shine on

Global real estate manager to tap into solar energy to power Houston portfolio

Brookfield Properties announced plans to power its Houston properties with solar energy by 2026. Photo via brookfieldproperties.com

Commercial real estate manager Brookfield Properties, a major office landlord in Houston, is plugging into solar energy to power its local portfolio.

The New York City-based company plans to rely on a new-build solar power plant to supply all of the electricity for its 10.3 million-square-foot, 10-building office portfolio in the Houston area. Brookfield’s key properties here include:

  • The 3.1 million-square-foot Allen Center complex
  • The more than 1.1 million-square-foot Heritage Plaza
  • The 1.1 million-square-foot 1600 Smith Street tower
  • The nearly 850,000-square foot TotalEnergies Tower

Laura Montross, vice president of communications for Brookfield Properties, tells Realty News Report that the solar power plant will be operating by 2026.

Each year, the company’s Houston portfolio uses about 90,000 megawatt-hours of electricity, “which is unlikely to take up the total capacity of a new solar power plant,” she says, “so the excess capacity will be available to other buyers or the utility grid operator for purchase.”

Montross says Brookfield is in talks with several developers of solar power plants about the Houston project, but neither a site nor a contractor has been chosen yet.

Brookfield announced June 28 that its entire U.S. office portfolio will run on zero-emissions electricity by 2026. The switch is expected to reduce carbon emissions within the more than 70-million-square-foot portfolio by about 80 percent.

“Instead of taking incremental steps or waiting for others to act, we are completely transforming how we power office buildings throughout the United States,” Ben Brown, managing partner of Brookfield Real Estate, says in a news release.

Brookfield Properties says electricity for the nationwide office portfolio will come from four sources: hydropower (49 percent), solar and wind power (33 percent), and nuclear power (18 percent). Outside Houston, the company maintains a large office presence in the New York City, Los Angeles, Denver, and Washington, D.C. markets.

“Not only will [this strategy] significantly advance our goal of transitioning our entire portfolio to net zero carbon,” Brown says, “but also we are confident that both the increased demand for zero-emissions electricity it will create and the industry precedence it will set will be a game-changer for how state-of-the-art office buildings are powered throughout the country.”

Trending News

A View From HETI

Hertha Metals has broken ground on its new iron and steel “innovation complex." Photos courtesy Hertha Metals

Shortly after announcing a $133.65 Series A funding round, Conroe-based Hertha Metals broke ground Oct. 8 on a $100 million factory that will produce steel-grade and magnet-grade high-purity iron.

Hertha’s Chalyx plant, located in Conroe, will manufacture a total of about 10,000 metric tons per year of magnet-grade and steel-grade high-purity iron. The factory will use Hertha’s single-step process to generate high-purity iron for rare-earth-magnet and steel manufacturers in the U.S.

Hertha says Chalyx will be the first U.S. commercial plant for production of magnet-grade high-purity iron.

Chalyx is being built next to Hertha’s headquarters and its Pi100 pilot plant, which will remain in operation. Chalyx and Pi100 will form the first modern-day iron and steel “innovation complex” in the U.S., the company says.

“I founded Hertha Metals because I believed we could significantly improve how the world makes iron and steel from ore, and that an industry so fundamental to our future still had enormous room for invention,” Laureen Meroueh, founder and CEO of Hertha, said in a press release.

The 4-year-old startup says the Chalyx complex will lay the foundation for its first 500,000-ton-per-year steel mill.

Chalyx’s first priority is making high-purity iron for U.S. manufacturers of rare-earth magnets, Hertha says. These magnets are critical components for electric vehicles, data centers, wind turbines and defense systems.

China produces an estimated 94 percent of high-purity iron for rare-earth magnets, according to Hertha.

Aside from iron for rare-earth magnets, Chalyx will make iron and steel for pilot projects in the steel industry.

The plant is expected to come online in late 2027, with production of magnet-grade high-purity iron starting in early 2028.

Today, Hertha employs 32 people, the company says. Once it’s fully operating, the Chalyx plant will employ about 50 people.

Just ahead of the groundbreaking, Hertha announced the $133.65 million Series A round, co-led by Khosla Ventures and Doerr Capital. The round included a $65 million equity investment from the Pentagon.

“Iron and steel have shaped human progress for thousands of years. And I believe there is still an enormous amount left to invent,” Meroueh said at the groundbreaking ceremony.

Trending News