Lincoln Property to Manage Houston Landmark

Aerial view of Greenway Plaza. Image courtesy of Lincoln Property Co.

Lincoln Property Co. has been selected by a court-appointed receiver to provide property management services at Houston’s iconic 11-building, 4.5 million-square-foot Greenway Plaza office and mixed-use complex that is home to many of the city’s top companies.

Located on 52 acres between Houston’s central business district and Galleria submarket, the area is surrounded by high-end residential and retail areas. Built by the late Kenneth Schnitzer of Century Development starting in the late 1960s, Greenway Plaza is considered to be Houston’s first mixed-use development and an early example of the live-work-play concept.

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The Class A campus has been a landmark in the city and many of Houston’s top companies have offices there, including Occidental Oil & Gas, Invesco, Camden Property Trust, Boardwalk Pipeline, Magnolia Oil & Gas and Stephens. In September 2022, Invesco renewed its lease at Eleven Greenway Plaza, where it had been located for more than four decades. The global investment management firm signed a long-term lease extension for more than 180,200 square feet at the 31-story, 746,437-square-foot office tower.

$465 million CMBS loan default

The complex has had several owners over the years and undergone numerous upgrades. The most recent joint venture that owned Greenway Plaza, the Canada Pension Plan Investment Board, Nuveen Real Estate and Silverpeak Real Estate Partners, defaulted on a $465 million CMBS loan, according to reporting by Trepp and Bisnow.

When the loan matured in May 2022, refinancing efforts were unsuccessful, and the loan was transferred to special servicing two months later. But forbearance was granted, and the loan was paid through June 2023. Citing Trepp, Bisnow stated the borrower indicated over the summer it was no longer able to perform under the forbearance agreement and the loan went into default. A receiver has since been appointed, leading to the new property management assignment for Lincoln.

Greenway Plaza had previously been managed by Parkway Property Investments LLC. Parkway had earlier been the full owner of the campus but in April 2017 sold a 24.5 percent stake to a partnership between TH Real Estate (now Nuveen) and Silverpeak. CPP Investments also acquired a 24.5 percent stake and later became 75 percent owner of the complex after acquiring Parkway Inc. in a $1.2 billion merger in October 2017. Following the merger, Parkway Property Investments emerged as a spinoff.

Charlie Giammalva, executive vice president, Lincoln Property Co., said in prepared remarks Greenway Plaza is a cornerstone of the Houston office market and its significance cannot be overstated. Giammalva said Lincoln will bring a highly experienced team of professionals that have worked on large, complex assignments to the property and deliver efficiency, elevated maintenance and unmatched tenant experience.

Greenway Plaza amenities

The LEED Gold-certified complex has numerous amenities for tenants and visitors. Amenities include bike rooms; a food hall known as The Hub; casual fine dining; Lifetime Fitness, with outdoor pools and sundeck; a Primrose School for childcare; banking; sundry shop; coworking concepts; drycleaner; florist; hair salon; commercial printing and graphics. There is also an event space, a conference center and greenspace. A 388-key Doubletree by Hilton hotel is part of the complex and also has meeting and banquet facilities.

Buildings outlined

In addition to Eleven Greenway Plaza, the buildings to be managed by Lincoln include:

• One Greenway Plaza, an 11-story, 210,038-square-foot office building;
• Two Greenway Plaza, an 11-story, 209,914-square-foot office building
• Three Greenway Plaza, a 21-story, 518,578-square-foot Class A office tower;
• Four Greenway Plaza, an 11-story, 241,294-square-foot Class A office tower;
• Five Greenway Plaza, a 31-story, 912,011-square-foot Class A office tower;
• Eight Greenway Plaza, a 15-story, 255,305-square-foot Class A office tower;
• Nine Greenway Plaza, a 31-story, 747,819-square-foot Class A office tower;
• Twelve Greenway Plaza, a 15-story, 254,920-square-foot Class A building;
• 3800 Buffalo Speedway, a five-story, 155,761-square-foot office building;
• The Shops at Greenway/The Hub, a single-story, 97,411-square-foot food court and dining hall.