Houston had its Fair Share of Big Office Deals
Two of 2011’s biggest corporate real estate deals involved perhaps the world’s most talked about company, Facebook and the world’s most high profile office property, 1 World Trade Center. Meanwhile, down in Houston some of the world’s biggest energy companies announced blockbuster office deals.
Facebook Inc., the world’s most-used social networking service, moved its headquarters to Sun Microsystems Inc.’s former campus in Menlo Park, California, in the area’s biggest office leasing deal in two decades.
Conde Nast reached an agreement to lease one million square feet at 1 World Trade Center giving ground zero a much-needed corporate anchor with a proven ability to attract other businesses. The publisher is expected to move about 5,000 employees to Floors 20 through 41 at 1 World Trade Center sometime in 2014.
Everything is Bigger in Texas
Houston’s worst kept commercial real estate secret was officially announced as ExxonMobil acknowledged development of a new office campus in north Houston to consolidate approximately 8,000 employees currently working in a variety of locations in the Houston area.
In one of the largest office leases of the year, Shell Oil Co. renewed 804,419 square feet of office space at One Shell Plaza and 417,934 square feet at Two Shell Plaza in Houston.The lease, which lasts retroactively from Jan. 1, 2011 to 2025, is the largest single office space lease worldwide this year.
Chevron USA acquired 1400 Smith, the 1.2 million square foot downtown Houston office building it previously leased from Brookfield Office Properties Inc. for $340 million. The energy company also owns the 40-story tower at 1500 Louisiana that is connected to 1400 Smith by a skybridge.