Houston Is Scraping Office Buildings to Build Industrial

What’s hot in warehouses? Hydroponic lettuce.

True Harvest Farms is building phase two of a hothouse and headhouse spanning 115,700 square feet at 111 True Harvest Way in Belton. The project is expected to cost about $20 million, or about $173 per square foot. Construction started in March and could be finished in June.

What’s hot in office? Warehouses. Brennan Investment Group purchased a vacant office building in Houston with plans to scrape it and build a 157,000-square-foot warehouse on the 10-acre site at 500 North Sam Houston Parkway, the Houston Business Journal reported. The two-story office building was constructed in 2007, and while the Houston office market struggles, industrial is booming across Greater Houston.

A former indoor trampoline park in Houston is also going industrial. Greystar is planning two massive buildings at 7505 South Sam Houston Parkway East. One will span nearly 529,000 square feet and cost $30.6 million, according to the filing. That’s a little under $58 per square foot. The other wil span 146,400 square feet and cost $9.2 million, according to the filing. That’s almost $63 per square foot.

Trammell Crow Company plans four buildings in the first phase of a logistics center at 12524 Conklin Lane in Houston. Together they will span almost 425,000 square feet and cost about $24.5 million, or almost $57 per square foot. Construction could start in August and take about a year.

An LLC with the same address as Transwestern filed plans to build a $14.5 million spec warehouse in Houston. The project, building 2 of Innerbelt Northwest, would span nearly 429,000 square feet, and the address is listed in the filing as 8500 Houston Avenue.

Alliance Industrial Company filed plans to build two shell warehouses totaling 171,100 square feet at Alliance Connor Lane in Austin. The projects will cost nearly $18 million, with construction beginning in September and finishing in the summer of 2024.

— Rachel Stone