Houston is testing whether demand for premium offices can support new development despite overall vacancy of about 19%. Modern buildings are much more tightly leased, showing that abundant space in older properties does not necessarily meet tenants’ needs. The city is marketing 611 Walker St. and 1200 Travis St. for redevelopment. The Walker site could accommodate roughly 1 million square feet of office space, but neither site is a committed tower project yet. A proposed 32-story tower at 4701 Westheimer Road would deliver more than 520,000 square feet, though no construction timeline has been disclosed. Another speculative office tower is already underway near River Oaks and Highland Village. Limited new supply: about 1.5 million square feet is under construction, a record low, with more than 85% already preleased. Market improvement is expected to remain gradual and uneven through 2027.

HealthSpan Partners, an affiliate of Bon Secours Mercy Health, has agreed to acquire Surgery Partners in a deal valued at $5.7 billion, including debt. More than 200 locations across 30 states and approximately 5,000 affiliated physicians, spanning ambulatory surgery centers, surgical hospitals and physician practices. Expected to close in the first quarter of 2027, subject to shareholder and regulatory approvals.

AI is only as good as the data feeding it. CRE data lives in old PDF leases, disconnected spreadsheets and databases that don’t match. Messy inputs produce unreliable outputs, which keeps AI out of the decisions that matter.