120,000 RSF Class A Office Reposition in Downtown Austin
To secure the best long-term solution working with WP Engine, the largest tenant, and keep them within the property.
This fast-growing technology company continues to hire and grow at a rapid pace, creating challenges for accommodating their real estate requirements at the building, in particular as the building is a total of 130,000 RSF.
The brokers with ECR communicate regularly with WP Engine and a recent internal study showed that their real estate requirement would likely exceed 100,000 RSF in the years ahead.
WP Engine passed on expansion opportunities in the past and was reaching a point of needing growth space within a 100% occupied building.
Unico Properties (Unico), the ownership of Lavaca Plaza, and ECR worked tirelessly to communicate regularly and proactively about expansion solutions for WP Engine.
This included proactive meetings, proposals and test-fits showing potential expansion and remodel solutions. Unico and ECR presented potential expansion solutions well in advance.
The ECR team has been a great partner for us in Austin. ECR keeps us well informed with local market activity as well as all activity within our project. Our brokers have worked hard to maintain a substantially full asset over the long-term, creating great value for our firm.
To protect the building, the leases for WP Engine were staggered at different expirations to create leverage as well as to avoid a situation whereby the building would receive back all spaces at once.
This structure along with Unico and ECR keeping regular communication with WP Engine created an environment for the groups to work together rather than seeking outside solutions.
Solutions were finalized to enter into long-term lease agreements with WP Engine with manageable expansion opportunities from the ownership’s side.