Brookhollow Slated for Renovation under New Ownership
- Jan 30, 2012
Parmenter Realty Partners marks its second Houston purchase—and the third purchase for Parmenter’s Realty Fund IV— along with the acquisition of Brookhollow Plaza I, II and III.
The property, known as Brookhollow Central, is a Class A, three-building, 806,000-square-foot office project; the 11-story Brookhollow one, located at 2800 North Loop West, was built in 1972, whereas the second 14-story building was constructed in 1979 and the third was completed in 1981. Located next to the 382-room Sheraton Houston Brookhollow Hotel, the office park is also serviced by a 2,700-space parking garage.
Ninety-one 91 percent of Brookhollow II and III have been leased, while Brookhollow I is being prepared for a $9 million renovation. The renovation will include new entryways, elevators, HVAC systems, lobbies and tenant common areas. “Upon completion of the renovation, which is expected to take nine months, Brookhollow will in effect be a new building,” said Steve Bronner, managing principal of Parmenter Realty’s Southwest region. “We will offer tenants an exceptional value in comparison to the competition, in combination with offering our tenants great accessibility to the Houston metropolitan area.”
Parmenter was represented by Wally Reed of Holliday Fenoglio Fowler L.P., while financing for the acquisition was provided by CIBC Capital Markets. Although no financial details have been released, in late November 2011, Real Estate Alert reported Parmenter’s intent of purchasing the office park for $71 million. At the time, Parmenter’s offer was not the highest, but the sellers—California State Teachers and Thomas Properties of Los Angeles—preferred their $88 per square foot, as they deemed it most likely to go off without a hitch.