59,550-SF Industrial Sale/Leaseback Closes

HOUSTON-Encon Safety Products, a subsidiary of Netherlands-based Hagemeyer North America, and GSL Investments in here have completed a sale/leaseback of a 59,550-sf facility in the Northwest Point Business Park.

The deal-makers aren’t commenting on the selling or asking prices for 6825 W. Sam Houston Parkway North, but other real estate sources tell GlobeSt.com that comparable buildings typically trade for $40 per sf to $50 per sf. Encon signed a 10-year lease with options to renew.

John Haas, senior vice president of Wilson Wasaff Industrial in the city, represented GSL Investments. He says buyer and seller started negotiating the sale/leaseback in January, with the 13-year-old building never making to market. Scott Jones of Dillon Corporate Services-Cresa Partners in Dallas represented Encon, a manufacturer of industrial safety eye wash stations, hazmat showers and specialty safety eyewear.

Haas says the buyer was interested in the property for its location and “good tilt-wall construction and great credit tenant.” He says the seller was interested in pulling the build-to-suit holding from its balance sheet with a sale/leaseback.

According to Harris County’s Appraisal District, the building on about four acres is assessed at $1.9 million. The acquisition pushes GSL Investments to more than 50 single-tenant industrial buildings in the metro area.