Chris Dray Executive Vice President
Rachael KeenerVice President
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OFFERING MEMORANDUM307 WESTHEIMER RD307 WESTHEIMER RD | HOUSTON, TX 77006
Property consists a two-tenant center with an 7,141 sf two-story building sitting
on 15,681sf of land on the much sought-after Westheimer Rd in the heart of
Montrose. This irreplaceable asset with 150 ft of frontage along Westheimer Rd
and just blocks from the Texas Medical Center, Midtown, and the Central Business
District.
The project is in a high barrier to entry market, which creates a highly desirable
urban infill project just off the #1 Intersection in the City. National recognized
Montrose continues to thrive and grow into an exciting, active and diverse urban
neighborhood with impressive demographics that ranks in the top 10 coolest
neighborhoods in the USA. It is home to a wide array of national retailers and
some of the most iconic and exciting restaurants and bars in Houston. Whole
Foods will open their Midtown location about 5 blocks east of the site.
The property offers convenient access to all major freeway and thoroughfares
giving the site excellent proximity to every major business hub in Houston.
Spenga, a fast-growing national multi-unit franchise fitness concept out of
Chicago takes 4,941sf sf on the second and first floor with 69% of the building.
The balance if the space is taken by Capsule, a growing e-commerce pharmacy
combing a digital brand with an omni-channel platform out of New York, which
takes 2,200 sf on the first floor, about 31% of the building.
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AVIATION
The Houston Airport System (HAS) handled 59.4 million passengers in the 12 months ending May ’19. That’s another record for Houston and an 8.0% increase from the 55.0 million handled over the preceding 12 months.
KEY ECONOMIC INDICATORS
BUILDING PERMITS
City of Houston building permits totaled $909.1 million in May ’19, up 81.8 percent from $500.0 million in May ’18, according to the latest data released by the city’s Public Works Department.
CONSTRUCTION
Metro Houston’s construction starts totaled $19.6 billion in the 12 months ending May ’19, up 9.8% from $17.9 billion in ’18, according to the latest data from Dodge Data & Analytics.
INFLATION
The energy index in the Houston Metro Area ticked down 0.5%, the shelter index increased 3.2% and grocery prices rose 3.2% from May ’18 to May ’19.
VEHICLE SALES
Dealers sold 25,381 new vehicles, a 7.0% jump from May ’18, according to TexAuto Facts, published by InfoNation, Inc. of Sugar Land. Year-to-date vehicle sales ticked up 2.7% compared to the first five months of last year.
HOME SALES
Houston-area realtors sold 8,346 single-family homes in May, a 2.8% increase from last year, according to data from the Houston Association of Realtors.
Metro Houston created 79,800 jobs, a 2.6 percent increase, in the 12 months ending May ’19, according to the Texas Workforce Commission (TWC). Employment now stands at 3,163,600, the highest point on record. At the current pace of growth, the region should top 3.2 million jobs by year’s end.
HOUSTON AT A GLANCE
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AERIAL VIEW
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ADDRESS 307 Westheimer Rd, Houston, TX
LATITUDE, LONGITUDE 29.744488, -95.384917
TOTAL SIZE ±7,000 SF on ±16,506 SF of Land
FRONTAGE (APPROX.) 150 ft. on Westheimer Rd
ACCESS Westheimer Rd
UTILITIES City of Houston
SCHOOL DISTRICT Houston ISD
ADDITIONAL PROPERTY DETAILS
PARCEL ID 0041410010001
OWNER 307 Westheimer, LP
PROPERTY 307 Westheimer Rd | Houston, TX 77006
LEGAL Res A Blk 1 Avondale 2nd PAR R/P
PRICING To Be Determined by Market
2019 DEMOGRAPHICS 1 MILE 3 MILES 5 MILES
2019 Estimated Population 29,025 195,425 460,579
5-YR Est. Population Growth 0.7% 0.8% 0.9%
Average Household Income $117,224 $132,169 $123,214
Median Owner-Occupied Housting Value
$316,527 $391,740 $350,564
MEDIANHOUSEHOLD INCOME 1 MILE 3 MILES 5 MILES
2024 Projected Median HHI $92,915 $98,228 $91,013
2019 Estimated Median HHI $80,560 $86,239 $80,002
2010 Census Median HHI $57,867 $67,569 $63,654
2000 Census Median HHI $41,249 $48,936 $47,191
2019 TAX RATES
001 Houston ISD 1.136700
040 Harris County 0.418580
041 Harris County Flood Control 0.028770
042 Port of Houston Authority 0.011550
043 Harris County Hospital District 0.171080
044 Harris County Educucation Dept 0.005190
048 Houston Community College 0.100263
061 City of Houston 0.567920
TOTAL 2.440053
PROPERTY DETAILS
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Capsule is the dominant player in the emerging U.S. phar-macy industry’s shift to e-commerce, building the first dig-ital brand and full-stack channel partner & platform in this $425bn industry.
Capsule offers same-day prescription delivery to consumers through its own pharmacies, in-house logistics network, and proprietary technology platform powering the entire end-to-end consumer experience from consumer engagement to fulfillment and delivery.
Capsule has also built a technology and data platform to enable all stakeholders in the healthcare system - doctors, hospitals, insurers, and pharmaceutical companies - to drive higher revenue and better patient health outcomes through real-time data and feedback loops among stakeholders.
As the most frequent interaction in the entire healthcare sys-tem, the pharmacy represents the best entry point to build trust and engagement with consumers, build relationships with other healthcare system stakeholders and enter other verticals within the broader $3tn U.S. healthcare market.
SPENGA is a community of like-minded individuals all looking to make the most out of their lives and their workouts. Unlike any studio of its kind, SPENGA combines three essential elements of fitness to create what’s simply known as the best workout ever. Strong bodies and minds are created through the power of ride, rep, revive. Each 60 minute SPENGA session boosts your endurance, strengthens your muscles and restores your body through a combination of 20 minutes of spin, 20 minutes of HIIT training and 20 minutes of yoga.
This unique studio fills a gap in the fitness market and delivers cardiovascular, strength, and flexibility training in every session. With space dedicated specifically to each element of the workout, invigorating aromatherapy and energizing DJ-inspired beats, per-formance and results are maximized.
Backed by the expertise of industry-leading fitness professionals, SPENGA incorporates the most efficient, effective and up-to-date exercise concepts. The goal is to help members achieve their fit-test selves without having to go to three different places to find it. For that reason, every workout is adaptable to multiple fitness levels.
Each location supplies plenty of amenities such as:• Endless supply of filtered water for refillable bottles. • Yoga mats (you can also bring or purchase your own)• Self-locking day lockers• Restrooms & changing rooms with complimentary toilet-ries (showers available at select studios)
Designed to improve endurance, strength and flexibility in just one hour, SPENGA offers an unparalleled fitness experience.
TENANT SUMMARY
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POINTS OF INTERESTS
• New Whole Foods in Midtown – 1 minute / 0.2 miles
• Museum District – 6 minutes / 2 miles
• Texas Medical Center – 11 minutes / 3.3 miles
• Hobby Airport – 17 minutes / 10 miles
LOWER WESTHEIMER
Lower Westheimer is considered the center of Houston’s culinary and hipster communities. Street art plays a big role and can be found throughout the area. In 2012, Forbes named Lower Westheimer as one of “America’s Hippest Hipster Neighborhoods”. It is known for its diverse food scene ranging from Tex-Mex, Puerto Rican, Kolaches, Greek, burger joints, Sichuan, sushi, Lebanese, Vietnamese, Thai, ramen, etc. Food trucks also have a large presence in the area. El Real Tex Mex restau-rants is considered a landmark and is well-known both for its food and its architecture. One of the most popular restaurants, UB Preserv, which is now is known for bringing Houston’s ethnic diversity together in its food. Among other popular restaurants in the area include Uchi, D Marco, Tex Chick, Gusto Gourmet, Dolce Vita, Indika, Hugo’s, Ramen Tatsuya and more. This area boasts more James Beard awarding winning chefs than any other part of Houston and is a must for all Tourist who visit Houston.
Art businesses have been present in the area dating as far back as the 1970s. Lower Westheimer was also the location of the Westheimer Street Festival, which eventually absorbed into the Free Press Summer Festival. Since the 70s, the community has grown, and currently, one can find art galleries across the neighborhood. Famed art collectors John de Menil and Dominigue de Menil opened the Menil Collection is located within the area, and it now operates as a museum.
CONVENIENCE TO MAJOR EMPLOYEES
• Central Business District – 7 minutes / 2.1 miles
• Galleria – 12 minutes / 7 miles
• City Centre – 17 minutes / 16 miles
• Midtown – 3 minutes / 0.8 miles
• Heights – 12 minutes / 5.3 miles
• Medical Center - 11 minutes / 3 miles
RECENT:
The Mix at MainT 24 Hour Fitness along with ground floor
restaurants
River Oaks Shopping Center
Home to high end boutique retailers and classy restaurants such as Perry’s Steakhouse new location
LOWER WESTHEIMER
DEVELOPMENTSUPCOMING:
The IONDesigned to bring the area’s entrepreneurial,
corporate and academic communities together
into collaborative spaces and programs within
a 270k sf structure.
The Travis
328 multi-family units with 14,500 sf of ground floor retail, restaurants and flex space.
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POPULATION
27,939,904
IN THE U.S.A.
2ND FASTEST GROWING ECONOMY
13+ MILLION WORKERS
TOP STATE FOR JOB GROWTH
FORTUNE 500 COMPANIESCALL TEXAS HOME
AWARDED 2014 GOVERNOR’S CUP FOR THE MOST NEW AND EXPANDED CORPORATE FACILITIES: 689
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OVER 3,000 COMPANIES HAVE LOCATED OR EXPANDED FACILITIES IN TEXAS SINCE 2009
LOCATION OVERVIEW
BEST STATE FOR BUSINESS10TH YEAR IN A ROW
NO STATEINCOME TAX
LARGEST MEDICAL CENTER 2ND LARGEST CANCER CENTER MD ANDERSON, HOUSTON
FORT WORTH#3 Top Moving Destination 2017
HOUSTON#2 Fastest Growing Housing Market 2018#7 Top 2- Business-Friendly City
AUSTIN#1 Best Places to Live 2018#12 Top 20 Business-Friendly City
SAN ANTONIO#14 Best Place to Live 2018
DALLAS#1 Fastest Growing Housing Market 2018#1 Top 20 Business-Friendly City
LOCATION OVERVIEW
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METRO HIGHLIGHTS
As the fifth most populous metro area in the U.S., Houston houses
roughly 6.9 million people in southeastern Texas. The market is
composed of nine counties: Harris, Galveston, Brazoria, Fort Bend,
Chambers, Montgomery, Austin, Liberty and Waller. The Gulf of Mexico,
which borders the metro to the southeast, provides access to markets
around the world via the Port of Houston, making it a prime location
for exports. Local industries have diversified from oil to technology and
healthcare. Many companies provide goods and services for the large
population growth, which has sprawled, primarily to the north and west.
The city of Houston is the largest in the metro with 2.3 million residents.
CORPORATE GROWTHHouston will remain a top destination for corporate relocations due to its
business-friendly environment. More than 20 Fortune 500 companies are
headquartered in the metro.
HIGHER EDUCATIONOver 40 post-secondary educational institutions are located in the metro.
Nearly 31 percent of residents have attained a bachelor’s degree, with 11
percent also holding a graduate or professional degree.
LOW COST OF LIVING, DOING BUSINESSHouston has a lower cost of living than many major metros, no state
income tax and a median home price below the national level.
LOCATION HIGHLIGHTS
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POPULATION 1 MILE 3 MILES 5 MILES
2024 Projected Population 30,091 203,514 480,570
2019 Estimated Population 29,025 195,425 460,579
2010 Census Population 25,617 161,317 399,630
2000 Census Population 21,094 140,739 376,356
HOUSEHOLDS 1 MILE 3 MILES 5 MILES
2024 Projected Households 18,951 102,065 231,439
2019 Estimated Households 17,615 94,422 214,152
2010 Census Households 25,617 161,317 399,630
2000 Census Households 21,094 140,739 376,356
2019 Total Occupied Units 17,615 94,422 214,152
HOUSEHOLDS BY INCOME 1 MILE 3 MILES 5 MILES
$200,000 or More 12.6% 16.1% 14.2%
$150,000 to $199,999 9.6% 9.4% 7.8%
$125,000 to $149,999 8.3% 7.6% 6.6%
$100,000 to $124,999 8.5% 7.5% 7.3%
$75,000 to $99,999 12.3% 11.8% 11.4%
$50,000 to $74,999 17.2% 15.4% 16.1%
Under $50,000 63% 32.2% 36.6%
Average Household Income $117,224 $132,169 $123,214
Median Household Income $80,560 $86,239 $80,002
Per Capita Income $71,610 $65,394 $57,988
2019 POPULATION BY AGE
POPULATION HOUSEHOLDS
460,579
MEDIAN AGE
214,152
MEDIAN INCOME
34.8 $80,002
21.7% 66.5% 11.8%
0-19 YEARS 20-64 YEARS 65+ YEARS
LOCATION DEMOGRAPHICS
HOUSTON, TEXAS 77006 - 5 MILE RADIUS
LARGEST EMPLOYERS IN TEXASAT&T
Keller Williams
American Airlines
Livestock Investors Ltd
Tenet Healthcare
JCPenney
Dell
Schlumberger
H-E-B Foods
MAJOR AREA EMPLOYERSBaylor College of Medicine
Baylor St. Luke’s Medical Center
MD Anderson Cancer Center
Memorial Hermann
Methodist Hospital
Rice University
Texas Children’s Hospital
Texas Medical Center
UT Health Science Center1010
CHRIS DRAY
Executive Vice PresidentBrokerage Sales
281.640.7682
RACHAEL KEENER
Vice PresidentBrokerage Sales
281.477.4313
CONTACT BROKER FOR DUE DILLIGENCE INFORMATION
MEET THE TEAM
CONFIDENTIALITY AND DISCLAIMER
The information contained in the following marketing brochure is proprietary and strictly confidential. It is intended to be reviewed only buy the party receiving it from NewQuest Properties and should not be made available to any other person or entity without the written consent of NewQuest Properties. This Marketing Brochure has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. NewQuest Properties has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size square footage of the property and improvements, presence or absence of contaminating substances, PCB‘s or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenants plans or intentions to continue it’s occupancy of the subject property. The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable; however, NewQuest Properties has not verified, and will not verify, any of the information contained herein, nor has NewQuest Properties conducted any investigation regarding these matters and makes no warrantee or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all the information set forth herein. NewQuest Properties is a service mark of NewQuest Properties Real Estate Investment Services, Inc. © 2019 NewQuest Properties. All rights reserved.
THE TEXAS REAL ESTATE COMMISSION (TREC) REGULATES REAL ESTATE BROKERS AND SALES AGENTS, REAL ESTATE INSPECTORS,HOME WARRANTY COMPANIES, EASEMENT AND RIGHT-OF-WAY AGENTS AND TIMESHARE INTEREST PROVIDERS. YOU CAN FIND MORE INFORMATION AND CHECK THE STATUS OF A LICENSE HOLDER AT WWW.TREC.TEXAS.GOV. YOU CAN SEND A COMPLAINT AGAINST A LICENSE HOLDER TO TREC. A COMPLAINT FORM IS AVAILABLE ON THE TREC WEBSITE. TREC ADMINISTERS TWO RECOVERY FUNDS WHICH MAY BE USED TO SATISFY A CIVIL COURT JUDGMENT AGAINST A BROKER, SALES AGENT, REAL ESTATE INSPECTOR, OR EASEMENT OR RIGHT-OF-WAY AGENT, IF CERTAIN REQUIREMENTS ARE MET. IF YOU HAVE QUESTIONS OR ISSUES ABOUT THE ACTIVITIES OF A LICENSE HOLDER, THE COMPLAINT PROCESS OR THE RECOVERY FUNDS, PLEASE VISIT THE WEBSITE OR CONTACT TREC AT:
TEXAS REAL ESTATE COMMISSIONP.O. BOX 12188 AUSTIN, TEXAS 78711-2188 512.936.3000
NON-ENDORSEMENT NOTICE
NewQuest Properties is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation’s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of NewQuest Properties, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of NewQuest Properties, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers.
ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONSULT YOUR NEWQUEST PROPERTIES AGENT FOR MORE DETAILS.
NON-ENDORSEMENT AND DISCLAIMER NOTICE