Buchanan, Hanover Team Up for Logistics Development

Buchanan Capital Partners has completed the capitalization of North Airport Logistics Center, an upcoming 476,000-square-foot facility in North Houston. The firm partnered with The Hanover Co. for this project, marking BCP’s first joint venture with Hanover’s industrial development platform.

When complete, the cross-dock facility will feature 36-foot clear heights, 89 dock doors, 105 trailer and 322 car parking spaces. In a prepared statement, Hanover Development Partner James Melody noted that the facility will also include more than 3.5 acres of outside storage area. Leasing will be led by CBRE Senior Vice President Faron Wiley.

The 28.9-acre site is along Rayford Road and FM 1960, about 1 mile north of George Bush Intercontinental Airport. The location provides quick access to major transportation infrastructure, including interstates 45 and 69, Beltway 8 and State Highway 99, within one of Houston’s most active industrial corridors.

The North Houston submarket benefits from its proximity to IAH and Houston’s broader logistics network. The area is home to Eli Lilly’s planned $6 billion manufacturing facility in Northeast Houston and Foxconn’s Fairbanks Logistics Park.

Holding its momentum into 2026

Across Houston, industrial space net absorption and leasing activity “held its 2025 momentum through the start of 2026, accompanied by a large number of new deliveries,” according to a first-quarter report from CBRE. Deal volume is “expected to remain high throughout 2026 as large tenants continue to express interest in the Houston market.”

The North Houston submarket had a total availability of 8.7 percent at the end of March, on an inventory of nearly 113 million square feet. Construction was active, with 1.6 million square feet of industrial deliveries in the first quarter and nearly 3.2 million square feet underway, the report shows.

One of the under-construction projects is Ella 45, a 254,000-square-foot light industrial facility being developed by Hanover in partnership with Pearlmark Real Estate. Delivery is expected later this year.