Pipeline Houston kicks off industrial development

HOUSTON – Pipeline Realty has purchased 12 acres south of Beltway 8 at Cottingham Business Park in southeast Houston. The company will build and lease up to five office warehouse buildings totaling 90,000 sf to 130,000 sf.

The properties will be constructed to support a crane and will have room for outside storage yards. The location offers good access to container ports, chemical plants, the Texas Medical Center and downtown, said Scott Rubenstein, founder of Pipeline Realty.

Louisiana-based Versa Integrity Group has preleased the first building, which is on the ground. Construction of the second building will begin soon and design work is being done on a third building.

“This section of the Beltway in particular has been overlooked for industrial development,” said Rubenstein. Much of the activity has been concentrated along the Beltway in the southwest, west and northwest regions of Houston.

The development comes amid an extremely tight industrial market. The overall vacancy rate stood at 4.3 percent in third quarter 2013, according to Transwestern/Delta Associates.

Among other nearby developments along Beltway 8 are Clay Development & Construction’s 288 Business Park and a Volvo Rents equipment rental business.