The first two tenants at Interwood Distribution Center in Houston, a joint venture between Holt Lunsford Commercial Investments and GID Real Estate Investments, have leased a total of 273,347 square feet in two buildings.
The leases by GCP Paper USA, Inc. and Tailift Material Handling USA, bring Interwood Distribution Center to 80 percent occupancy less than five months after it was completed.
Located at the northeast corner of John F. Kennedy Boulevard and Interwood South Parkway, about one mile south of George Bush Intercontinental Airport, the distribution center was completed in December 2020. It has a total of 341,692 square feet across two adjacent buildings. Building 1 is a 105,847-square-foot rear-load facility and Building 2 is a cross-dock facility with 235,845 square feet of space.
GCP Paper USA Inc. has signed a full-building lease at Building 2 to house the company’s U.S. headquarters and its first manufacturing and distribution center in the country. Tailift Material Handling, a subsidiary of Toyota specializing in small industrial vehicles, is relocating its U.S. headquarters from Southern California to Houston and will occupy 37,502 square feet in Building 1. Building 1 now has 68,345 square feet of remaining leasable space, including a 2,874-square-foot spec office. The remaining space could also be divided down to 14,121 square feet.
Brokers on the GCP Paper USA deal were Craig Bean and John Kruse of Holt Lunsford Commercial, a Texas-based, third-party commercial real estate company. Eric Hughes of Centermark Commercial Real Estate acted as a tenant representative for GCP Paper USA.
Bean, managing principal of Houston industrial leasing for Holt Lunsford Commercial, said in a prepared statement the North Houston industrial submarket has seen a record amount of speculative development over the last two years. He said the firm’s research shows the average lease-up time to stabilize speculative projects in the submarket is approximately 18 to 24 months.
GID Industrial Moves
In April, Boston-based GID and Ivanhoé Cambridge of Montreal announced the creation of GID Industrial, an investment platform targeting industrial assets in growing markets nationwide with a focus on urban infill assets. GID Industrial is a wholly owned subsidiary of GID. The subsidiary has already closed and committed to multiple acquisitions and developments in Tampa, Fla; Dallas; Las Vegas and Northern New Jersey. One of the assets is a 135,745-square-foot light industrial building in Gilbert Spectrum Business Park in Gilbert, Ariz., in metro Phoenix, which was purchased for $23.2 million from SunCap Property Group.
At the end of last year, GID bought a 101,075-square-foot distribution center in the Starkey Lakes Industrial Center in the Tampa Bay, Fla., area from Monin for $14 million. GID leased the building back to Monin, a syrup and sauce manufacturer.