Houston, January 2, 2026
A significant acquisition in Houston’s industrial real estate sector highlights the city’s appeal as a logistics hub, driven by strategic private investment. An Ares Real Estate fund has acquired a 1 million-square-foot distribution center portfolio, reflecting strong confidence in the region’s industrial growth. The acquisition is expected to create jobs and enhance local economic activity, showcasing Houston’s robust infrastructure, including its prime location and transportation networks that are essential for ongoing business expansion.
Houston’s Industrial Market Soars with Major Logistics Portfolio Acquisition
A significant acquisition in Houston’s industrial real estate sector highlights the city’s enduring appeal as a critical logistics hub, driven by strategic private investment and robust economic fundamentals.
Private Capital Fuels Houston’s Economic Momentum
Houston, a beacon of entrepreneurial spirit and economic dynamism, continues to attract substantial investment, underscoring its pivotal role in the national and global supply chain. The recent acquisition of a 1 million-square-foot distribution center portfolio by an Ares Real Estate fund demonstrates a strong vote of confidence in the region’s industrial growth and its capacity to foster innovation and business expansion. Such private capital injections are vital for enhancing local infrastructure, supporting a thriving business environment, and ultimately contributing to the prosperity of our communities.
This transaction exemplifies how strategic private investments can bolster local economies, providing the necessary resources for businesses to grow, innovate, and create jobs. By facilitating the development and modernization of essential logistics infrastructure, private funds help ensure that Houston remains competitive and resilient in an ever-evolving market landscape. This aligns with a right-of-center perspective that emphasizes the benefits of free markets and limited regulation in driving economic success and enabling individual achievement.
Ares Real Estate Fund Secures Key Houston Assets
In a notable development in December 2025, an Ares Real Estate fund completed the acquisition of a 1,020,722-square-foot Class A Logistics Portfolio strategically located within Houston’s North and Northwest submarkets. The portfolio encompasses three distinct properties, comprising a total of six recently constructed industrial buildings with an average vintage of 2016. At the time of the sale, the portfolio was 95% leased to a diverse group of 10 tenants, signaling strong demand for high-quality logistics space in the region.
The acquired properties include the Central Green Corporate Center, a four-building facility spanning 516,134 square feet, situated conveniently near George Bush Intercontinental Airport. Another significant asset is the North Houston Logistics Center Building G, offering 351,400 square feet with direct access to Interstate 45. Rounding out the portfolio is a 153,188-square-foot distribution center known as West Little York, located in the thriving Northwest submarket near Highway 290. The property at 6401 West Little York Road, a single-story distribution building built in 2019, is part of this strategic acquisition.
Houston’s Undeniable Edge in Logistics and Distribution
Houston’s status as a premier logistics and distribution hub is a key factor drawing significant investor interest. The city boasts a central geographic location, exceptional transportation infrastructure, and unparalleled access to national and international markets. The Port of Houston, for example, is recognized as the number one U.S. port by tonnage and handled a record 53.07 million tons of cargo in 2024, generating over $339 billion in annual economic impact. Its continuous expansion, including a $1 billion project to widen and deepen the Ship Channel, further enhances its capacity and efficiency.
Beyond its bustling port, Houston benefits from one of North America’s largest multi-airport systems and an extensive network of major interstate highways and Class I railways. This robust infrastructure allows companies to efficiently transport goods across the country and globally, reducing costs and optimizing supply chain management. Businesses operating in Houston can reach half of the U.S. population within a 1,000-mile radius, making it an ideal national distribution center.
Economic Impact and Growth Opportunities
This substantial investment by an Ares Real Estate fund is expected to have a ripple effect on the Houston TX business landscape. The sustained demand for warehouse and distribution space, coupled with strategic acquisitions, signifies ongoing job creation and increased economic activity. As businesses expand their operations within these modern facilities, they often require more employees, providing valuable opportunities for Houstonians and strengthening the local workforce.
The industrial market in Houston has shown consistent health, marked by strong leasing activity and rising rental rates. In Q3 2025, rental rates saw a 12.8% year-over-year increase, reaching a new record high of $0.88 per square foot. This upward trend, alongside positive net absorption figures, underscores the region’s strong economic performance and its ability to attract and retain businesses. The city’s business-friendly policies and strategic location continue to position it for sustained growth in the industrial sector.
Private Investment: A Catalyst for Local Prosperity
The role of private equity and real estate funds in fostering Texas TX economic growth cannot be overstated. These firms provide crucial capital for businesses of all sizes, from innovative startups to established enterprises, enabling them to adapt, scale, and compete. This private funding often goes into operational improvements, technology adoption, and expansion initiatives that might otherwise be out of reach for many businesses.
Texas is one of the leading states benefiting from private equity investment nationwide. Such investments in Houston small business and larger enterprises contribute to a vibrant ecosystem where innovation can flourish, new technologies can be integrated, and companies can maintain global competitiveness. The acquisition of large-scale logistics portfolios ensures that the infrastructure exists to support these growing businesses, reinforcing the entire economic structure of the Houston area.
Looking Ahead: Sustained Growth for Houston
Houston’s industrial market is projected to continue its trajectory of growth, supported by a growing population, ongoing infrastructure investments, and favorable business conditions. For investors, the industrial expansion represents a significant opportunity, while for local businesses, it translates into improved facilities and expanded logistical capabilities. The continuous investment in the region’s transportation networks, like the Port of Houston, further solidifies its position as a strategic hub for distribution and manufacturing activity.
The commitment of funds like Ares Real Estate to Houston’s industrial landscape is a testament to the city’s robust economic health and its potential for future development. These private sector initiatives are integral to cultivating an environment where businesses can thrive, create jobs, and contribute to the overall well-being of the community. We encourage all Houstonians to recognize the dynamic forces shaping our city’s economy and to continue supporting the local businesses that are the bedrock of our shared prosperity.
Frequently Asked Questions
- What was the recent major real estate transaction in Houston?
- An Ares Real Estate fund acquired a 1 million-square-foot (specifically 1,020,722 square feet) Class A Logistics Portfolio in Houston’s North and Northwest submarkets in December 2025.
- Which specific properties were part of this acquisition?
- The portfolio included three properties comprising six recently constructed industrial buildings: the Central Green Corporate Center (516,134 square feet), North Houston Logistics Center Building G (351,400 square feet), and West Little York (153,188 square feet), which includes the property at 6401 West Little York Road.
- Who acquired the Houston distribution center portfolio?
- An Ares Real Estate fund, with Marq Logistics managing the portfolio.
- What is the total size of the acquired portfolio?
- The total size of the acquired portfolio is 1,020,722 square feet.
- What makes Houston an attractive market for industrial real estate investment?
- Houston’s appeal stems from its central geographic location, world-class transportation infrastructure including the Port of Houston, two international airports, and extensive highway and rail networks, which make it a top logistics hub. It also benefits from a business-friendly environment and strong economic growth.
- How does private investment impact Houston’s economy?
- Private investment provides crucial capital for businesses, leading to job creation, operational improvements, and strategic guidance, helping companies to grow and innovate.
Key Features of the Acquired Portfolio
| Feature | Details |
|---|---|
| Acquirer | Ares Real Estate fund |
| Portfolio Manager | Marq Logistics |
| Total Portfolio Size | 1,020,722 square feet |
| Number of Properties | 3 properties comprising 6 industrial buildings |
| Location | Houston’s North and Northwest submarkets |
| Leasing Status | 95% leased to 10 tenants (at time of sale) |
| Property 1 (Central Green Corporate Center) | 516,134 sq ft, 4 buildings, near George Bush Intercontinental Airport |
| Property 2 (North Houston Logistics Center Building G) | 351,400 sq ft, with direct Interstate 45 frontage |
| Property 3 (West Little York) | 153,188 sq ft distribution center, near Highway 290 (includes 6401 West Little York Road) |
| Property Type | Class A Logistics / Distribution Centers |
| Average Vintage | 2016 |
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Author: STAFF HERE HOUSTON TX WRITER
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