Houston, TX Office Overview
The Houston office market encompasses the Greater Houston, South Houston, Southwest Houston and the Northwest Houston submarkets. With a metropolitan population of over 6.6 million people, the major industries of energy, aerospace and defense, and bio-science continue to boost a strong economy and increasing demand for space in the Houston TX commercial real estate market.
As of mid-2017, the Houston office market encompasses over 195 million square feet of existing office space, in properties larger than 50,000 square feet. The office scene in Houston continues to flourish, due to its broad industrial and business base.
Houston, TX Office Inventory Description
Houston is home to almost as many large public companies as is New York City, and the existing office inventory in Houston reflects that fact. Nearly 60% of Houston office space is Class a product, while Class B office properties make up nearly 39% of Houston TX's office inventory.
Downtown Houston commercial real estate boasts Houston’s densest office scene. Bordered by the I-45, I-10 and I-69 freeways this submarket is home to Class A office buildings such as the CenterPoint Energy Tower, the JPMorgan Chase Tower and Wells Fargo Plaza.
Other Houston office submarkets seeing high demand include the Medical Center market that runs along Main Street and is adjacent to the Texas Medical Center and the University of Texas Health Science Center, and the nearby University Place submarket.
Houston, TX Commercial Inventory Breakdown
Total: 218,119,919 SF
By square footage range:
- 50k to 100k SF: 24,280,353 SF / 11.13% of total office
- 100k to 500k SF: 119,785,486 SF / 54.92% of total office
- 500k to 1M SF: 39,914,419 SF / 18.3% of total office
- > 1M SF: 34,139,661 SF / 15.65% of total office
- Class A+: 11,502,433 SF / 5.27% of total office
- Class A: 112,079,593 SF / 51.38% of total office
- Class B: 77,586,996 SF / 35.57% of total office
- Class C: 1,057,203 SF / 0.48% of total office
Top 10 Largest Office Buildings
|Office building||Address||Sqft||Year built|
|Wells Fargo Plaza||1000 Louisiana Street, 77002||1,721,242||1983|
|Chevron Tower - 1600 Louisiana||1600 Louisiana Street, 77002||1,700,000||n/a|
|JPMorgan Chase Tower||600 Travis Street, 77002||1,683,893||1981|
|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|
|Mid Campus Building 1||7007 Bertner Avenue, 77030||1,368,600||2010|
|1001 Fannin||1001 Fannin Street, 77002||1,333,212||1980|
|1100 Louisiana||1100 Louisiana Street, 77002||1,326,249||1980|
|800 Bell - Redevelopment||800 Bell Street, 77002||1,300,000||n/a|
Most Recently-Built Office Buildings
|Office building||Address||Sqft||Year built|
|609 Main at Texas||609 Main Street, 77002||1,057,658||2017|
|Amegy Bank Tower||1717 West Loop South, 77027||350,000||2017|
|Cemex Building||10100 Katy Fwy, 77055||273,763||2017|
|Redemption Square - Phase I - 250 Assay Street||250 Assay Street, 77044||86,523||2017|
|8181 Southwest Fwy||8181 Southwest Fwy, 77074||60,000||2017|
|Phillips 66 Headquarters||2331 CityWest Blvd, 77042||1,097,790||2016|
|Energy Center IV||925 North Eldridge Pkwy, 77079||597,628||2016|
|Four Oaks Place - Five Oaks||1500 Post Oak Blvd, 77056||594,000||2016|
|Energy Center V||915 North Eldridge Pkwy, 77079||524,397||2016|
|Hilcorp Energy Tower||1111 Travis Street, 77002||475,000||2016|
Houston, TX Green Office Space
Houston TX office buildings rank #4 for buildings larger than 50,000 square feet that are green, with over 28% of the office square footage in Houston being LEED-certified, and over 43% of the office space in Houston being Energy Star-compliant.
As an increasing number of Class A office tenants in Houston begin to place energy efficient space at the top of their list, both private and institutional investors will continue to pursue green certification for their assets, advancing the green office trend upward. With its healthy mix of both traditional energy, green energy, and high-technology industries, the Houston office market continues to offer tenants what they demand.
The 2017 National Green Building Adoption Index looked at commercial office properties in 30 major U.S. markets and found that, including EPA Energy Star-labeled buildings, the percentage of green certification has increased from under 5% in 2005 to 38% as of mid-2017. Houston placed fourth in this annual 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 Houston office market and attract both national and global investors seeking stability and long-term performance.
A diverse mix of industry and business drives the Houston office market. Major industry sectors include real estate and corporate headquarters, finance, information technology, biomedical, and energy.
- Real Estate & Corporate Headquarters – Houston is home to 23 Fortune 500 companies, including Sysco, Baker Hughes and Halliburton.
- Finance – Banking, financial services and foreign government trade offices are major users of office space in Houston, including the Bank of American Center.
- Information Technology – The Houston Technology Center is the city's center for high-tech entrepreneurship, with more than 1,000 computer-related companies calling Houston 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 Population2,217,706
- Male Population(50.0 %) 1,108,500
- Female Population(50.0 %) 1,109,206
- Median Age32.60
- Average Household Income$74,322
- Median Household Income$46,187
- Median Income Under 25$26,891
- Median Income 25-44$46,937
- Median Income 45-64$53,789
- Median Income Over 65$37,783
- Addicks Park Ten Demographics
- Alief Demographics
- Central Southwest Houston Demographics
- Clear Lake Demographics
- Denver Harbor - Port Houston Demographics
- Downtown Houston Demographics
- Eldridge - West Oaks Demographics
- Energy Corridor Demographics
- Fairbanks - Northwest Crossing Demographics
- Golfcrest - Bellfort - Reveille Demographics
- Greater Greenspoint Demographics
- Greater Heights Demographics
- Greater Hobby Area Demographics
- Greenway - Upper Kirby Demographics
- Gulfton Demographics
- Lazy Brook - Timbergrove Demographics
- Mid West Houston Demographics
- Northshore Demographics
- Northside - Northline Demographics
- Northwest Park Demographics
- Oak Forest - Garden Oaks Demographics
- Sharpstown Demographics
- South Belt - Ellington Demographics
- Spring Branch East Demographics
- Spring Branch West Demographics
- Uptown Houston Demographics
- Washington Ave - Memorial Park Demographics
- Westchase Demographics
Texas Office Sales Hit 5-Year Low in Q1
April 25, 2018
Texas’ top-tier office markets were off to a slow start this year, wrapping up what looks like one of the worst quarters of the last five years. The dollar volume dropped 63% year-over-year, concluding Q1 with $504 million in disclosed-price transactions, while prices climbed to an average of $1...
The former Randalls cooler warehouse and distribution center in Houston has changed hands. The Texas-based supermarket chain has recently been sold by its parent company, Albertson, to Crow Holdings Industrial.