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“Get back to business”: Industrial real estate in Texas enters new phase of localized momentum Texas’ top industrial markets are heading into 2025 with three very different momentum stories. While Houston builds strength around manufacturing, Dallas leverages its depth and adaptability and Austin bets big on long-term tenant growth. The path forward will depend on each city’s ability to meet demand with the right product at the right speed.
Lead the transformation’: Medical office conversions gain momentum with Hartman’s 3100 Weslayan as a model As traditional office markets face mounting vacancy, a new type of tenant is revitalizing Houston buildings: healthcare providers.
The Property Tax Challenges Natural Disasters Create (and Strategies to Overcome Them) Natural disasters make headlines increasingly often these days — everything from hurricane-force winds dealing widespread power outages to wildfires that decimate all in their path.
Will the great uncertainty accelerate or derail the great reset? The new math of CRE valuations and leverage, combined with the end of “extend and pretend” loan modifications and a wave of loan maturities, signaled an inevitable market correction.
Top five investment trends in healthcare real estate Over the last several years, healthcare real estate has arguably been the preferred asset classes for real estate investors.
Scoop/People on the Move
The retail sector? The news isn't as bad you might think It seems like major retailers are closing their doors every day, however, the retail sector has shown impressive resilience.
2025 Texas Economic Development Guide Special Section.
“Get back to business”: Industrial real estate in Texas enters new phase of localized momentum
BY BRANDI SMITH
Texas’ top industrial markets are heading into 2025 with three very different momentum stories. While Houston builds strength around manufacturing, Dallas leverages its depth and adaptability and Austin bets big on long-term tenant growth. The path forward will depend on each city’s ability to meet demand with the right product at the right speed.
‘Very rewarding’: Resilience backed by manufacturing demand in Houston
In Houston, robust tenant demand, particularly from manufacturers, pushed net absorption to 21.6 million square feet in 2024, driving vacancy back down to 6.5 percent (below the five-year average). At the same time, 5.4 million square feet broke ground in the fourth quarter. Of the 1.9 million square feet delivered, roughly 41 percent percent was preleased.
“We’ve seen continued growth in occupancy for manufacturing users, which is a testament to Houston’s exceptional ability to support operations for these tenants,” said Richard Quarles, senior managing director for JLL in Houston.
Photo by Sam Moghadam on Unsplash
Houston is seeing significant demand from manufacturing, food and beverage; and logistics and distribution that are driving the bulk of leasing activity. Manufacturing users alone account for one-third of tenants in the market.
“We really are seeing strong activity market-wide, which speaks volumes about the fundamental strength of Houston’s industrial market,” Quarles said.
The trend is visible across the city with deals closing quickly in nearly every submarket and tenants showing a willingness to adapt existing buildings to meet operational needs. JLL tracked the largest Q4 absorptions as Custom
Goods (1 million square feet in Southeast), LeCangs (510,000 square feet in West) and Elogistek (420,000 square feet in West).
“Northwest, Southwest and Southeast are hot right now,” said Cape Bell, senior vice president at CBRE. “Traditional corridors are still dominant.”
This urgency to transact is being met with a new level of flexibility and collaboration from landlords and tenants alike, especially as rising construction costs and limited financing options have slowed new starts.
“We are seeing requirements moving quicker, which has made this an exciting time in the market,” Quarles said.
BRIDGE LOGISTICS PROPERTIES
SHAPING THE FUTURE OF LOGISTICS REAL ESTATE
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“New construction is still expensive even though the rapid increases have settled down. If you own modern secondgen space that’s already got all the improvements and finish-out, you stand to benefit from increased rental rates without having to suffer the costs of building out new.”
While some deals stem from organic growth, others are the result of onshoring strategies as industrial users pivot away from foreign manufacturing hubs.
“The market is going to get tighter in the coming months,” Bell said. “Landlords capitalizing on the manufacturing deals that would historically stay in China or Mexico are coming to Houston
“One thing that is constant is change and we are currently seeing supply chain strategies evolve as suppliers seek to operate closer to their customers,” Quarles added. “Houston’s industrial market is supporting these initiatives.
‘Relief factor’: Activity still strong, but vacancy rising in DFW
In Dallas-Fort Worth, vacancy ticked up to 9.8 percent at year’s end, a reflection of supply catching up with demand after years of aggressive development. Just 5.2 million square feet delivered in Q4, the lowest since 2019, and new construction has been dialed back to 19.5 million square feet—down sharply from more than 42 million one year ago. Still, absorption reached 19.2 million square feet in 2024 and many in the market see the current conditions as a healthy reset.
“Companies were willing to push ahead with transactions they stalled on in 2024,” said Allen Gump, executive vice president with Colliers. “Many of these are not necessarily expansions but simply finalizing those plans they started last year. With the election over, there was a relief factor and ‘get back to business.’”
Gump said mega-deals are still moving, such as CJ Logistics’ 1.1 million-
square-foot lease in Southeast Dallas, but mid-sized users in the 300,000to 700,000-square-foot range are becoming more active. He also noted that while there are “some amazing sublease offerings,” many are struggling to lease due to direct landlords offering competitive rates and concessions.
“I find it interesting that there are some amazing sublease offerings in the market that seem to not be leasing even though they are below market,” Gump said.
As rents begin to plateau and construction costs remain high, companies with modern second-generation space are sitting in a prime position.
“New construction is still expensive even though the rapid increases have settled down,” Gump said. “If you own modern second-gen space that’s already got all the improvements and finish-out, you stand to benefit from increased rental rates without having to suffer the costs of building out new.”
Some of the hottest submarkets heading into the new year include Fort Worth, Southern Dallas County and Denton with strong labor pools and attractive pricing continuing to drive tenant interest. McKinney and other
Cape Bell
Allen Gump
Richard Quarles
northern suburbs are also experiencing a wave of land development in response to rising demand for industrial space.
“Whether it’s the northern ½ or Alliance area or south, the labor is attractive and a compelling reason to be there,” Gump said.
While logistics and cold storage remain the most active sectors, Gump said new manufacturing growth is limited by the sheer amount of capital required.
“These take large amounts of capital expenditures and companies are pretty cautious,” said Gump.
He noted that data centers are active but face challenges with power access.
“If you have 100-plus acres with tons of power, give me a call,” Gump said.
Importantly, most leasing in DFW is coming from tenants already in the market, rather than relocations.
“Existing companies are consolidating, adding a location or just moving across town, but there are not as many companies moving into DFW as in the past,” Gump said, adding “Most other markets would kill to have the activity we have even now. We became spoiled with the huge amount of absorption of the past few years and even though less active, we’re still the envy of the country.”
Austin, meanwhile, is grappling with a wave of new inventory that’s stretching out lease-up timelines. A record 11.6 million square feet of industrial space delivered in 2024 with an additional 13.1 million square feet under construction. While 34 percent of the pipeline is preleased, that hasn’t been enough to offset the vacancy jump from 9.3 percent to 14.2 percent over the past year.
Total availability including sublease space now stands at 21.7 percent, nearly double the figure from 2022. To stay competitive, landlords have begun subdividing previously single-tenant buildings, a shift that’s opened doors for tenants needing 60,000 square feet or less.
Despite the surge in supply, annual net absorption totaled 6 million square feet, one of the highest years in Austin’s history. The numbers were bolstered by six major move-ins, each over 300,000 square feet, with Tesla and SpaceX responsible for three of them. A technology services company specializing in artificial intelligence doubled its footprint by leasing 212,793 square feet at Georgetown Logistics Building 1.
With the city’s inventory expanding by 14.3 percent year-over-year, experts are watching closely to see whether 2025 delivers enough leasing velocity to catch up.
‘Lead the transformation’: Medical office conversions gain momentum with Hartman’s 3100 Weslayan as a model
BY BRANDI SMITH
As traditional office markets face mounting vacancy, a new type of tenant is revitalizing Houston buildings: healthcare providers. The city’s position as a global medical hub, anchored by the Texas Medical Center, is pushing demand for medical office space to new heights. Hartman Properties is seizing this moment with the transformation of its 3100 Weslayan building in the Greenway Plaza district.
Originally a standard Class B office building, 3100 Weslayan began its
shift to medical use in mid-2024. Hartman renewed its 27,000-square-foot anchor tenant, Berkeley Eye Center, for another seven years and explored a potential sale to the tenant.
“Berkeley had considered purchasing the building and operating it as a medical office, but managing a full roster of tenants wasn’t something they wanted to take on,” said COO Margaret Hartman. “That’s our specialty, so we kept the asset and started looking at what it could become.”
When that deal fell through, Hartman looked closer at the building’s mix of tenants and realized it was already organically evolving into a medical hub. Two recent leases—one with a general practitioner group and another with a physical therapist—further signaled where the building was headed. Hartman decided to lean in, converting traditional suites into fully compliant medical spaces and marketing the property to healthcare users.
“When I reviewed the rent roll, it became clear we were already attracting
medical users,” Hartman said. “Rather than fight the trend, we decided to embrace it and lead the transformation.”
The financial upside also made the strategy hard to ignore. Offers to buy the property as a traditional office building came in well below Hartman’s internal valuation with high cap rates typical of the struggling sector. In contrast, medical office buildings command stronger pricing and benefit from higher tenant credit quality and rental rates.
2025 Dallas Fort Worth, TX
Margaret Hartman Al Torres Photography
“Cap rates in the traditional office market are just not compelling right now, especially compared to medical,” Hartman said. “Medical office valuations are far stronger and we’ve already been able to unlock some of that value through this repositioning.”
According to Colliers, Houston’s medical office market absorbed nearly 940,000 square feet in the first half of 2024, the highest total among the top 50 U.S. markets. Vacancy dropped to 11.2 percent and construction starts slowed significantly, pushing more tenants toward existing buildings.
At 3100 Weslayan, Hartman already had speculative office suites built out. Upgrading them to medical-ready involved adding plumbing, sinks, nurse stations and check-in counters.
“The infrastructure work was much less expensive than anticipated. We added the essentials and still maintained a cost-effective buildout,” Hartman said. “The returns we’re seeing on these leases are strong. Medical tenants are willing to pay more for the right space and they tend to stay longer. That kind of stability is incredibly valuable.”
To support the rollout, Hartman refinanced the building’s CMBS debt when it came due, leveraging the new lease with Berkeley and the repositioning strategy to secure favorable terms. Capital was set aside specifically for tenant improvements and lease-up costs.
“When our loan came due, we were navigating a tough debt environment,” she said. “But having Berkeley’s extension in place and a clear medical strategy made refinancing far more straightforward and gave us the flexibility to reinvest in the building.”
The property is currently 77 percent leased, with 3,000 and 1,300 square feet of ADA-compliant medical spec suites available. Hartman said they’re
in talks to lease one of them and will convert additional suites as needed.
“We’re rolling out our conversions suite by suite based on tenant demand,” she said. “Once the smaller suite leases, we’ll activate the next one. It’s a very intentional, data-driven approach.”
The property’s location gives it an edge. Situated inside the 610 Loop near River Oaks and Upper Kirby, it offers proximity to the Texas Medical Center and affluent, growing neighborhoods. Hartman also notes that the building’s Class B designation allows them to offer competitive rental rates, creating an attractive value proposition for medical tenants.
“This location is highly desirable to healthcare providers,” she said. “It’s central, accessible and surrounded by strong demographics. Add in our lower rental rates and it’s a compelling option.”
The presence of Berkeley Eye Center further strengthens the appeal. Not only does the established operator draw patient traffic, but it’s also in talks to expand within the building, giving other providers confidence in the site’s long-term potential.
“Berkeley is a phenomenal anchor,” Hartman said. “Their growth and reputation add instant credibility to the building. Other tenants see them here and know they’re in good company.”
While Hartman is testing a similar approach at another asset in the Willowbrook area, she said 3100 Weslayan is uniquely suited for a full medical conversion.
“We’re open to medical leasing at other properties, but this one is special,” she said. “The location, the tenant mix and the market demand all aligned in a way that made a full conversion viable.”
The pivot also aligns with national trends. According to Transwestern, owners across the country are rethinking office buildings as long-term homes for healthcare tenants, especially specialties like mental health, ophthalmology and physical therapy, which adapt more easily to traditional floorplates. But conversions aren’t always straightforward and costs can escalate quickly for practices requiring heavy infrastructure upgrades, infection control or soundproofing.
Still, when the right property meets the right market, the payoff is real. “Healthcare real estate is evolving fast and Houston is at the center of that growth,” Hartman said. “Providers are looking for space outside traditional hospital settings, and we’re giving them exactly that: modern, accessible locations where they can thrive.”
2025 Dallas Fort Worth, TX industrial summit
The Property Tax Challenges Natural Disasters Create (and Strategies to Overcome Them)
BY HUNTER LANE, VICE PRESIDENT, LANE PROPERTY TAX ADVOCATES
Natural disasters make headlines increasingly often these days — everything from hurricane-force winds dealing widespread power outages to wildfires that decimate all in their path. Effects aren’t limited to those directly impacted by wild weather. Long after communities resume business as usual, commercial property owners grapple with higher costs related to property assessments, insurance and taxes.
Understanding how disasters impact property values — and how to fight back — can play a crucial role in keeping a business viable. Let’s explore what today’s commercial property owners should know to safeguard their investments.
The Link Between Natural Disasters and Property Assessments
The financial toll of extreme weather extends beyond physical damage. Natural disasters can have significant impacts on commercial property market values across a region.
For properties in a storm’s path, resulting damage often renders a building temporarily unusable while necessitating costly repairs. Although this can decrease a property’s market value, it takes time before a tax assessment catches up to a property’s true condition — if it ever does catch up. The mass appraisal systems used by most county appraisal districts (CADs) often result in inaccurate valuations, leaving owners of damaged properties paying more than what is rightfully owed.
Undamaged properties can also experience seismic shifts due to economic and real estate trends. Businesses that close or relocate following a disaster reduce commercial occupancy rates, for instance, lower tenant demand and can drive rental income and market values down. Conversely, undamaged areas may attract businesses and residents, driving demand and property values up. In both instances, storm-related impacts result in assessments out of line with a property’s actual condition, performance and value.
Additionally, insurance costs often rise in disaster-prone regions. Higher premiums add financial strain, and if taxing entities don’t account for them in assessments, property owners may overpay.
Protecting Affordability in a Changing Climate
With scientists’ expectation that the uptick in extreme weather events will continue, it’s crucial for commercial property owners to protect their financial health. Protesting inaccurate commercial property assessments annually is the best way to keep valuations in check. Here’s how it works.
• Filing: Alert your local CAD of your intent to protest your commercial property taxes. Texas’ filing deadline is May 15.
• Informal Hearing: You or the firm representing you meet with a CAD
appraiser to negotiate a lower assessed value. You may reach an agreement then and there.
• Formal Hearing: If the informal hearing fails to yield an agreement, your protest moves on to a formal hearing before an appraisal review board (ARB). You or your firm and the CAD’s appraiser will present arguments, and the ARB will render a decision.
• Arbitration or Litigation: If the ARB’s decision fails to yield the desired result, you have 60 days to begin arbitration or litigation. Your exact path will depend on factors such as your property’s assessed value. Arbitration is a more informal approach akin to mediation, while litigation efforts have the potential to move on to trial.
Why Partner with a Property Tax Firm?
Commercial property tax protests are complex, deadline-driven processes, and success hinges on having a comprehensive argument backed by data. Working with an experienced firm can improve your chances of success. Consider these factors when choosing a property tax firm:
• Local Knowledge: A firm with deep knowledge of your region’s tax laws, market conditions and economic trends is better positioned to advocate for a fair assessment. In addition, established relationships with taxing authorities provide a local firm with insights they can use to position your case for success.
• Transparent Fee Structures: Work with a firm that’s open about when and how you’ll be charged. Although many companies work on a contingency basis, meaning you don’t pay unless they lower your assessed value, filing fees and similar charges can result in costly surprises.
• Diverse Experience: Seek out a firm whose prior work spans a wide range of property types, sizes and scenarios. They can address it all because they’ve seen it all.
Even with a professional firm handling your protest, you play a key role in the process. Engage your team early, so they have plenty of time to build your case, and be prompt when providing data, documentation or proof of damage. Respond quickly to calls, emails or requests to ensure you’re on the same page and working toward a common goal.
As extreme weather events become increasingly common, commercial property owners must be proactive in safeguarding their financial health. Understanding disaster-related tax challenges and contesting unfair assessments ensures you pay only what’s fair — helping you weather any financial storm.
Hunter Lane
Overinflated commercial property valuations don’t just present an unclear picture of one’s portfolio. They can result in thousands of dollars unfairly overspent on taxes. Lane Property Tax Advocates protests on your behalf, saving you time and stress. We’re here to unburden your business.
Don’t go down without a fight. Contact Lane today.
832.358.2000 | info@lanepropertytax.com
Will the great uncertainty accelerate or derail the great reset?
JOHN BARKIDJIJA, HEAD OF COMMERCIAL REAL ESTATE, BYLINE BANK
“The Great Uncertainty, combined with increased supply in certain markets—could create buying opportunities for the many distress funds that have been raised to take advantage of the Great Reset.”
In June 2024, I authored an article titled “Reset Ready: Navigating the Great Reset in commercial real estate.” At the time, I argued that years of persistently low interest rates and corresponding cap rates had resulted in many commercial real estate properties being over-levered. Additionally, increasing operating costs—such as insurance, real estate taxes, personnel expenses, and maintenance—were outpacing rent growth in many cases, further diminishing property values. This new math of CRE valuations and leverage, combined with the end of “extend and pretend” loan modifications and a wave of loan maturities, signaled an inevitable market correction –termed the Great Reset.
Since then, there has been more interest rate volatility than the markets were predicting. In late summer 2024, long-term rates decreased, causing a bump in transaction activity as owners locked in rates or sold properties while the 10-year Treasury fell from the mid 4% range to the high 3% range. Because CRE transactions normally take 45 to 90 days to close, these deals materialized in the last quarter of 2024. The increase in transaction activity and refinancings was an early indication of the Great Reset’s beginning.
Then a strange thing happened in the bond markets. The Federal Reserve decreased short-term rates, yet long-term rates climbed sharply. Market expectations of a new administration in Washington that would be generally more business friendly, the possibility of future inflationary pressures from tariffs, and a stricter immigration policy contributed to this volatility.
Following the election, there was optimism in the markets as investors anticipated the tailwinds to the economy of lower regulations and lower or at least stable income taxes. The stock market rallied, credit spreads on all asset types (including all forms of commercial real estate loans) decreased by 25-50 bp as liquidity returned to the market. Banks, life companies, debt funds and other forms of private credit and CMBS lenders all increased
allocations for 2025. Since it takes 45-90 days from inception to close a loan, these new spreads and underwriting factors appeared in early 2025 closings. For example, according to Trepp, CMBS issuance is now outpacing last year’s levels, with debt yields on approximately $6 billion in office-backed loans averaging 10% (compared to 13.4% on the approximately $8 billion issued in all of 2024). Although these bullish statistics may be skewed by large trophyoffice financings, the trend reinforced momentum in CRE transactions and sustained the Great Reset.
Yet, the initial optimism surrounding the new administration has tempered and even reversed. The repeated announcement, postponement, and modification of tariffs on key trading partners and allies have caused uncertainty and trepidation for consumers and businesses alike. Companies thrive on predictability, and the constant change in announced policies has influenced business’s ability to plan, causing a delay in investment decision making. At the same time, consumers have come to realize that tariffs are consumer taxes that will raise prices. The latest University of Michigan Consumer Sentiment Index took a nosedive by 11% in mid-March from the previous month to 57.9, reflecting growing concerns. Meanwhile, the new administration has followed through on their immigration crack-down, causing businesses that rely on immigrant labor to be concerned about their workforce, and a decrease in demand. Finally, the rapid, blunt attempts to make the government more efficient also causes uncertainty about the ability of the government to function and administer government programs. Publicly traded companies are lowering their forecasts for earnings as the year progresses due to this uncertainty and the effect on consumers’ ability and desire to continue to spend. All of this creates a Great Uncertainty.
The stock markets reacted swiftly to this uncertainty, with S&P 500 falling roughly 10% from its recent highs. The 10-year Treasury yield fell more than 50 basis points on recession fears before stabilizing around 4.3%. Future
John Barkidjija (Photo courtesy of Byline Bank.)
markets now predict that the rate will be stable for the remainder of 2025, as recession risks and higher prices caused by tariff-driven inflationary pressures counterbalance each other.
What does this mean for CRE and the Great Reset? On one hand, uncertainty typically drives up risk premiums for CRE assets, including an increase in credit spreads. If economic growth slows and unemployment increases, landlords may struggle to raise rents, and vacancy rates could climb across all asset classes. There may also be an increase in operating costs, especially for major operating costs like real estate taxes, insurance and repairs and maintenance. If long-term yields stabilize at 4.3%, and cap rates increase due to increased risk premiums, property values will decline, slowing transaction activity as lenders and owners seek clarity before making decisions, thereby slowing the pace of the Great Reset.
On the other hand, the Great Uncertainty, combined with increased supply in certain markets—notably multifamily in the South and industrial in low-barrier-to-entry markets—could create buying opportunities for the many distress funds that have been raised to take advantage of the Great Reset. This will only occur, however, if lenders force owners that are overlevered to finally market the properties for sale and accept the destruction in equity caused by the Great Reset. These new buyers, and the lenders that support them, will be acquiring properties at a lower reset basis positioning themselves for future gains.
In addition, there may be less supply in the future. Construction costs have already increased dramatically over the past few years, and tariffs and deportations of construction workers, which will only exacerbate the already existing construction labor shortage, add to these inflated construction costs, making development harder to pencil. These challenges, along with the Great Uncertainty, will ensure that there is very little new supply in 2026 and 2027.
The investors that have the fortitude to buy properties at a lower basis at this time (and the lenders that support them) will survive the Great Uncertainty and ultimately thrive. In the post-Great Uncertainty world, the excess supply will be absorbed (and little new supply will be added), rents will increase, and credit markets will be stable, benefitting those who capitalized on the Great Reset.
The above material has been provided for informational purposes only, and should not be relied on for tax, legal, or accounting advice. You should consult with your own tax, legal, and accounting advisors in addressing any of the above information.
2025 Houston, TX commercial real estate summit
John Barkidjija, is Head of Commercial Real Estate in the Chicago office of Byline Bank.
Top five investment trends in healthcare real estate
BY JEFF BEHM, BREMNER HEALTHCARE REAL ESTATE
Over the last several years, healthcare real estate has arguably been the preferred asset classes for real estate investors. As a broker and advisor for health systems and investors, I’ve observed several trends that are shaping the industry's trajectory.
1. Investment sales volume expected to increase in 2025
After record-low activity in 2023, investment sale volume increased slightly in 2024 as interest rate and cap rates stabilized, with core-plus and value-add profiles being the most active. As investors diversify away from the less-favored sectors like traditional office, many have pursued healthcare real estate opportunities given its population and demographic tailwinds and less-cyclical nature. This also holds true for foreign investors.
This influx of investment capital, combined with pricing stability, should serve to reduce the bid-ask gap and allow for meaningful price discovery and increase transaction volume in 2025.
2. Cap rates are converging among product types
After significant expansion in 2022 and 2023, cap rate volatility moderated in 2024. According to CBRE, the average MOB cap rate increased about 20 bps from 6.9% to 7.1%. Most investors expect cap rates to remain flat or slightly decline during 2025.
More interesting though, is the declining spread between cap rates for traditional MOBs versus more specialized products like ASCs, FSEDs, MicroHospitals and IRFs. A couple years ago, the typical premium was 100 bps or more, but today, the spread has narrowed to 25 - 75 bps as investors become more comfortable with these specialized facilities. As health systems move closer to their patient bases, demand for these facilities increases, creating
a more competitive investment environment.
For health systems, this means paying less rent for specialized facilities than before. However, it is crucial that these facilities fit into a system’s broader network strategy and that they are run by proven operators.
3. Pace of sale lease-back activity is picking up Health systems are facing unprecedented capital requirements with aging infrastructure as well as growthrelated pressures to add, expand and/or relocate facilities to remain competitive. Exacerbating these capital needs is the higher-forlonger interest rate environment that reduces operating margins and cash positions.
To raise capital, many are turning to sale-leasebacks. This approach provides immediate liquidity, allowing them to reduce debt, modernize/ build new facilities or reinvest in core operations.
We are seeing rising interest in sale-leasebacks from both health systems and physician groups. Physician practices are leveraging these transactions to facilitate ownership transitions, like when younger doctors buy out retiring partners who own the real estate where the practice is located.
Also, sellers can often retain a minority interest in the property, preserving their tax advantages while at the same time realizing a return on their investment. These transactions are attractive to investors who value the mission-critical nature of the real estate and the alignment of interests between the physicians and the property owner.
4. Elevated costs of construction allow for selective redevelopment or adaptive reuse
It’s well documented that replacement costs have skyrocketed since 2022, in many cases making new facilities cost-prohibitive. While the pace of escalations did moderate in 2024, construction costs are not expected to decline. Construction starts hit an all-time low in Q4 2024, and MOB occupancy increased to a five-yr high, according to JLL.
Inflated construction costs and limited availability of purpose-built healthcare space has generated significant interest in adaptive re-use.
Jeff Behm (Photo courtesy of Bremner Healthcare Real Estate.)
SCOOP/PEOPLE ON THE MOVE
Colliers Welcomes Industry Veteran Jack Crews in Dallas-Fort Worth
Colliers is pleased to announce that Jack Crews has joined the firm as Executive Vice President in its Dallas-Fort Worth office. A recognized leader in the commercial real estate sector, Crews brings a proven track record in office leasing and capital markets, with extensive experience advising institutional clients, private investors and occupiers.
“Jack’s deep relationships and strategic approach to execution make him an outstanding addition to our team,” said Daniel Taylor, Executive Managing Director and Texas Market Leader at Colliers. “His presence strengthens our office service platform and reflects our continued focus on delivering top-tier advisory across the state.”
Crews has held senior roles at several of the industry’s most respected brokerage firms, including Jones Lang LaSalle, Trammell Crow Company and HFF. Throughout his career, Crews has led a wide range of transactions spanning agency leasing, tenant representation and investment sales. His approach is grounded in market intelligence, strategic positioning and long-term value creation—delivering tailored solutions aligned with each client’s unique objectives.
“Colliers has built an impressive reputation for agility, collaboration and client-driven execution,” said Crews. “I’m excited to join a platform that values insight and initiative and look forward to helping drive meaningful results for our clients in today’s evolving office market.”
CenterPoint Properties names EVP for Central Region
CenterPoint Properties has appointed Jeff Thornton to lead its Central Region team as executive vice president. Thornton comes to CenterPoint from Ryan Companies, where he was president of the firm’s South Central Region.
CenterPoint’s chief executive officer Bob Chapman said CenterPoint’s leadership was impressed by Thornton’s reputation and more than 25 years of commercial real estate experience.
Jim Clewlow, CenterPoint’s chief operating officer, said Thornton will oversee all operations and strategic initiatives within the Central Region.
Before Ryan Companies, Thornton spent more than 20 years at Duke Realty. He was involved in development, leasing, acquisitions and asset management during his tenure there. As its regional senior vice president, he oversaw the firm’s strategy and operations for its 30-million-square-foot portfolio in Dallas, Houston, and St. Louis.
Houston office of SVN|J. Beard Real Estate names managing director
Brandi Sikes has been promoted to Managing Director of SVN | J. Beard Real Estate’s Houston office. She previously served as Senior Advisor and Principal.
In her new role as Managing Director of the Houston office, Sikes will leverage her experience, longstanding connections, and expert market knowledge to expand SVN | J. Beard Real Estate’s presence in the Houston proper region. Additionally, Sikes will further elevate the firm’s service capabilities by bringing on seasoned advisors to serve in the Houston office. SVN | J. Beard Real Estate’s corporate headquarters will continue to operate in The Woodlands, with Managing Director Jeff Beard overseeing operations across the firm’s four locations.
In 2021, after 25 years of serving clients from various global commercial real estate platforms, Sikes and her brokerage firm joined SVN | J. Beard Real Estate. Throughout her career, Sikes has been involved in the sourcing, negotiating, and executing of over $2.7 billion and 13.2 million square feet of commercial transactions. With extensive headquarters experience and a passion for start-ups, she leverages proven practices and transaction acumen to empower her clients through complex commercial real estate decisions.
Clayton Conger promoted to President, Dallas at CrossFirst Bank
CrossFirst Bank is pleased to announce the promotion of Clayton Conger to Bank President, Dallas. Clayton joined CrossFirst in 2017 and helped open its Dallas location. With over 20 years of banking experience in the Texas region, Clayton has expertise in commercial and real estate lending. “Clayton is an exceptional leader with a proven record of building empowered teams that provide extraordinary service to their clients,” shared David Felan, Regional President, Texas. Clayton’s leadership
skills, dedication to the Dallas community, and unique depth of banking knowledge make him the ideal candidate to spearhead the Bank’s continued growth and expansion in Texas.
CrossFirst recently announced a transformative partnership with Busey Bank, creating a premier commercial bank serving clients from 77 locations across 10 states with combined total assets of approximately $20 billion, $17 billion in total deposits, $15 billion in total loans and $14 billion in wealth assets under care.
James McGuire hired at Holland & Knight
James McGuire is an environmental attorney in Holland & Knight’s Public Policy & Regulation Group. Mr. McGuire focuses his practice on a variety of environmental regulatory and compliance issues at the local, state and federal levels. He brings significant experience from his time as a senior attorney and executive at the U.S. Environmental Protection Agency (EPA), and as an environmental attorney in the private sector and at the City of Dallas.
Group
Larry McCarty joins Welcome Group as Director of Construction. With over 25 years in real estate development and construction, he brings expertise across a diverse set of asset types. Previously at Hines, he successfully managed over 8 million square feet of new development projects, including highrise offices, life science facilities, retail, and institutional buildings. In his role at Welcome Group, he will lead the construction teams and oversee the execution of all future projects.
Larry McCarty hired at Welcome
CP Group adds senior vice president in Dallas office
CP Group announced that Christopher “Tex” Cauthen has joined the firm as Senior Vice President. He will be based in Dallas and lead CP Group’s acquisitions, developments and operations in key Southwest markets, including Texas, Colorado and Arizona.
Cauthen brings over two decades of leadership and industry expertise to the organization, with a proven track record in acquisitions, asset management, capital markets and development.
As CP Group grows and diversifies its portfolio, Cauthen’s role as Senior Vice President and market lead will play an integral role in expanding the firm’s footprint throughout the Southwest region. He will also oversee Granite Tower, a 600,000-square-foot, 31-floor office building that marked CP Group’s entry into the Denver market in 2021.
Cauthen joins CP Group from Harwood International in Dallas, where he served as Vice President of Acquisitions and Capital Markets. During his tenure there, he closed $900 million in transactions and oversaw a portfolio of more than two million square feet of existing Class AA office space as well as a four-million-square-foot development pipeline. Previously, Cauthen also served as Executive Director and National Office Practices Leader at Cushman & Wakefield, leading strategic initiatives, transactional activities and production efforts.
Scott Francis promoted to President, Principal at Encotech Engineering Consultants Inc.
Scott Francis, P.E., has been promoted to President of Encotech Engineering Consultants, effective April 1, 2025. With over 36 years of structural engineering experience, Scott brings deep technical expertise and a collaborative leadership style to his new role. He has successfully led projects for clients such as AISD, the City of Austin, and UT Austin. As President, Scott will oversee day-to-day operations while Founder and CEO Ali Khataw, P.E., continues to focus on long-term strategy. This leadership transition marks an exciting chapter as Encotech celebrates 35 years of delivering engineering excellence in Central Texas.
communities through design in the public realm, Adam works to implement sustainable strategies into each of his projects. His role at TELA includes mentoring younger staff while designing projects with the mission of environmental stewardship, realizing the impact of landscape architecture on quality of life for both urban and rural populations.
Katie Stewart LEED AP BD+C., DPR Construction
Katie Stewart has been named the Business Development Lead for DPR’s Austin business unit. With nearly 18 years of experience, Katie has a proven track record of delivering results through strategic thinking, operational efficiency, and client relationship management.
Since joining DPR over 10 years ago, Katie has been part of many technically challenging projects within multiple core markets that have shaped the Austin skyline. Katie has focused on building lasting relationships with clients and being a trusted advisor during the project development process. She is passionate about understanding the unique needs and challenges facing clients and leading them to the best solution.
Katie loves the outdoors and spending time with her family in Austin’s unique green spaces. She’s an avid runner and serves as a pacer for the Austin Marathon.
Katie received her Bachelor of Science in Civil & Environmental Engineering from Georgia Institute of Technology and is LEED AP BD+C.
Newmark adds market-leading healthcare advisor Chris Wadley, Growing U.S. Healthcare Practice
reinforce Newmark’s commitment to attracting and investing in top talent.
“The growing and evolving healthcare space demands specialized real estate strategies that align with the needs of healthcare providers, real estate investors and the communities they serve,” said Elizabeth Hart, President of Leasing, North America. “Chris Wadley’s expertise in healthcare real estate positions Newmark to offer best-in-class advisory services, helping clients navigate complex leasing, development and operational challenges with precision and insight.”
Wadley joins Newmark after building one of the most successful hospital and outpatient healthcare advisory businesses in the country. Among his many other accomplishments, he oversaw one of the largest U.S. portfolio lease restructures for a hospital system in 2023 and oversaw the largest medical real estate transaction in Texas in each of 2019, 2021 and 2023.
“Chris Wadley is nationally recognized as a premier healthcare real estate advisor, having shaped some of the most significant medical real estate transactions in Texas and nationally,” said Ran Holman, Southeast Market Leader. “His relationships and proven ability to execute complex transactions will have an immediate impact for our clients and strengthen Newmark’s presence in the healthcare sector.”
Wadley most recently oversaw Healthcare and Life Sciences in the central U.S. for JLL, where he consistently ranked among the company’s top 1% of producers. His previous experience also includes time at Savill’s, Transwestern and Grubb & Ellis (acquired by Newmark).
“Newmark is creating a unique environment for top producers in medical real estate,” said Wadley. “They empower professionals to reach their full potential by investing in subject matter experts and prioritizing their needs first. This cultural advantage will flow through to the client.”
Wadley joins a growing roster of talented healthcare experts in Newmark’s ranks. Earlier this month, Justin Shepherd was named co-Head of the Healthcare Debt & Structured Finance team, where he’ll work closely with Co-Heads and Vice Chairmen Ben Appel and Jay Miele and Vice Chairman John Nero. Wadley will also work collaboratively with the industry-leading tenant representation and real estate advisory experts focused on healthcare including the former McCall & Almy, Inc., the renowned Boston-based firm Newmark acquired in 2022.
About Newmark
Adam Barbe hired at Ten Eyck Landscape Architects
Adam Barbe, PLA, rejoins Ten Eyck Landscape Architects as a Principal after gaining valuable experience through private practice and academia. Eager to help
Newmark announces the company has hired Chris Wadley, one of the nation’s leading advisors of healthcare systems and medical real estate investors, as Vice Chairman. In his new role, Wadley will advise health systems and medical companies on their real estate management, strategy, construction and leasing, leveraging his deep knowledge of the medical industry and various property types. Wadley, based in Houston, Texas, also plans to help grow Newmark’s healthcare advisory and construction management practices nationwide and
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries (“Newmark”), is a world leader in commercial real estate, seamlessly powering every phase of the property life cycle. Newmark’s comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue-chip companies. Combining the platform’s global reach with market intelligence in both established and emerging property markets, Newmark provides superior service to clients across the industry spectrum. For the twelve months ended December 31, 2024, Newmark generated revenues of over $2.7 billion. As of December 31, 2024, Newmark and our business partners together operated from approximately 170 offices with more than 8,000 professionals across four continents. To learn more, visit nmrk.com or follow @ newmark.
The retail sector? The news isn't as bad you might think
BY DAN RAFTER
It seems like major retailers are closing their doors every day. Earlier this year, Joann announced that it would close all its fabric stores, while both Kohl's and Macy's announced their own round of closings.
That doesn't mean that all retailers are struggling. In fact, the retail sector has shown impressive resilience, even while facing an uncertain economy.
For proof, consider Northmarq's first quarter 2025 The Top 100 report. This report lists U.S. retailers that are expanding their locations rapidly. It's a reminder that while some retailers are shutting down, others continue to grow.
Which retailers are performing well in Northmarq's latest Top 100 report?
T.J. Maxx, Marshalls and HomeGoods continue to lead off-price retail by targeting middle-market shoppers, Northmarq reports. These three stores will open 70 locations in 2025. The company also has plans to double the number of HomeGoods stores and reach a global total of 7,000 locations across all three brands.
Five Below, popular among Gen Z and Millennial shoppers, plans to open 150 new stores in fiscal year 2025, with 50 of these locations opening in the first quarter, according to Northmarq. The discount retailer hopes to eventually reach 3,500 total locations.
“Grocery chain Aldi plans to open 225 new locations across the United States in 2025 while striving for 800 new total stores by the end of 2028.”
Burlington is now focusing on smaller-format stores, Northmarq reports. The retailer plans on opening 100 new locations in 2025 and has a long-term goal of 500 new locations by the end of 2028.
Ross Dress for Less is continuing its steady growth by planning 80 new stores during this fiscal year, with a long-term vision of reaching 2,900 total locations, Northmarq reports.
Then there's Ollie's Bargain Outlet, which plans to open 75 new locations in 2025. Northmarq says that Ollie's is targeting underserved markets.
Retail giants are also growing, with Northmarq pointing to Walmart, which plans to open 150 new U.S. stores in the next five years and remodel hundreds more.
Grocery chain Aldi plans to open 225 new locations across the United States in 2025 while striving for 800 new total stores by the end of 2028. Northmarq says that these new locations will generally target suburban and rural markets.
Northmarq says that Dollar General plans to add a whopping 595 new locations this fiscal year. This brand, too, is targeted underserved areas, especially in rural locations.
Image by freepik.
“Fueling a strong cycle of economic success”: Texas communities double down on growth in 2025
BY BRANDI SMITH
Texas cities are capitalizing on the state’s pro-business reputation, leaning into infrastructure investment, tech-forward industries and talent pipelines to drive sustained growth. Rolling into 2025, economic development leaders from McKinney to Pflugerville and from Parker County to Waller County made aggressive plays to attract corporate headquarters, advanced manufacturing and innovation-based employers.
‘Long-term sustainability of growth’ drives McKinney development
In North Texas, McKinney is keeping up its momentum in corporate investments, regional destinations and tech-focused entrepreneurship.
The city opened a new City Hall in the Downtown Cultural District, bringing departments under one roof and making a statement about local collaboration. The McKinney Economic Development Corporation (MEDC) also approved funding to expand McKinney National Airport for commercial service by 2026, strengthening regional and international connectivity.
“One of the most notable highlights for the MEDC has been the continued strong momentum in corporate relocations and expansions,” said Michael Kowski, president and CEO of the MEDC. “For example, a significant recent retention includes Globe Life’s decision to remain and expand in McKinney.”
McKinney’s strategic location in the DFW metroplex, access to highways and regional airports and strong workforce pipeline continue to make it a magnet for companies in corporate office, logistics, regional hospitality and tech. McKinney also fosters a growing ecosystem of early-stage startups through its Innovation Fund and a partnership with Silicon Valley accelerator Plug and Play.
“The MEDC considers capacity building foundational to its mission of supporting growth and inspiring the creation of new job opportunities in the community,” Kowski said. “This approach has four prongs: supporting infrastructure, fostering entrepreneurship, providing customized services, ranging from startup support to workforce solutions, and improving access to resources.”
Equally important to McKinney’s economic appeal is its focus on livability. Historic downtown charm, top-tier public schools and family-friendly neighborhoods help companies recruit and retain talent—and city leaders are committed to preserving those strengths amid continued expansion.
“McKinney’s robust quality of life, punctuated by its historic downtown charm, family-friendly neighborhoods and proactive city leadership, continues to fuel a strong cycle of economic success,” Kowski said. “We will continue to focus on the long-term sustainability of growth to ensure that future development aligns with the community’s high standards and preserves the qualities that make McKinney so attractive in the first place.”
Parker County ‘recognized as a true contender’
In Parker County, one of the fastest-growing counties in the U.S., growth is following population trends west of Fort Worth. With land availability, proximity to DFW and a workforce pipeline fueled by local and regional training programs, the county is becoming a real contender for advanced manufacturing and aerospace.
“Encore Oilfield Services is building a 200,000-square-foot manufacturing facility that will create 150 jobs in Parker County,” said Chris Strayer,
The University of Texas at Arlington (UTA) is also expanding into the area with its UTA West campus set to break ground this spring. Access to a student base and available land helped tip the scales and Strayer expects the new campus to elevate the region’s educational assets even further.
“Parker County is the sixth fastest-growing county in the U.S.,” he said. “With that growth comes access to a strong workforce and when you combine that with our educational resources, we’re now recognized as a true contender for commercial and industrial development on a national scale.”
YOUR PROJECT. FINANCED BETTER.
executive director of the Parker County Economic Development Council.
Hotel Maytag Apartments, Newton, IA
Pflugerville now a ‘prime destination’ for businesses
In Central Texas, Pflugerville is positioning itself as a launchpad for innovation and its Community Development Corporation (PCDC) is putting its money where its mission is. This quarter, the PCDC invested $25 million to acquire 53 acres on Lake Pflugerville. The goal: attract a four-year college or community college and eventually a corporate headquarters relocation.
That big swing is just one component of a larger vision. Pflugerville’s new Entrepreneur Hub and Startup Support Center Digital Accelerator aim to nurture local business growth at the ground level. The city is also becoming a magnet for 3D additive manufacturing and data centers with developers delivering sites tailored to the sectors’ power and water demands.
“Whether in the early stages of starting a business or looking to expand, we are here to help them succeed every step of the way,” said Jerry W. Jones Jr., executive director of the Pflugerville Community Development Corporation.
To keep pace, the city is investing heavily in infrastructure and workforce training. Major upgrades to water, sewer and road networks are underway and Oncor’s “birds’ nest” initiative is enhancing power reliability. On the workforce side, PCDC partners with local schools on training programs in high-demand fields from welding to biomedical sciences. Pflugerville’s broader strategy includes a series of public-private
partnerships aimed at building a self-sustaining innovation ecosystem. Plans are underway to explore the creation of a Innovation Center featuring coworking spaces tailored to startups, alongside wet lab facilities to accelerate growth in the life sciences. The PCDC is also strengthening ties with the local school district through a summer youth entrepreneurship
program designed to spark early interest in business and tech and build a pipeline of future-ready talent and the business community.
“Pflugerville attracts tech-forward firms like Vendidit, drawn by our competitive lease rates compared to Austin. Pepsico’s expansion needs are met with our newly built, state-of-the-art distribution spaces, offered at significantly lower lease rates than Austin,” Jones said. “This combination of tech innovation, robust logistics infrastructure, and cost-effective real estate positions Pflugerville as a prime destination for businesses seeking expansion and efficiency within the Central Texas market.”
‘Business aggressive’ Waller County racks up deals, accolades
While Central Texas focuses on startup ecosystems, Waller County is executing on a different front: international manufacturing. In Q1 2025, the county locked in deals with Tesla, in partnership with the City of Brookshire, TMEIC inverter production facility (a Toshiba–Mitsubishi joint venture) and Peerless Pumps—together bringing nearly 2,000 new jobs.
“We are not business friendly, we are business aggressive,” said Vince Yokom, executive director of the Waller County Economic Development Partnership.
That posture is backed by inventive incentive programs. The county offers full tax abatements on speculative industrial buildings for up to two years, giving developers a head start while maintaining flexibility to extend benefits when qualified tenants arrive.
Waller’s track record with foreign direct investment is unmatched in its region. International manufacturers from Germany, Switzerland and Denmark have all planted roots there, drawn by the area’s low regulatory environment and streamlined permitting.
“Since inception, the accumulated taxable value of our projects is around $10 billion,” Yokom said. “This has generated around $269 million in tax revenue for the various taxing entities with about $54 million of that for the county.”
Waller County’s approach has also earned national recognition. The economic development program has received four awards from the Texas Economic
Development Council, one from the International Economic Development Council, and a Community Impact and Corporate Investment (CiCi) award with the Governor’s office from Trade and Industry Development magazine. Much of that success, Yokom said, comes from the strength of its publicprivate partnership model.
“We are a public private partnership with business and community members that are involved with various aspects of economic development,” he said. “Our partner members are the main reason we are so successful.”
League City annually ranks as one of the best communities in Texas and the nation. With a growing population of 124,000 and an average household income greater than $140,000, disposable income and a desire for familyoriented activities are high. We enjoy an exemplary quality of life with an abundance of high quality parks, green space, library services, safety, affordable professional housing, education, trails, shops, sporting venues, waterfront areas, and a wide variety of events and activities for everyone! Nearby attractions for both residents and visitors to enjoy include Galveston
Island and the world’s 4th busiest cruise port, Clear Lake, the Kemah Boardwalk, Space Center Houston, Great Wolf Lodge, and Downtown Houston.
The Grand Parkway, or State Highway 99, is the outermost loop around the Greater Houston region that is expected to finish construction in 2031. Segment B will extend from Sugar Land through Brazoria County and Alvin and the western region of League City to I-45, opening 5,000 acres of new
development opportunities with it! In anticipation of the Grand Parkway, the Western League City Regional Master Plan – which is scheduled to be adopted in May 2025 – will identify future land uses and provide a map to guide future development over the next several decades. Residential neighborhoods in this area of League City are already developing quickly, and League City will soon offer new, additional places to work, play, dine, and shop!
Located on I-45 halfway between Houston and Galveston, League City is close to the Houston Spaceport, NASA’s Johnson Space Center, multiple petrochemical clusters, the Texas Medical Center, University of Texas Medical Branch, Galveston National Lab, and four major ports. 58% of our residents who are at least 25 years of age have an associate's degree or higher; they are ready to work for strong, growing companies in their own community. League City’s educated workforce, quality of life, and proximity to Houston, Galveston Island, I-45, and the future Grand Parkway is positioned to attract growing companies in aerospace, petrochemical/energy regional offices, medical/life sciences, global logistics, professional services, and tourism.
League City residents are looking for professional jobs close to home, unique family-oriented entertainment options, and high-quality shopping and dining options. Recently recognized as the #8 Best Place to Move to in Texas by ConsumerAffairs, League City is expected to grow to a population
of more than 200,000. If you would like to consider an opportunity to grow with us, please contact us for more information at EconomicDevelopment@ leaguecitytx.gov or visit us at www.leaguecityedc.com.
Marble Falls, Texas, nestled in the scenic Hill Country, is experiencing a dynamic surge in development that is reshaping its economic and cultural landscape. Significant commercial projects, residential expansions, and a burgeoning market for commercial real estate investments characterize this growth.
The Shops at Flatrock Crossing, a $130 million retail center, is poised to transform the city's southern corridor. Spanning approximately 350,000 square feet, this development is set to feature prominent national retailers such as Academy Sports + Outdoors, T.J. Maxx, Ulta Beauty, Five Below, and James Avery Artisan Jewelry. The project is projected to generate over 1,000 jobs and have an estimated economic impact of $1.75 billion over a decade.
Complementing commercial advancements, Marble Falls is witnessing substantial residential growth. Developments like Gregg Ranch and Thunder Rock are adding thousands of homes to the area, accommodating the increasing population and enhancing the city's appeal. Additionally, the construction of the Sports Complex at Thunder Rock, featuring multiple baseball and soccer fields, underscores the city's commitment to recreational infrastructure.
The city's expansion has led to a vibrant commercial real estate market. Properties such as the 288-acre site at the intersection of Highway 71 and 281, known as Legacy Crossing, present unique opportunities for large-scale residential, commercial, or mixed-use projects. This site
is strategically positioned to benefit from Marble Falls' attractions and ongoing regional developments.
Major investments are underway in the downtown area. The Ophelia Hotel and Conference Center, a five-story, 127-room boutique hotel, will span 96,000 square feet and feature an upscale restaurant and bar. Major construction commenced in March 2025, with completion anticipated in late 2026. The project is estimated to have a $200 million economic impact on Marble Falls within ten years of its completion.
The city has implemented multiple downtown improvement projects aimed at enhancing infrastructure and accessibility. A $2 million bond issuance will help to fund six capital improvement projects and five payas-you-go projects, totaling approximately $2.6 million. These initiatives include sidewalk enhancements, parking expansions, and drainage improvements.
Marble Falls stands at the forefront of a transformative era, marked by strategic developments and a flourishing real estate market. The city's proactive approach to growth, coupled with its natural allure, positions it as an attractive destination for businesses and residents alike. As these projects come to fruition, Marble Falls is set to solidify its status as a vibrant economic hub in the Texas Hill Country.
Everyone’s Lovin’ Lavon!
The City of Lavon is on Collin County’s side of the Dallas Fort Worth Metroplex. As the DFW area grows beyond 8 million residents, this area of the DFW Metroplex is experiencing explosive growth. Lavon brings a unique lifestyle to those who embrace our wide open views, fresh air and the opportunity to grab the family boat and head to Lavon Lake after work. You can see the stars at night and enjoy the hoot of an owl.
Families enjoy the opportunity for raising children in the Community ISD School District of four elementary schools, two middle schools and one high school. Major DFW shopping and employment centers are easily accessible via a great network of major highways including SH 78, SH 205, George Bush Tollway, and US 380. The residential growth including our master planned Elevon community has achieved a threshold that has inspired the retail sector to now invest in Lavon. Our local population is over 11,420 and within 5 miles our population is over 32,000. Elevon Business Park is now under design to include Data Centers that will provide over 100 new jobs for our residents. There are 478 acres available for retail development not counting the four retail strip centers under construction or pending development reviews. High-Speed Fiber Internet of at least 1GB is installed throughout the city to attract businesses, create job opportunities, enhance smart home capabilities and provide easily accessible government services.
The leadership at Lavon supports our existing economic base and our entrepreneurs. Lavon Economic Development Corporation (LEDC) actively works with commercial brokers and land developers to build retail centers in Lavon. The pending retail center locations, beyond the new Starbucks, are examples of the marketing work of the LEDC with investors and developers. Lavon EDC also worked with the owner to locate the new Arka Montessori Academy in Lavon. LEDC is working with several commercial brokers on a future grocery store site.
Lavon Economic Development Corporation has recently extended an invitation to contractors for bids on the construction of their new retail-mixed use building at 619 Main Street. This 3,000 SF building will have a construction start in May of this year. Leasing opportunities are available now for the completion of construction that is expected mid year 2026.
The City of Lavon is planning a major park development to serve the new residential growth. New residential neighborhoods have been developed with great trails to offer walking and recreational opportunities. Lavon EDC participated jointly with the Lavon City Council to develop the Fitness Court at Lavon City Park. SH 78 and SH 205 are major highway corridors. Both highways are concrete divided transportation facilities with traffic counts growing. SH 78 has ADT counts in excess of 43,480 and SH 205 has ADT counts in excess of 22,000 cars per day.
Lavon’s Economic Development Corporation just received its 8th Annual Award for Economic Excellence from the Texas Economic Development Council. To achieve this milestone, Lavon Economic Development Corporation (LEDC) Board and Staff qualified for this award from its organizational effectiveness, professionalism, and outstanding commitment to excellence of the Lavon Economic Development Program and Activities.
Check out the www.Lavonedc.com website for more information on Lavon and opportunities available for retailers at the four retail strip centers under development. You can also download a copy of the Lavon Business Directory that highlights our booming “Shop local. Love local.” businesses. The Directory link is found under Small Business on the website. The Lavon Economic Development Corporation looks forward to 2025 with Strategic Plans that will continue to “ Cultivate Investment and Growth” for Lavon.
INVESTING IN TRANSFORMATION
Fifth Ward’s Journey of Growth and Community Empowerment
T h e F i f t h W a r d C o m m u n i t y R e d e v e l o p m e n t C o r p o r a t i o n
( F i f t h W a r d C R C ) i s a p i v o t a l f o r c e i n t h e r e v i t a l i z a t i o n a n d
s u s t a i n a b l e d e v e l o p m e n t o f H o u s t o n ' s h i s t o r i c F i f t h W a r d .
O u r m i s s i o n i s t o d r i v e t r a n s f o r m a t i v e c h a n g e , b l e n d i n g
t h e r i c h c u l t u r a l h e r i t a g e o f t h i s s t o r i e d n e i g h b o r h o o d
w i t h i n n o v a t i v e s t r a t e g i e s a i m e d a t f o s t e r i n g e c o n o m i c
g r o w t h a n d a f f o r d a b l e h o u s i n g w i t h h o p e s o f e n h a n c i n g
t h e o v e r a l l q u a l i t y o f l i f e f o r e v e r y r e s i d e n t .
S t e e p e d i n r i c h h i s t o r y , t h e F i f t h W a r d h a s l o n g b e e n a
f o c a l p o i n t f o r c u l t u r a l d e p t h a n d r e s i l i e n c e i n H o u s t o n .
F i f t h W a r d C R C ’ s c o m m i t m e n t t o t h i s c o m m u n i t y i s
e v i
Central to our ethos is a deep commitment to the development of affordable housing that meets the diverse needs of Fifth Ward residents. By leveraging partnerships with developers, local governments, and stakeholders, we have successfully implemented housing solutions that are both cost -effective and high in quality. These initiatives ensure that long-term residents can remain in their community, even as the area grows and evolves. This not only builds a resilient community but also makes the Fifth Ward a model for urban community development.
The Fifth Ward CRC places immense value on the Fifth Ward’s cultural legacy, integrating it into the fabric of our redevelopment efforts. Our projects not only aim to preserve historic landmarks but also to celebrate the area's vibrant culture through arts and events. Sustainability is a cornerstone of our approach, with initiatives designed to promote green living, enhance public spaces, and ensure the long-term viability of the neighborhood. By prioritizing cultural preservation and sustainability, the Fifth Ward remains a unique and enriching place to invest and thrive.
The Fifth Ward community is experiencing a cultural and economic renaissance, thanks in part to the FWCRC's initiatives. We support local businesses, cultural institutions, and educational programs that contribute to a thriving local economy and vibrant community life. Our efforts ensure that the Fifth Ward remains a place where culture and commerce flourish together.
Fifth Ward's story is one of resilience, renewal, and community. With the Fifth Ward CRC at the helm, we are not only responding to immediate housing needs but also shaping a sustainable and inclusive future for the Fifth Ward. By investing in affordable housing and supporting holistic community development, we are not just building homes but fostering a community where everyone has the opportunity to thrive.
Fifth Ward’s journey, guided by the Fifth Ward CRC, is one of community, culture, and innovation. It’s a narrative of a neighborhood that honors its past while boldly stepping into the future. We invite you to explore the investment possibilities in the Fifth Ward a community not just with a story to tell but with a future to shape. Join us in contributing to a legacy of growth, empowerment, and resilience.
The Texas Economic Development Council (TEDC) announced the recipients of its annual Economic Excellence Recognition program for 2024. The awards were presented on Friday, February 28th, during the TEDC’s 2025 Winter Conference in Austin, Texas.
The Economic Excellence Recognition program provides recognition to economic development organizations that meet a desired threshold of professionalism. Recipients qualify for recognition based on training taken by their governing board/council as well as the economic development director and professional staff. Certifications, professional memberships and activities, and organizational effectiveness of the economic development staff also contribute to the standards for qualification.
These seventy-two (72) economic development organizations received the TEDC’s 2024 Economic Excellence Recognition:
Allen Economic Development Corporation
Bay City Community Development Corporation
Boerne Kendall County Economic Development Corporation
Bowie Economic Development Corporation
Buda Economic Development Corporation
Cedar Hill Economic Development Corporation
City of Azle Economic Development
City of Carrollton
City of College Station
City of Converse Economic Development Corporation
City of Fulshear Development Corporation (Type A)
Fulshear Development Corporation (Type B)
City of Hutto Economic Development/Hutto EDC
City of Justin
City of League City
City of Leander
City of Mesquite Economic Development Department
City of Plano
City of Sachse/Sachse Economic Development Corporation
City of Southlake Economic Development Corporation
Commerce Economic Development Corporation
Copperas Cove Economic Development Corporation
Cuero Development Corporation
De Kalb Economic Development Corporation
Decatur Economic Development Corporation
DeSoto Development Corporation
Development Corporation of Abilene
Development Corporation of Snyder
East Aldine Management District
Frisco Economic Development Corporation
Gonzales Economic Development Corporation
Granbury Economic Development
Harlingen Economic Development Corporation
Hillsboro Economic Development Corporation
Ingleside Development Corporation
Jacksboro Economic Development Corporation
Kaufman Economic Development Corporation
Kenedy Economic Development Corporation
Kilgore Economic Development Corporation
La Marque Economic Development Corporation
Lamesa Economic Development Corporation
Lavon Economic Development Corporation
Levelland Economic Development Corporation
Lindale Economic Development Corporation
Little Elm Economic Development Corporation
Longview Economic Development Corporation
Lubbock Economic Development Alliance, Inc.
Marble Falls Economic Development Corporation
Mount Pleasant Economic Development Corporation
New Braunfels Chamber of Commerce
North Richland Hills Economic Development
Partnership Lake Houston
Pasadena Economic Development Corporation
Pflugerville Community Development Corporation
Rockdale Municipal Development District
Sanger Economic Development Corporation
Schertz Economic Development Corporation
Seguin Economic Development Corporation
Sherman Economic Development Corporation
Spring Branch Management District
Sugar Land 4B Corporation
Sugar Land Development Corporation
Sulphur Springs Hopkins County Economic Development Corporation
Taylor Economic Development Corporation
Temple Economic Development Corporation
Terrell Economic Development Corporation
The Colony Economic Development Corporation
Tomball Economic Development Corporation
Van Economic Development Corporation
Wolfforth Economic Development Corporation
Wylie Economic Development Corporation
Yoakum Economic Development Corporation
“The TEDC’s Economic Excellence Recognition program is one of the ways in which our organization honors the outstanding commitment to excellence of our communities and regions, their leaders, and their economic development professionals have toward the professionalization of their economic development efforts,” noted Carlton Schwab, President/CEO of the TEDC.”
The Texas Economic Development Council, established in 1961, is an Austin-based, statewide, non-profit professional association, dedicated to the development of economic and employment opportunities in Texas. The TEDC provides information, educational and legislative services to more than 1,000 members. The organization’s objective is to support the economic growth of Texas and develop strategies that promote a positive business climate in the state.
CRE MARKETPLACE
ARCHITECTS/DESIGN-BUILD FIRMS
KDS de stijl interiors, LLC
2006 E Cesar Chavez St. Austin, TX 78702
P: 512.457.1332
Website: kdsaustin.com
Key Contacts: Jill Laverentz, Owner, jill@kdsaustin.com; Clark Kampfe, Principal, clark@kdsaustin.com
Services Provided: Programming & Client Process Analysis – Due Diligence & Building Analysis – Schematic Design – Test Fit & Pricing Notes – Project Scheduling Goals – Consultant Team Formation – Cost Analysis & Value Engineering – Design Development – Construction Documentation – Racking, Commodity, & Equipment Coordination – Permit Processing – Project Management – Construction Administration – Project Budgeting & Cost Tracking – As-Built Documents
Company Profile: KDS is a full-service commercial design firm with 30+ years of experience including 25,000,000+ SF of Industrial/Flex and 3,000,000+ SF of Office Projects. We are committed to responsiveness and to providing well designed and implemented solutions. Our extensive knowledge base and adept management of critical milestones creates consistently successful projects.
Notable/Recent Projects: American Canning – Austin, TX – 101,000 SF –Manufacturing & Distribution
FlightSafety International – TX & OK – 186,000 SF Combined – Manufacturing GT Distributors – Pflugerville, TX – 58,000 SF – Retail, Office, Fabrication, Storage & Distribution
LGE DESIGN BUILD
280 E. Levee Street Dallas, TX 75207
P: 469.498.0998
Website: lgedesignbuild.com
Key Contact: Ray Catlin, Regional Vice President, rcatlin@lgedesignbuild.com
Service Provided: LGE Design Build provides comprehensive design and construction services, including architecture, engineering, and interior design. LGE specializes in commercial, industrial, retail, healthcare, and tenant improvement projects. Utilizing a client-centric, design-build model, LGE ensures streamlined processes, reduced costs, and sustainable building practices for customized, high-quality results.
Company Profile: LGE, with dual headquarters in Phoenix and Dallas, provides full-service architecture, design, engineering, budget control, permits, and construction. Renowned for integrity and craftsmanship, LGE has completed over 1,200 projects across industries like industrial, office, hospitality, medical, and more, delivering award-winning designs. Notable/Recent Projects: LGE Dallas Headquarters, Mesquite 635, Fort West Commerce Center, Houston Point 290, Cypress Creek Distribution Center, McKinney Trade Center II, Sunridge Industrial Park, Park West Phase III, Bottled Blonde / Backyard Fort Worth.
BROKERAGE FIRMS
CMI BROKERAGE
820 Gessner, Suite 1525
Houston, TX 77024
P: 713.961.4666
Website: cmirealestate.com
Key Contacts: Trent Vacek, tvacek@cmirealestate.com; James Sinclair, jsinclair@cmirealestate.com
Services Provided: Central Management, Inc. is a full-service commercial real estate firm providing Brokerage Services; Property, Facility, Construction and Asset Management Services; Landlord and Tenant Representation; Land Sales; Receivership and Real Estate Recovery. Services are available for Industrial, Land, Multifamily, MOB, Office and Retail. Licensed in Oklahoma and Texas.
Company Profile: Central Management, Inc. (CMI) was founded by Houston real estate professional Vic Vacek in 1978. Our team understands the intricacies of the markets that offer investors an edge both from a leasing and an asset management perspective. Certified AMO® 1984, IREM, CPM, CCIM, NAR, HAR, NALP, ICSC, and TREC.
Notable Transactions/Clients: Armada Big Springs Ptnrs, Barbour Invts., Baytown ISD, Core Real Estate, Hoffpauir Estate, JLC Properties, KBR, Prudential, Rawson Blum & Leon, Subway, Texas Hearing Institute, Triple Crown Invts., US Oncology, Vigavi Realty, Walgreens.
Key Contact: HOU: Nick Dwyer, Director of Business Development, ndwyer@alstonco.com
DAL: Brittany Schneider, Director of Business Development, bschneider@alstonco.com
Services Provided: Alston offers a diverse background of design-build experience, general contracting and construction management of industrial, commercial, healthcare, retail, and municipal projects.
Company Profile: Alston Construction’s success begins and ends with our approach to planning, scheduling, and choosing the right team. We have been adhering to an open and collaborative approach since our founding more than 35 years ago.
Notable/Recent Projects: Innovation Ridge Logistics Park, a 1.1 million SF 3 building industrial business park in Forney; 610 Business District, a 388,795 SF industrial park located in Houston; 1.2 million SF logistics facility located in Conroe.
SUMMIT DESIGN + BUILD, LLC
98 San Jacinto Blvd, 4th Floor
Austin, TX 78701
P: 512.872.6698
Website: summitdb.com
Key Contacts: Adam Miller, President, amiller@summitdb.com;
Doug Hayes, Project Executive, dhayes@summitdb.com; Amber Autumn, Business Development, aautumn@summitdb.com
Services Provided: Summit Design + Build, LLC is a provider of full service general contracting, construction management and design/ build construction services for the commercial, industrial, multifamily residential, office/tenant interiors, hospitality and institutional markets.
Company Profile: Located in downtown Austin and with offices in Tampa, FL, Chicago, IL and North Carolina, Summit Design + Build has been involved in the design and construction of over 400 buildings and spaces totaling more than 10 million square feet over the firm’s 18 year history.
Notable/Recently Completed Projects: Montage – 2323 S. Lamar (Multifamily), Congress Lofts at St. Elmo (Multifamily), UpCampus Student Housing Tallahassee (Multifamily), WeWork (Office TI), Eli’s Cheesecake (Industrial), Lockheed Martin (Industrial), Stadium Lofts North Carolina (Multifamily).
HEALTHCARE MOB
PUREFYT COMMUNITY CARE
14205 N MoPac Expy, Suite 570 PMB #565290 Austin, TX 78728
Services Provided: Mobile Medical Services; emergency medical services; medical service company; emergency medical services; family health medical services; behavioral health services; behavioral mental health; behavioral healthcare services; behavior health services; behavior health service; advanced behavioral health services; mobile iv therapy; mobile iv therapy near me; mobile iv therapy austin; community medical services.
National Environmental Services, with offices in Houston, Texas and Redlands, California, is an environmental consulting company, established in 1995, that conducts a full range of reliable and cost-effective environmental assessment and corrective services, with competitive pricing and convenient turnaround.
• Phase I Environmental Site Assessments (ASTM E1527-21)
