Insite Realty Sells Park Ten Asset

HOUSTON-Insite Realty has sold its Park Ten office asset to an out-of-state investor for close to the asking price of $4.75 million.

Insite originally purchased the 53,000-sf office building at 15835 Park Ten in far west Houston in 2001. Logan Brown, a senior vice president in the Houston office of Grubb & Ellis tells GlobeSt.com that during its tenure Insite renovated the interiors, took occupancy from approximately 60% to 99% leased and renewed the lease of the building’s major tenant and namesake, Atwood Oceanics.

Brown says that after accomplishing these goals, Insite decided to sell the property in order to redeploy its efforts and money elsewhere. The building was never officially listed on the market, says Brown. After a letter of intent with one buyer fell through, the building was put under contract in a matter of weeks with its ultimate buyer, a private investor from the southeastern US with 8610 Broadway Ltd., as the name of record. Brown handled the entire sales transaction.

Atwood Oceanics has had its corporate headquarters in the building since it first opened in 1980. Logan says the firm currently occupies about 70% of the building and has four years left on its current lease. Considering its history with the building, he adds, it is likely that the tenant will stay on. Brown says the buyer’s intent is to hold the property as an investment.

Besides having a strong anchor tenant, Brown says the strength of the Park Ten submarket along Interstate 10 in west Houston was a plus in selling the property. Park Ten has tighter occupancies, over 95%, than its nearest competitors, namely the Energy Corridor and Westchase submarket, he says. Additionally, says Brown, Park Ten is located just beyond along Interstate 10 keeping its tenants out of the fray.