McDermott Leases 50 KSF in Energy Corridor

McDermott International has taken 50,498 square feet at Westgate II, a 186,288-square-foot office building in Houston. JLL led the marketing efforts and arranged the lease signing on behalf of the landlord, a private investor.

Westgate II has been under the current ownership since 2024, when it acquired the asset from Peakstone Realty, according to CommercialEdge information. The property came online in 2014 and rises four stories. The new tenant, an engineering and construction services provider for the energy industry, will join EPC Construction Wood Group at the property.

Sticking to the Energy Corridor

Located at 17320 Katy Freeway in Houston’s Energy Corridor, the office building is just off Interstate 10, between Terry Hershey Park Hike & Bike Trail and George Bush Park. West Houston Airport is within 3 miles of the building, as are a Walmart Supercenter and Texas Children’s Hospital West Campus.

McDermott’s new offices will include 162 workstations, 66 offices, two large breakrooms, 10 conference rooms, a wellness room and collaboration areas. The space will house 254 employees on the property’s top floor. Based in Houston, the company’s headquarters is also within the Energy Corridor, at 915 N. Eldridge Parkway, less than five miles east of Westgate II.

JLL Managing Director Tyler Garrett and Senior Associate Christian Canion represented the ownership in the marketing and leasing efforts at Westgate II.

As of February, Houston’s full-service equivalent listing rates stood at $29.40 per square foot, below the national figure of $33.42, a recent CommercialEdge office report shows. The metro’s vacancy rate reached 22.8 percent, above the national average of 19.9 percent, which has increased 180 basis points from the previous year.