Lewis Marks Snags West Houston Office Building in 1031 Exchange
Sold a downtown office building for this property, appraised at just under $12M
Lewis Marks acquired a four-story West Houston office building in a 1031 exchange.
Under his company LM & Associates, Marks bought the 104,800-square-foot Briar Forest Crossing at 1300 West Sam Houston Parkway from CapRidge Partners for an undisclosed amount, in an off-market deal, the Houston Business Journal reported.
Marty Hogan of JLL represented CapRidge Partners in the sale, while Colliers brokers Doug Pack and Sam Hansen represented Marks.
The acquisition comes several months after Marks sold a downtown office building at 917 Franklin Street to NewForm Real Estate. The swap of properties qualified as a 1031 exchange, which allows real estate investors to trade one investment property for another while deferring capital gains taxes.
Terms of the 917 Franklin deal were also undisclosed, but the six-story, 51,000-square-foot building is valued at $3.75 million by the Harris Central Appraisal District. Briar Forest Crossing carries an $11.8 million valuation, and that includes the attached 50,000-square-foot parking garage, the outlet reported.
Briar Forest Crossing has a 73 percent occupancy rate. It serves as the headquarters of US Physical Therapy, one of the largest Houston-based public companies. Marks plans to upgrade the common areas, the conference center and restrooms, while adding more food options.
“We’re looking to have the appropriate amenities,” Pack told the outlet. “We’re Class A, so we think we’ll benefit from that ‘flight to quality’ and are doing things to ensure that we have a first-class product available.”
Briar Forest Crossing is near the bustling Energy Corridor business district, Galleria area and Memorial Villages, one of Houston’s most affluent residential areas.