Acquisition of 28-story office tower highlights CP Group’s continued expansion of the company’s value-add office portfolio

HOUSTON, TX (July 21, 2021) – CP Group, a premier owner, operator, and developer of office and mixed-use projects throughout the Southeast and Southwest United States, today announced that it had acquired Five Post Oak Park in Houston, Texas. The acquisition was completed via a joint venture with funds managed by Miami-based Rialto Capital Management, LLC (“Rialto Capital”), the third in a recent series of strategic partnerships between Rialto Capital and CP Group.

“Five Post Oak Park captures the essence of what many companies are looking for in their workspace today: high-quality offices in neighborhoods offering abundant residential and retail options,” said Angelo Bianco, Managing Partner at CP Group. “Our repositioning plans will modernize the interior finishes and design and add coveted amenities within the building including a top-tier restaurant, coffee bar, and concierge services to improve our tenants’ quality of life.”

Attractive Investment Opportunity

The 28-story office tower is situated within the Galleria/Uptown section of Houston, within one of the city’s most sought-after ‘live work’ environments. It is also adjacent to the St. Regis Hotel and a private park, offering quiet walking trails and mature shade trees, and a few blocks from the River Oaks District, a popular shopping, dining, and entertainment destination.

“We have been looking for the right time and opportunity to re-enter the Houston market. Five Post Oak Park checked all of the boxes – right location, strong tenant mix, desirable nearby amenities, quality construction, and a basis that is a substantial discount to replacement cost,” said Brett Reese, Senior Vice President at CP Group.

In addition to its private park and immediate hotel access, Five Post Oak Park offers a host of amenities, including a multi-use conferencing facility and a 3,000-square-foot fitness center. CP Group’s planned improvement program calls for the modernization of the building’s lobby – including the addition of a new coffee shop and restaurant space – along with the development of an outdoor patio connecting to its adjacent green space.

The transaction is CP Group’s first in the Houston market since 2014.

David Baker, executive vice president at Transwestern, is leading the property’s office leasing team.

CP Group Remains Active in 2021 

The transaction marks CP Group’s fifth in 2021 and its third joint venture with Rialto Capital this year. In June, CP Group and Rialto Capital announced the acquisitions of CNN Center, the iconic tower in downtown Atlanta, and One Biscayne Tower, a 38-story office property in downtown Miami. In 2018, the joint venture also acquired Boca Raton Innovation Campus, the former IBM research and development facility that has been reinvented as the preeminent hub for technology and life sciences in the region.

CP Group, formerly known as Crocker Partners, is one of the country’s premier owner-operators and developers of commercial real estate. The organization now employs nearly 200 employees and has a portfolio spanning more than 14 million square feet.