Basic Environmental Group
Industrial sale-leaseback of Basic Environmental Group's 31,900 SF Houston headquarters, offered at $5,316,667 at a 7.80% cap. The tenant is an established environmental services contractor with a zero-accident safety record since 2011, serving blue-chip customers including ExxonMobil, BP, Shell, and NASA. The transaction unlocks embedded equity to support the tenant's $10 million near-term project pipeline while providing investors a passive, long-term income stream.
Built in 2004 and extensively renovated in 2020, the single-story facility sits on 1.79 acres with 18-foot clear height and approximately 40.9% lot coverage, leaving room for future expansion. The tenant has invested roughly $2.4 million in improvements, including a climate-controlled warehouse addition of approximately 10,000 SF, expanded office space, on-site shower facilities, security systems, and roof coatings. The property serves as the tenant's sole Houston operating hub and licensing base for its Mold, Lead, and Asbestos Contractor credentials, making it mission-critical to the business.
The lease is a 15-plus-year absolute triple-net agreement with four 5-year renewal options and 3.00% annual rent increases, starting at $414,700 annually ($13.00 per SF). The tenant bears all operating expenses, maintenance, insurance, taxes, and structural obligations, leaving the landlord with zero responsibilities. Located on Neeshaw Drive near major highways, the property is approximately 15 minutes from Downtown Houston and benefits from proximity to George Bush Intercontinental Airport and the Port of Houston. The surrounding market encompasses 1.09 million residents within 10 miles, with average household income of $111,773. Houston's industrial sector spans 871 million SF with $2.2 billion in annual sales volume, supported by energy, manufacturing, logistics, and technology sectors.
- 15-plus-year absolute triple-net lease with zero landlord responsibilities
- Tenant's sole operating facility with $2.4 million in recent capital improvements
- Established tenant with zero-accident safety record and blue-chip customer base (ExxonMobil, BP, Shell, NASA)
- 3.00% annual rent escalations providing inflation protection
- Low 40.9% lot coverage with expansion potential on 1.79-acre site
- Mission-critical facility supporting specialized environmental contracting and equipment rental operations
More property details
Features & amenities
Location
This industrial sale-leaseback opportunity in Houston, Texas, offers investors the chance to acquire a mission-critical industrial asset occupied by Basic Environmental Group, an established general contractor specializing in field services, subcontracted specialty work, and equipment rental solutions. The company maintains long-standing relationships with blue-chip customers, including ExxonMobil, BP, Shell, NASA, CBRE, JLL, and Compass, supported by a zero-accident safety record that has fostered customer retention and access to highly regulated industrial environments.
The subject property serves as the company's sole operating facility and central hub for equipment storage, project staging, crew dispatch, emergency response, and compliant storage of specialized materials and equipment. It also functions as the licensing base for the company's mold, lead, and asbestos contractor credentials, directly supporting its regulatory compliance and ability to secure industrial and refinery projects. The tenant has invested approximately $2.4 million into the property, including extensive exterior renovations, the addition of a roughly 10,000-square-foot climate-controlled warehouse, expanded office space, emergency response facilities, upgraded security systems, and roof improvements designed to enhance functionality and reduce long-term maintenance requirements.
The sale-leaseback transaction is intended to unlock embedded real estate value, allowing Basic Environmental Group to strengthen its balance sheet, retire debt, improve vendor relationships, and provide working capital to support its growing 2026 project pipeline, which is estimated at approximately $10 million. Strategically located in Houston, one of the nation's premier industrial markets, the property benefits from proximity to major highways, Downtown Houston, George Bush Intercontinental Airport, and the Port of Houston, providing excellent access to customers, suppliers, labor, and project sites.
The property consists of a 31,900-square-foot industrial facility situated on approximately 1.79 acres, with a low site coverage ratio of approximately 40.9%, offering excess land for future expansion, outdoor storage, or additional operational capacity. The investment is further enhanced by a new 15-plus-year absolute triple-net (NNN) lease under which the tenant is responsible for all operating expenses, including maintenance, insurance, taxes, and structural obligations. Annual rental increases of 3.0% provide predictable long-term cash flow and built-in inflation protection, making this offering an attractive, low-maintenance industrial investment supported by durable market fundamentals and a mission-critical tenancy.
- ~15 minute drive to Downtown Houston;
- near George Bush Intercontinental Airport;
- Port of Houston access; major industrial market hub
Additional details
Houston-based industrial general contractor providing field services, environmental remediation, subcontracted specialty work, and equipment rental solutions to commercial, industrial, institutional, and refinery-related customers. Established as qualified prime contractor with proven ability to execute complex scopes in regulated and access-controlled environments.
Phase I Environmental Assessment completed October 2024 – No RECs (Recognized Environmental Conditions) Identified
Sale leaseback proceeds support balance sheet strengthening and near-term growth, including retiring outstanding debt, paying down vendor obligations, strengthening key supplier relationships, and funding working capital for tenant's growing 2026 project pipeline.
Confidential Offering Memorandum – Information obtained from sources believed reliable but accuracy not guaranteed. Broker has not verified information and makes no representations, guarantees, or warranties regarding accuracy, completeness, income/expenses, financial performance, property size, contamination, physical condition, regulatory compliance, or tenant financial condition. All projections are illustrative only. Buyer responsible for independent due diligence. Past tenant performance not guarantee of future performance. Broker not responsible for tenant performance or lease compliance.
One of North America's most competitive and strategically important industrial real estate markets, combining deep logistics infrastructure, energy-sector dominance, population growth, manufacturing scale, and relative affordability.
- Exterior reconstruction
- ~10,000 SF climate-controlled warehouse addition
- Expanded office space
- On-site shower facilities for emergency response personnel
- Upgraded signage and mechanical gates
- Security camera system
- Roof coatings designed to extend building life and reduce maintenance risk