This Nancy Sarnoff/Chronicle article reports that a joint venture between executives in a California-based entertainment development company and a Texas real estate fund has made a $20 million purchase of three blocks of prime downtown land bordered by Main, Polk, Dallas and Caroline streets (near Toyota Center) for the purpose of developing a retail, condominium and office complex modeled after the Denver Pavilions project. The nascent Houston project’s skeletal website is here.
As an aside, things do appear to be picking up in Houston’s east downtown, which includes Minute Maid Park, the George R. Brown Convention Center, the Hilton Americas Convention Center Hotel and the Toyota Center within a few blocks of each other. This Houston Business Journal article reports that a joint venture of Crescent Real Estate Equities Co. has sold the 27 story east downtown building called 5 Houston Center at 1401 McKinney to Wells Real Estate Investment Trust II Inc. for $166 million That price computes to a nifty $286 per square foot, which Crescent claims is a record for such a sale in Houston.
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Let us not forget that the “California-based entertainment development company” is none other than Anschutz Entertainment Group, the same company that owns the former San Diego Earthquakes which are temporarily relocating to UH Robertson Stadium and are twisting HISD’s arm to chip in up to 55 mil to rebuild Delmar Stadium, and who have trademarked “The Houston Examiner” with an eye towards possibly opening a daily newspaper in this market similar to the SF Examiner which they also own. and have hired Oliver Luck as Team President after He negotiated thier move here as head of the HSA.
Am I the only one that smells something unpleasant here?
Is this place going to have ground floor bathrooms? I need a place to take a shower.
I have been complaining about this matter, from the underassessed tax aspect, since it was first announced.
We can now estimate the sellers likely paid well over one-half million dollars LESS in ad valorem property taxes in the last two years, from the point it was reported the deal was made.
Further, it supports my contention that the tram has not generated new development in and of its self, rather, the bureaucrats have manipulated development by offering taxpayer subsidies, grants, abatements and tax-exempt bonds as an inducement for developers to merely shift the planning of projects which were feasible and seemingly more desirable in other locations.
The residential property taxpayers have shouldered this grossly disproportionate share of the property tax burden for much too long.
Houstonist also has a post about the new live entertainment venue on the east side that Louie Messina and company are opening next month.