AEW Capital Inks Lease Renewal in Houston
Brookfield Properties is the manager of the 52-story downtown Houston tower.
Private equity firm Lime Rock Management has signed a 57,000-square-foot lease renewal at Heritage Plaza, a Class A+ office tower in downtown Houston. AEW Capital Management is the majority owner of the 1.1 million-square-foot building.
AEW purchased a 90 percent interest in the asset from Brookfield Properties in 2014, according to CommercialEdge. Brookfield maintained its ownership stake and is the property manager and leasing agent of the building.
Lime Rock Management will continue its tenancy, that started in 2005, and will use the space to house three of its divisions. CBRE negotiated on behalf of the tenant, while Brookfield handled the lease renewal in-house. The current tenant roster at the property includes Kroll, Societe Generale, Blackstone, Deloitte and EOG Resources, that extended its lease to 375,000 square feet in September 2022.
A recent capital improvement plan
Built in 1986, the 52-story high-rise at 1111 Bagby St. features 27,932-square-foot floor plates, 28 passenger elevators and a multi-level parking structure with 2,655 parking spots, CommercialEdge shows.
In 2021, the property underwent a capital improvement plan, designed by Kirksey Architecture. The renovation resulted in a new conference center, a 10,000-square-foot fitness center with locker rooms, an upgraded glass exterior curtain wall and an exterior plaza with seating.
Rising on an approximately 1.5-acre lot, the office building is close to Interstate 45, while being 2.3 miles from East downtown Houston, 13 miles from Southwest Houston and within 20 miles of George Bush Intercontinental Airport.
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CBRE’s Vice Chairman Kevin Kushner and Senior Vice President William Padon represented the tenant in the lease negotiations. Vice Presidents Tyler Merritt and William Holliday of Brookfield Properties represented the landlord.
Other recent office leases in the metro included Gulf Cos.’ 52,148-square-foot commitment at Eldridge Oaks, Broadshore Capital Partners’ LEED Gold-certified building. Additionally, coworking provider Industrious expanded its Houston footprint with a new, 23,489-square-foot location also in Downtown.
