(HOUSTON) – Hines, the international real estate firm, and its joint venture partners Kohlberg Kravis Roberts & Company, LP (“KKR”) and Pinto Real Estate Development, Inc. (“PRDI”), announced today that they have commenced construction on a 600,000-square-foot build-to-suit for Emser Tile, Inc. within Pinto Business Park. Emser Tile is the largest, privately-held designer and marketer of tile and natural stone in the United States.
The project consists of a 600,000-square-foot cross-dock distribution facility, which will serve as the company’s primary distribution operation for the south central United States. The building’s market leading specifications, including 36-foot clear height, 500-foot building depth and 52-by-55 feet column spacing, will allow Emser to achieve greater efficiencies and economies of scale in their operations, in addition to facilitating the company’s rapid growth. The development is scheduled for completion in the second quarter of 2018 and construction is underway.
“We are honored that Emser Tile has selected Pinto Business Park as its home for this mission-critical facility that will serve roughly 35 percent of the United States. This is an excellent addition to our park’s market-leading tenant roster, and is also Hines’ fifth build-to-suit in Houston in the past four years,” said Charlie Meyer, managing director at Hines.
“Emser Tile is growing rapidly, and we are excited to increase our capacity by opening a new distribution center in Houston - a core component to our operational success,” shared Barbara Haaksma, vice president of marketing for Emser Tile. “Emser Tile is known for unparalleled service, and this new facility will help us continue to provide our expansive tile and stone offerings to our growing customer base efficiently.”
Emser Tile was represented by Jarret and Jeff Venghaus at JLL. Hines was represented by Beau Kaleel of Cushman & Wakefield, and has awarded construction to ArchCon Construction. Construction financing is being provided by Comerica Bank.
“Houston’s strong population growth has created increasing demand for consumer durables and building supplies,” said Jeff Venghaus. “As a leading provider of tile and natural stone, Emser’s business has followed the growth of Houston. Their new location at Pinto Business Park will provide them with a high-quality, well-located distribution center to support their regional satellite operations, grow their business and continue to provide best-in-class products and service to their clients.”
Since Hines, KKR and PRDI initiated activity within Pinto Business Park, the park has become home to over 4,000,000 square feet of industrial and logistics users. The park’s success with brokers, tenants and user/owners has brought the constructed square footage within Pinto Business Park to 800,000 square feet per year over the last four years.
About Emser Tile: Emser Tile is the largest privately held designer and marketer of tile and natural stone products in the United States. Our principal offering includes an extensive line of ceramic, porcelain, natural stone and decorative products to service the design and product needs of our customers. Our products are distributed nationally through a company-owned network of local sales and service locations. The company's products are used extensively in new home construction, remodel applications as well as commercial projects including multi-family housing, hospitality, shopping centers, office buildings and educational facilities. For more information, please visit www.emser.com and follow us on Facebook, Twitter, Instagram and Pinterest @EmserTile.
About KRR: KKR is a leading global investment firm that manages investments across multiple asset classes including private equity, energy, infrastructure, real estate, credit and hedge funds. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world‐class people, and driving growth and value creation at the asset level. KKR invests its own capital alongside its partners' capital and brings opportunities to others through its capital markets business. References to KKR's investments may include the activities of its sponsored funds. For additional information about KKR & Co. L.P. (NYSE:KKR), please visit KKR's website at www.kkr.com and on Twitter @KKR_Co.
Pinto Real Estate Development: Pinto Real Estate Development, Inc. a wholly owned subsidiary of Cockrell Interests LLC serves as a diversified real estate investment and development platform that focuses on strategic real estate investment. Its current portfolio includes large urban in-fill land development, a 450-acre deepwater marine and storage terminal for crude and refined products, and numerous other strategic land holdings and cash flow assets. In addition to strategic one-off deals, Pinto Real Estate Development, Inc. seeks exposure to markets it believes are attractive by identifying and forming relationships with talented managers.
About Hines: Hines is a privately owned global real estate investment firm founded in 1957 with a presence in 201 cities in 21 countries. Hines has approximately $100 billion of assets under management, including $54.5 billion for which Hines provides fiduciary investment management services, and $45.5 billion for which Hines provides third-party property-level services. The firm has 113 developments currently underway around the world. Historically, Hines has developed, redeveloped or acquired 1,262 properties, totaling over 414 million square feet. The firm’s current property and asset management portfolio includes 529 properties, representing over 213 million square feet. With extensive experience in investments across the risk spectrum and all property types, and a pioneering commitment to sustainability, Hines is one of the largest and most-respected real estate organizations in the world. Visit www.hines.com for more information.
About JLL: JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. A Fortune 500 company, JLL helps real estate owners, occupiers and investors achieve their business ambitions. In 2016, JLL had revenue of $6.8 billion and fee revenue of $5.8 billion and, on behalf of clients, managed 4.4 billion square feet, or 409 million square meters, and completed sales acquisitions and finance transactions of approximately $145 billion. At the end of the second quarter of 2017, JLL had nearly 300 corporate offices, operations in over 80 countries and a global workforce of nearly 80,000. As of June 30, 2017, LaSalle Investment Management had $57.6 billion of real estate under asset management. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.