar - Houston retail buildings 5,000 SF and greater
Retail Market IndicatorsSUBMARKET TOTAL RBA (SF)
DIRECT VACANT (SF)
DIRECT VACANCY RATE
OVERALL VACANCY RATE
SF UNDER CONSTRUCTION
Q3 2015 NET ABSORPTION
East (Pasadena/Galena Park, Channelview/Beaumont & Baytown/Chambers) 13,202,770 910,078 7.9% 7.9% 9,900 42,944
Inner Loop (CBD, Bellaire/West U, Galleria/Uptown, River Oaks, Heights & East End) 26,900,078 1,155,846 4.3% 4.3% 80,510 39,778
North (Near North, FM 1960/I-45, Greenspoint/North Belt, Spring Creek, Far North & The Woodlands/Montgomery)
57,177,727 2,866,424 6.0% 6.1% 61,000 78,626
Northeast (Near Northeast, Atascosita, Kingwood & Liberty County) 12,735,240 553,055 7.3% 7.5% 57,000 (101)
Northwest (NW Oaks, Spring Branch, Willowbrook, Jersey Village, Copperfield, Fairfield, Cypress/Bridgelands, Far Katy North, Far NW & Tomball/Spring Cypress)
56,901,541 2,916,441 6.1% 6.2% 978,260 214,045
South (Pearland/Manvel & Near South) 13,679,963 713,999 6.2% 6.2% 174,060 (54,285)
Southeast (Gulf Frwy/Pasadena, Baybrook/Clear Lake & Old Pearland/Alvin) 50,829,708 2,999,034 5.9% 6.0% 519,097 45,684
Southwest (Sharpstown/Southwest Central, West Oaks, Sugar Land/Stafford & Richmond/Rosenberg)
34,575,448 1,978,639 6.7% 6.8% 259,525 (35,048)
West (Memorial, Westchase, Energy Corridor & Katy/Cinco Ranch) 38,533,935 1,926,015 5.0% 5.2% 162,822 156,538
Total - Houston 304,536,410 16,019,531 6.4% 6.5% 2,302,174 488,181 Source: Costar - Houston retail buildings 5,000 SF and greater
Retail Sales StatisticsHouSTon MSA unITEd STATES
QuARTER To dATE
LAST QuARTER (Q3 2015)
TRAILIng 12 MonTHS
LAST QuARTER (Q3 2015)
TRAILIng 12 MonTHS
Volume ($ Mil)
$193.1 $341.7 $1,698.3 $19,586.1 $90,375.7
No. of Properties
18 41 167 1,753 7,282
Total SF 1,496,733 3,023,645 10,479,099 101,204,307 438,476,413
Average Price/SF
$212 $138 $185 $208 $214
Average Cap Rate (Yield)
6.6% 7.3% 7.0% 6.6% 6.6%
Source: Real Capital Analytics
MARkET WATCH
Overall Vacancy Rates Asking Rental Rates (NNN)
Q3 12 Q4 12 Q1 13 Q2 13 Q3 13 Q4 13 Q1 14 Q2 14 Q3 14 Q4 14 Q1 15 Q2 15 Q3 15 $16.50
$16.75
$17.00
$17.25
$17.50
$17.75
$18.00
6.0%
7.0%
8.0%
9.0%
10.0%
11.0%
12.0%
MARKET WATCH HOUSTON RETAIL MARKET DEcEMbER 2015
HOUSTON RETAIL MARKET WATCHDEcEmbER 2015
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See Inner Loop
Map
Inner Loop
Gulf Freeway/Pasadena
Baybrook / Clear Lake
Old Pearland / Alvin
1
2
3SOU
THE
AST
Pasadena / Galena Park
Channelview / Beaumont
Baytown / Chambers
1
2
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EA
ST
Pearland / Manvel
Near South
1
2SOU
TH
Near North
FM 1960 & I-45
Greens Point - North Belt
Spring Creek
Far North
The Woodlands - Montgomery
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NO
RTH
Near Northeast
Atascocita
Kingwood
Liberty County
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NO
RTH
EA
ST
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SOU
THW
EST
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INN
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LO
OP
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NO
RTH
WE
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CBD
Bellaire / West University
Galleria/Uptown
Inner Loop / River Oaks
Heights
East End
Northwest Oaks
Spring Branch
Willowbrook
Jersey Village
Copperfield
Fairfield
Cypress/Bridgelands
Far Katy North
Far Northwest
Tomball/Spring Cypress
Memorial
Westchase
Energy Corridor
Katy - Cinco Ranch
Sharpstown - Southwest Central
West Oaks
Sugar Land - Stafford
Richmond Rosenberg
Houston | RETAIL SUBMARKETS
InneR LOOP
1. CBD2. Bellaire/West University3. Galleria/Uptown4. Inner Loop/River Oaks5. Heights6. East End
West
1. Memorial2. Westchase3. Energy Corridor4. Katy/Cinco Ranch
nORtH
1. Near North2. FM 1960 & I-453. Greens Point/North Belt4. Spring Creek5. Far North6. The Woodlands/Montgomery
sOUtHWest
1. Sharpstown/Southwest Central2. West Oaks3. Sugar Land/Stafford4. Richmond/Rosenberg
nORtHWest
1. Northwest Oaks2. Spring Branch3. Willowbrook4. Jersey Village5. Copperfield6. Fairfield7. Cypress/Bridgelands8. Far Katy North9. Far Northwest10. Tomball/Spring Cypress
nORtHeAst
1. Near Northeast2. Atascocita3. Kingwood4. Liberty County
sOUtH
1. Pearland / Manvel2. Near South
eAst
1. Pasadena/Galena Park2. Channelview/Beaumont3. Baytown/Chambers
sOUtHeAst
1. Gulf Freeway/Pasadena2. Baybrook/Clear Lake3. Old Pearland/Alvin
Copyright © 2015 Transwestern. All rights reserved. No part of this work may be reproduced or distributed to third parties without written permission of the copyright owner. The information contained in this report was gathered by Transwestern from CoStar and other primary and secondary sources believed to be reliable. Transwestern, however, makes no representation concerning the accuracy or completeness of such information and expressly disclaims any responsibility for any inaccuracy contained herein.
HOUSTON RETAIL MARKET WATCHDEcEmbER 2015
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HOUstOn RetAIL teAM
Nick HernandezManaging [email protected]
Micha van Marcke, CCIMSenior Vice [email protected]
Tony ArmstrongVice [email protected]
Grant WalkerVice [email protected]
Crystal AllenVice [email protected]
Cindy NguyenSenior [email protected]
METHodoLogy
The information in this report is the result of a compilation of publicly available data from a variety of commercial and government sources.
ConTACT
Rachel AlexanderDirector of Market [email protected]
t 713.270.7700 F 713.270.6285www.transwestern.net/houston
1900 West Loop South, Suite 1300Houston, Texas 77027
Chace [email protected]
Chris [email protected]
Danielle SchidlowskiAssociate713.231.1584danielle.schidlowski@transwestern.com
ABOUt tR AnsWesteRn
Transwestern is a privately held real estate firm specializing in agency leasing, property and facilities management, tenant advisory, capital markets, research and sustainability. The fully integrated global enterprise leverages competencies in office, industrial, retail, multifamily and healthcare properties to add value for investors, owners and occupiers of real estate. As a member of the Transwestern family of companies, the firm capitalizes on market insights and operational expertise of independent affiliates specializing in development, real estate investment management and research. Transwestern has 34 U.S. offices and assists clients through more than 180 offices in 38 countries as part of a strategic alliance with Paris-based BNP Paribas Real Estate.
Transwestern was founded in Houston, Texas in 1978, and Houston remains the corporate headquarters today. As one of the preeminent commercial real estate firms in Houston, we offer a comprehensive menu of real estate services designed to provide owners, tenants and investors with the optimum solutions for their unique requirements. Transwestern has seasoned veterans in every area of expertise with the integrity, experience and creativity to be the best partner for its clients. Transwestern’s Houston office currently employs over 400 team members and has been an innovator in the Houston market for 37 years.
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