Houston Interport Facility Signs 436,410 Square Foot Industrial Lease

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Jones Lang LaSalle announced today that Jacobson Warehouse Company, Inc. has signed a 436,410-square-foot industrial lease at Interport Distribution Center - Building Two, located at 13031 Bay Area Blvd. in Pasadena, Texas.

Jones Lang LaSalle Senior Vice President John M. Talhelm and Vice Presidents Will Swanson and Kevin Erck represented the landlord, FR/CAL Interport, LP, a property owned by the California State Teachers Retirement System (CalSTRS). Principal Real Estate Investors is the advisor to CalSTRS for the property with Sealy & Company acting as property manager.  CB Richard Ellis represented the tenant.

"This lease signifies a breakthrough for a sub-market which has recently recorded double-digit vacancy rates, while other Houston markets are in the mid-single digits," said Talhelm "Interport Distribution Center is an attractive location for tenants like Jacobson with requirements for storage and distribution efficiency as well as quality construction and stable ownership.  The Interport site offers a secure location in a controlled and well maintained environment, with excellent accommodations for tractor trailer rigs and proximity to two container terminals; features not found in other area locations."

Located in the southeast submarket serving the Port of Houston's container terminals, Interport was part of an accelerated development trend that resulted in an overbuilt market. At its peak, vacancy rates in this sub-market averaged over 18 percent with minimal lease activity.

The Interport facility is equidistant from the Barbours Cut Container Terminal and the Bayport Container Terminal. This was important to the tenant due to the drayage and fuel costs involved in moving a large number of containers to and from the terminals. The site boasts cross-dock configuration; the ability to store numerous trailer rigs without blocking any doors; controlled ingress and egress; large truck courts; fully installed state-of-the-art T-5 lighting; and the ability to expand into additional space within the same facility.

"Historically, transactions of this size occur infrequently in the Houston market; however, as Houston's population continues to expand, the need for larger, regional distribution facilities should also increase," added Talhelm.  "Absorption of the remaining vacancies in this southeast submarket will accelerate, ultimately opening up new opportunities for the development community."

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