Marcus & Millichap is pleased to present the opportunity to acquire the property located at 6000 Gardendale Drive in Houston, Texas, leased to the parent company of Texas Access Controls, a Horton Automatics Company. The subject property consists of approximately 7,500 square feet of flex warehouse space and is situated on 0.53 acres of land. The single-tenant asset features 3,000 square feet of office space, four grade-level doors a clear height of 14’, and metal construction. Located along U.S. Route 290, the property has proximate access to major thoroughfares including Interstates 610 and 10. Given today’s high inflation environment, this sale offers an attractive core asset leased through December 2028 with above-market 5.0 percent rent escalations. Texas Access Controls is a subsidiary of the leaseholder, Door Services Corporation. In business since 1987, Texas Access Controls specializes in the repair and installation of automatic doors.
The subject property is situated within Houston’s second-largest submarket, Northwest Inner Loop, which contains 63.8 million square feet of industrial space. During the second quarter of 2024, the vacancy rate in Northwest Inner Loop steadied at 5.2 percent, comfortably below the 6.5 percent national average. Net absorption in Northwest Inner Loop has trended slightly in negative territory for six consecutive quarters but vacancies have only risen 110 basis points during this time. Slowing demand has impacted rent growth with asking rents up only 2.6 percent year-over-year in Q2. With no industrial properties under construction in Northwest Inner Loop, rents and vacancies will be unaffected by new supply for the foreseeable future (CoStar).
As the fifth most populous metro area in the U.S., Houston houses over seven million people in southeastern Texas. The market is composed of nine counties: Harris, Galveston, Brazoria, Fort Bend, Chambers, Montgomery, Austin, Liberty and Waller. The Gulf of Mexico, which borders the metro to the southeast, provides access to markets around the world via the Port of Houston, making it a prime location for import/export. Houston’s economy has diversified in recent years, with the healthcare and technology sectors showing strong growth. As Houston’s population continues to grow, primarily to the northwest, many companies are expanding to the region to provide goods and services to the increasing population.
This information has been secured from sources we believe to be reliable, but we make no representations or warranties, express or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2024 Marcus & Millichap. All rights reserved. (Activity ID: ZAF0040136)
