Burns & McDonnell, a 100% employee-owned engineering, architecture and construction firm, has extended and expanded a lease at 1700 West Loop South in Houston, Texas.
According to Lingerfelt CommonWealth Partners, a commercial real estate investment firm, the transaction grows the company's square footage from 158,000 to 218,000 and increases the floors occupied from eight to 11, enabling the company to hire 300 employees by 2021. Lingerfelt CommonWealth acquired this building on June 30, 2017 and was represented by JLL in this transaction.
Burns & McDonnell plans to increase its footprint in 1700 West Loop South over the next two years and will occupy approximately 85% of the building once buildout construction is complete in late 2021, according to Lingerfelt CommonWealth, which plans to relocate and modernize the building's fitness center as part of the transaction.
"With our expansion, we'll continue to look for top-notch talent to deliver world-class solutions and expand our broad one-stop shop capabilities in environmental, engineering, procurement and construction (EPC) delivery," said Leslie Duke, President & General Manager for Burns & McDonnell in Houston.
"We're proud to live and work in Houston, delivering multidisciplinary environmental, engineering, architecture and construction solutions to our clients," Duke said. "From modernizing oil and gas plants to developing energy solutions powering our communities to leading environmental permitting, our growth can be attributed to our clients and employees. As an employee-owned firm, we have a stake in the company and have a vested interest in the success of our clients."
"Since acquiring the building approximately two years ago, it has been a pleasure working with Burns & McDonnell. They are a valued tenant and we are thrilled to grow our relationship with them long term," said Jay Kraft, Senior Vice President of Lingerfelt CommonWealth. "We look forward to watching their business expand and will work closely with them to meet their future growth needs. This significant deal only adds to our confidence in the Houston market and we're looking forward pursing additional acquisition opportunities."
Since 2012, Burns & McDonnell has doubled its annual revenue and employee headcount, Lingerfelt CommonWealth Partners reported. Ongoing buildout of midstream processing, transportation and storage infrastructure as well as growth in chemicals and petrochemicals are currently key factors driving the firm's growth.
In addition, the team is growing as a result of expansions in other industries, such as the revitalization and enhancement of power generation in renewables, transmission, distribution and communication networks across the U.S. and the need to optimize the use and management of water in both industrial and municipal systems. As a multi disciplined firm, Burns & McDonnell is also experiencing growth from its environmental and construction services.