Skanska Pockets $147M for Houston Office Campus

West Memorial Place I and II. Image courtesy of Skanska

Skanska has sold West Memorial Place I and II, a two-building, 715,900-square-foot office campus in Houston, for roughly $147 million. A joint venture led by Houston-based Fuller Realty purchased the Class A property, which traded for the first time since its 2016 completion. JLL assisted the seller in the disposition.

Situated on 12.2 acres at 15375 and 15377 Memorial Drive in the Energy Corridor submarket, the campus comprises two office towers of 12 and 14 stories, respectively. The property features 29,000-square-foot floorplates and a parking ratio of 4 spaces per 1,000 square feet. Amenities include lush green areas, on-site dining and a fitness center.

The LEED Platinum-certified buildings were 78 percent leased at the time of sale, having PGS, IHI E&C International and Siemens Energy on their roster, among others. Fuller will spearhead all leasing efforts at the campus going forward.

The asset is some 17 miles west of downtown Houston, just south of Interstate 10. The location is steps away from the Westlake Park, an office campus where Younan Properties re-acquired a 455,000-square-foot building nine years after selling it to KBS Realty Advisors.

According to CommercialEdge data, West Memorial Place I and II is the largest office property that has changed hands in Houston since the beginning of 2022. Next in size is a 192,313-square-foot building located in the Briargrove submarket that BioUrja Group acquired in early January from Bridge Investment Group.

JLL’s Jeff Hollinden, Kevin McConn and Katherine Miller represented Skanska in the sale.

Skanska in Houston

A developer of more than 10.8 million square feet of commercial and multifamily projects across the U.S. since 2009, Skanska has a long history of Houston office projects. Apart from West Memorial Place, the Sweden-based firm also developed the 302,000-square-foot 3009 Post Oak Blvd. in 2013 and the 778,000-square-foot Bank of America Tower in 2019.

And the Skanska-Houston relationship continues. In June, the firm started construction on 1550 on the Green, a 375,000-square-foot Class A office building in the city’s downtown, adjacent to the Discovery Green urban park. Completion is slated for 2024.