Friday, June 6, 2008

Redstone points Compass in new directionReal estate owner to tear down Compass Bank building on Post Oak in favor of redevelopment

Redstone Cos. is preparing to raze the Compass Bank building on Post Oak and replace it with a new development -- a move that real estate watchers have been speculating about for years.
The multitenant office building at 2200 Post Oak near Westheimer sits on approximately four acres of prime land near the Galleria. The site is owned by an affiliate of Houston-based Redstone, a well-funded firm that owns the Houstonian Hotel, Club & Spa and specializes in private equity, hospitality and real estate.
Redstone has been signing only short-term leases in anticipation of a redevelopment project. Tenants in the 123,000-square-foot building were notified two weeks ago that their leases would be terminated, effective Dec. 1. The seven-story building, which was constructed in 1967, has been home to some of the businesses for many years.
"Our current plans include the demolition of the existing office building," states the termination letter which was signed by Steven Lerner, executive vice president of Redstone. for more information see: www.houstonrealtyadvisors.com or www.houstonrealtyadvisors.net