Problems getting credit have stalled or dashed hopes for many Houston developments, leaving vacant sites, ratty construction fences, and more than a few misleading “coming soon” signs touting unachievable goals. Off Westheimer just west of Mid Lane, though, we’ll have a much bigger and longer-lasting reminder of changed fortunes to look at, for a good long while: The steel frame of the first building in Trademark Property’s High Street project.
Work has stopped.
Nancy Sarnoff tries to explain:
Trademark locked in financing for its $105 million development earlier this year and started building the first of multiple mixed-use buildings planned for the 7-acre site.
The property, on the north side of Westheimer between the West Loop and Highland Village, formerly housed the Central Ford dealership.
Still, Tommy Miller of Trademark said there could be a silver lining to postponing the project. Building costs are falling as fewer projects are being developed.
“Hopefully this delay is going to result in lower construction costs overall,” Miller said.
When it’s complete, High Street will include 100,000 square feet of retail space, 80,000 square feet of office space and 233 residences, according to the developer.
Miller wouldn’t say how much space had been leased, but that the company wants to secure more tenants before restarting the project.
- High Street development on Westheimer put on hold [Houston Chronicle]
- High Street: Under Way [Swamplot]
- High on Westheimer? [Swamplot]
Photos: Swamplot inbox
That’s one big pigeon loft.
There are problems with Boulevard Place as well. I think project will be halted there soon as well.
I think that in hindsight, Trademark will appear to be the smart one in the bunch by taking the hit to stop construction now, rather than opening into a bleak market. They have to be out quite a bit of $$$ to stop at this point (not to mention carry costs), but most of these mixed use projects are facing similar issues at the moment.
I don’t buy his reasoning about cheaper construction costs down the road. Granted we are currently in a deflationary environment, but with the FED printing money like mad, inflation awaits. My experience with these kinds of situations is that prices NEVER seem to go down, as many of the subs will want to rebid to cover their previous screw-ups in bidding.
I’ve heard the same thing about Wulfe’s Boulevard Place project (having issues with tenants that can’t get financing). Midway continues to sing sunny days about their Town & Country redevelopment but it will be interesting to see if they can close their pre-lease commitments as the space comes online next year.
I drove by this Christmas Eve and saw workers there. I remember thinking that those guys must be glad to still have their construction jobs. Sad to see all these construction workers out of work.