TEAM, Inc. Expands and Extends Existing Lease at Stockdale Capital’s Sugar Creek Complex

Stockdale Capital Partners, a vertically-integrated real estate investment firm based in Los Angeles, today confirmed that TEAM, Inc., (NYSE: TISI) an industrial services company headquartered at Stockdale’s Sugar Creek I & II office complex in the Houston suburb of Sugar Land, has extended and expanded its existing lease.

Currently occupying 34,500 square feet, TEAM, Inc. will, under the terms of the new lease, take an additional 26,500 s.f. and extend its lease out to 2028.

It’s nice to have the ability to blend and extend leases like this with good, solid tenants because it really is a win-win for landlord and tenant, said Steven Yari, Managing Principal of Stockdale Capital Partners, which purchased Sugar Creek in April 2014. Sugar Creek is a stand out location and we’re delighted that TEAM, Inc. is not only re-committing to the building but is in growth mode, he added.

The lease brings total occupancy at Sugar Creek, a 409,000 s.f. Class A office complex, to approximately 95 percent.

Vacancy in the broader market has been rising. Overall vacancy in suburban Houston Class A buildings rose again in the third quarter and is now close to 20 percent. Much of the almost 3 million square feet of space under construction is set to be delivered in suburban markets over the
next two years. However, the Sugar Land submarket has held up well due to limited delivery of new space and an overall 92 percent occupancy.

Craig McKenna and Ryan Bishop of Stream Realty represented the landlord in the lease negotiations.
Chad Baker and Matt Sanderson of JLL represented TEAM, Inc.