Houston, TX Office Overview
The city of Houston is home to a population of over two million residents and is the economic hub of the greater Houston metropolitan region, which encompasses nearly seven million people. Enterprises and institutions operating in industries like energy, aerospace and defense, and bioscience continue to drive the city’s strong economy and and demand for real estate development and investment.
The city’s broad industrial and business base is complemented by what is the most racially and ethnically diverse population in the country. Industries operating in Houston include finance, information technology, healthcare, life science research, manufacturing and industry, aerospace, trade, and tourism.
Houston, TX Office Inventory Description
As of mid-2017, the Houston office market encompassed over 195 million square feet of office space, in properties larger than 50,000 square feet. A major corporate center, Houston is home to almost as many large public companies as is New York City, and the local office inventory certainly reflects that. Nearly 60% of the city’s office space is Class A product, while Class B office properties make up nearly 39% of inventory
The city’s densest subdivision, in terms of office use, is Downtown Houston. Bordered by the I-45, I-10, and I-69 freeways, this neighborhood is home to notable properties like the CenterPoint Energy Tower, the JPMorgan Chase Tower and Wells Fargo Plaza.
The Energy Corridor that has developed along Interstate 10 is home to large corporate campuses like Woodbranch Plaza, Ashford park, Westlake Park, and the Energy Towers. Clear Lake, a neighborhood in Southeast Houston, is home to the Johnson Space Center, as well as numerous office towers and campuses. North Houston has also seen increased development, mainly in the medical office sector.
Northwest Houston is also a prolific office development subdivision in the city. Home to several development clustered that have grown along the Sam Houston Tollway, Highway 249, and the Cypress Creek Parkway, there is still more room to grow. West Houston boasts two dense office corridors, along Interstate 10 and the Sam Houston Tollway.
Houston, TX Commercial Inventory Breakdown
Total: 235.061.630 SF
By square footage range:
- 50k to 100k SF: 29.508.505 SF / 12.55% of total office
- 100k to 500k SF: 125.796.207 SF / 53.52% of total office
- 500k to 1M SF: 41.249.397 SF / 17.55% of total office
- > 1M SF: 38.507.521 SF / 16.38% of total office
- Class A+: 13.764.537 SF / 5.86% of total office
- Class A: 116.848.410 SF / 49.71% of total office
- Class B: 83.692.788 SF / 35.6% of total office
- Class C: 2.649.472 SF / 1.13% of total office
Top 10 Largest Office Buildings
|Office building||Address||Sqft||Year built|
|Hewlett Packard Enterprise Campus||11445 Compaq Center West Drive, 77070||2,000,000||1984|
|Wells Fargo Plaza||1000 Louisiana Street, 77002||1,721,242||1983|
|Chevron Tower - 1600 Louisiana Street||1600 Louisiana Street, 77002||1,700,000||n/a|
|Williams Tower||2800 Post Oak Blvd, 77056||1,482,384||1983|
|Pennzoil Place||711 Louisiana Street, 77002||1,409,713||1975|
|800 Bell||800 Bell Street, 77002||1,383,910||1962|
|800 Bell - Redevelopment||800 Bell Street, 77002||1,383,910||n/a|
|Mid Campus Building 1||7007 Bertner Avenue, 77030||1,368,600||2010|
|Chevron Building - 1400 Smith Street||1400 Smith Street, 77022||1,252,762||1984|
|Fulbright Tower||1301 McKinney Street, 77010||1,247,050||1982|
Most Recently-Built Office Buildings
|Office building||Address||Sqft||Year built|
|Bank of America Tower||800 Capitol Street, 77002||775,000||2019|
|Chasewood Crossing III||19350 State Highway 249, 77070||156,000||2019|
|The Cannon||1336 Brittmoore Road, 77043||120,000||2019|
|Hedwig Place||8731 Katy Fwy, 77024||102,474||2019|
|Southside Commons||4191 Bellaire Blvd, 77025||80,000||2019|
|Kelsey-Seybold Cypress Clinic||13105 Wortham Center Drive, 77065||72,000||2019|
|The Post Oak||1600 West Loop South Fwy, 77027||680,000||2018|
|The Kirby Collection Tower One||3200 Kirby Drive, 77098||251,510||2018|
|Lockton Place||3657 Briarpark Drive, 77042||186,000||2018|
|BakerRipley Central||4450 Harrisburg Blvd, 77011||88,000||2018|
Houston, TX Green Office Space
Houston ranks fourth for buildings larger than 50,000 square feet that are green-compliant. Nearly 30% of the city inventory is LEED-certified, and roughly 43% of office space is EPA Energy Star-rated.
As more and more tenants prefer energy-efficient, ecologically oriented building practices, both private and institutional investors continue to pursue green certification for their assets, advancing the green office trend. With a healthy diverse mix of both traditional energy, green energy, and high-technology industries, the economy continues to favor modern commercial real estate development.
The 2017 National Green Building Adoption Index looked at commercial office properties in 30 major U.S. markets and found that the percentage of green office space has increased from under 5% in 2005 to nearly 40% in mid-2017. Houston placed fourth in this survey.
Houston, TX's Top Office-Using Sectors
Houston is recognized around the world for its energy industry, but the demand for office space doesn't stop there. Oil, gas, renewable energy, biomedical research and aeronautics all contribute to the robust growth of the local market and attract both national and global investors that stability and long-term performance.
Major active economy sectors in the metro include real estate and corporate headquarters, finance, information technology, biomedical, and energy.
- Real Estate and corporate headquarters – Houston is home to more than 20 Fortune 500 companies, including Sysco, Baker Hughes and Halliburton;
- Finance – banking, financial services and foreign government trade offices are major users of local office space;
- Information Technology – the Houston Technology Center is the city's center for high-tech entrepreneurship, with more than 1,000 computer-related companies calling this city home;
- Biomedical – The Texas Medical Center, the University of Texas Research Park, and the UT Health Science Center all play major roles in biotechnology and life sciences research;
- Energy – ConocoPhillips, Marathon Oil, KBR and National Oilwell Varco are a few of the top publicly traded energy companies headquartered in Houston.
- Total Population2,295,982
- Male Population(50.0 %) 1,147,588
- Female Population(50.0 %) 1,148,394
- Median Age32.90
- Average Household Income$81,995
- Median Household Income$51,140
- Median Income Under 25$30,230
- Median Income 25-44$52,927
- Median Income 45-64$57,788
- Median Income Over 65$41,514
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