Engineering behemoth Fluor is cementing its presence in Houston's Energy Corridor with not just a move, but a significant upgrade to its new office digs. The company, which has called Sugar Land home for four decades, recently finalized a lease for 104,677 square feet at the Two Eldridge office building, and that's just part of the 412,853 square feet they're gobbling up in the area, according to the Houston Chronicle.
Signed in late December, the expansion is a clear indicator of Fluor's confidence in its future growth, with a company spokesperson asserting, "Fluor’s projected growth, both locally and globally, has continued to increase as a result of significant new project awards," a statement obtained by the Houston Chronicle reads. Adding to the 308,186 square feet it leases at the nearby Three Eldridge building, Fluor seems to be creating quite the real estate footprint.
Meanwhile, over at the Three Eldridge, a hefty renovation project is underway. The Irving-based firm is embarking on a $27 million interior reconstruction of eight floors in the complex, as reported by The Real Deal. This follows a significant investment by the building's owner Granite Properties, which poured $10 million into the aging property in 2019. HOK, a local architecture firm, is handling the design process, which is anticipated to wrap up by next spring.
Ahead of the move, the company's headcount in Houston swelled by 450 to 1,600 last year, and they're looking to add another 350 employees in the area, a decision no doubt spurred by their relocation from the less modern Sugar Land space to the energy hub where it will be surrounded by industry clients and a rich talent pool. This strategic shift is part of the larger trend in the Energy Corridor, which has hosted 26% of all Houston office lease deals greater than 10,000 square feet this past year, executive managing director Scott Martin of Granite Properties told the Houston Chronicle.
In every industry shift, however, there are winners and losers. While Fluor's lease is a boon to the Energy Corridor, Sugar Land is feeling the pinch of major office exits. The southwest Houston 'burb has been scrambling to keep its corporate citizens, recently rolling out incentives to keep them in town. But for Fluor, it's onwards and upwards as they leverage their new strategic position to cement their growing influence in the region.
