Empire West

Empire West is a Class A industrial development on approximately 300 acres in Brookshire, Texas. Empire West is uniquely situated outside of the 100 and 500-year flood plains, with 5,000 feet of rare Interstate 10 frontage. The site has a dedicated exit to Woods Road, in the heart of the explosive west Houston industrial submarket. Houston’s growing population of approximately seven million residents has expanded its industrial market into a top tier investment and distribution market. Due to the site’s size, there are multiple scenarios that can occur, including developing a portion of the site and allowing a buyer to build on the remaining land.

After acquisition, Stream began pre-development work and launched a competitive debt process for the project. Development of nine Class A buildings was completed in two phases between 2021 and 2022, and tenant demand for space was unprecedented at the property and in the broader Houston market. During our lease-up period, we opportunistically sold Building 2 to a user. As of September 2024, Empire West was 99% leased at rates approximately 30% higher than underwriting with a weighted average lease term of 50 months. At the end of 2024, we agreed to extend the largest tenant’s existing lease, totaling approximately 1 million square feet, and begin a 616,000-square-foot build-to-suit on the Building 10 pad site. Stream is exploring options to realize or recapitalize the investment given its strong performance.