Transwestern Investment Sells Houston Office Building

June 10, 2025

Office Houston Investment News More Southwest

The asset last traded more than a decade ago.

Exterior shot of the four-story office building Reserve at Westchase in Houston — Completed in 1999, the four-story Reserve at Westchase underwent several upgrades in the last five years. *Image courtesy of JLL Capital Markets*

Transwestern Investment Group has sold Reserve at Westchase, a 194,919-square-foot, Class A office property in Houston’s Westchase district, to DML Capital LLC.

JLL Capital Markets represented the seller and worked on behalf of the buyer to secure insurance company financing for the acquisition.

Reserve at Westchase last traded in 2013 when TIM, together with its equity partner, State Farm Life Insurance Co., purchased the property from Acron Group. The asset changed hands for $44 million, CommercialEdge shows.

Completed in 1999, the four-story building has undergone significant renovations over the past five years. The property offers a recently built first-floor tenant lounge, conference center and parking garage with 804 spaces. The building is currently 76 percent leased to anchor tenants Mattress Firm, Yang Ming and Taylor Morrison.

Reserve at Westchase is at 3250 Briarpark Drive, close to Beltway 8 and Westpark Tollway. The Westchase submarket is largely considered to be the metro’s new population center, according to JLL, as West Houston has grown more than 155 percent over the past 30 years, outpacing even the metro’s overall 86 percent growth.

The JLL Capital Markets Investment Sales and Advisory team representing the seller was led by Managing Director Kevin McConn, while the Debt Advisory team included Managing Director Michael Johnson and Director Michael King.

A slow but versatile market

In another deal brokered by JLL last month, Howard Hughes Holdings Inc. acquired 10101 Woodloch Forest Drive, a 202,601-square-foot, eight-story Class A office building in The Woodlands, Texas, for $16.3 million from Net Lease Office Properties.

The context for that price is that the building was unoccupied, which provided “the immediate ability to offer in-demand Class A office space in the region’s highest-performing office submarket”, Howard Hughes stated.

Houston’s office market got off to a slow start this year, according to CommercialEdge information, with no deliveries in the first couple of months, as opposed to having been the only U.S. market to have more than 1 million square feet in construction starts in 2024.

Another potentially meaningful side to the market is that CommercialEdge’s Conversion Feasibility Index rates 29 Houston office buildings, totaling nearly 2.4 million square feet, as strong candidates for conversion to residential space.