Report: Houston to see highest concentration of medical office project completions this year

opening soon

One of Houston's biggest medical office projects — the $1.3 billion, 400,000-square-foot O’Quinn Medical Tower — is expected to deliver this year. Photo courtesy of Baylor College of Medicine

Medical office and life sciences projects are making a big splash in Houston’s commercial real estate sector in 2023.

The 42Floors commercial real estate website ranks five Houston-area medical office buildings among the country’s 20 largest medical office projects set to open this year. Meanwhile, 42Floors identifies two Houston developments among the 20 biggest U.S. life sciences projects on tap to debut in 2023.

Leading the list of the largest U.S. medical office buildings scheduled to be completed this year is the $1.3 billion, 400,000-square-foot O’Quinn Medical Tower. Set to open April 14 at the McNair Campus of Baylor St. Luke’s Medical Center, the outpatient facility will adjoin the McNair Hospital Tower, which opened in 2019.

The O’Quinn tower will serve as the new clinical home of the Dan L Duncan Comprehensive Cancer Center. The center is a federally designated facility for cancer care and research.

Highlights of the 12-story O’Quinn tower, southeast of the Texas Medical Center, include:

  • Ambulatory surgery center with 12 operating rooms and 10 endoscopy suites
  • 80-bay setup for infusion therapy
  • More than 70 exam rooms
  • More than 850 parking spaces

In all, five medical office properties in the Houston area made the 42Floors list, representing the highest concentration of major projects in any U.S. metro area that are scheduled to open this year. The four medical office properties joining the O’Quinn tower on the list are:

  • Houston Methodist Sugar Land Medical Office Building 4, 159,252 square feet
  • Kelsey-Seybold Springwoods Village Campus, 157,983 square feet
  • Kelsey-Seybold Ambulatory Surgery Center in Clear Lake, 116,000 square feet
  • 1715 Project in Friendswood, 107,000 square feet

A separate 42Floors list ranks Dynamic One, part of Baylor College of Medicine’s TMC Helix Park, as the second largest life sciences project in the U.S. set to come online this year. Houston’s TMC3 Collaborative Building lands at No. 19.

The 12-story Dynamic One project will feature lab space, offices, restaurants, and stores. It represents the first of four buildings planned for the 37-acre, five-million-square-foot TMC Helix Park, which is projected to generate an economic impact of $5.4 billion.

The 42Floors list puts the square footage of Dynamic One’s north tower at 365,000. Organizations involved in the project cite the square footage as 355,000.

The Baylor College of Medicine has signed up as Dynamic One’s anchor tenant. It will occupy 114,000 square feet of lab and office space.

“Baylor College of Medicine is a major force in life sciences discovery and commercialization at TMC. Their move to TMC Helix Park will serve as a catalyst for enhanced collaboration with TMC’s other esteemed Institutions, as well as with industry leaders from around the world,” Bill McKeon, president and CEO of TMC, says in a news release.

Also located at TMC Helix Park, the four-story TMC3 Collaborative Building will span 250,000 square feet. It will contain research facilities for MD Anderson Cancer Center, the Texas A&M University Health Science Center, the University of Texas Health Science Center at Houston, and TMC.

In addition, the TMC3 Collaborative Building will house life sciences companies, the TMC Data Collaborative, the TMC Venture Fund, the Braidwell hedge fund, and venture capital and private equity firms.

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Axiom Space officially redomiciles its headquarters in Texas

space city

Axiom Space has claimed Houston as its operational home since 2016. And now it can call Texas its official legal headquarters, too.

The spacetech company, which is developing the first commercial space station, Axiom Station, has officially redomiciled its legal headquarters from Delaware to Texas, Axiom announced this week.

Axiom employs approximately 700 people, the majority of whom are in Texas, according to a news release. Its Assembly Integration and Test Facility was built as an anchor of the Houston Spaceport, and the company is also developing next-generation spacesuits at its Houston-based spacesuit lab.

“Texas has demonstrated, consistently and deliberately, that it wants innovative companies to thrive here and has built the policy and regulatory framework accordingly,” Jonathan Cirtain, CEO and president of Axiom Space, said in the release. “For Axiom Space, establishing Texas as both our operational and legal home puts us squarely in a state that understands our mission, supports our industry, and shares in what we are working to achieve.”

Axiom touts Texas's "financial and infrastructural commitments" to the space economy as reasons for the move, including programs and grants from organizations such as the Texas Space Exploration & Aeronautics Research Fund (SEARF), the Texas Space Commission, and the Texas A&M Space Institute.

Axiom was previously awarded a $5.5 million SEARF grant for the development of its orbital data center capabilities last year.

The news comes as energy giant ExxonMobil also announced concrete plans to redomicile its legal headquarters in Texas. Exxon's board of directors unanimously recommended redomiciling in the Lone Star State in March. The company announced this week that the move would become official July 1. The company's operational headquarters is based in Spring, Texas, a Houston-area suburb.

Houston cleantech, space startups named to World Economic Forum cohort

top honor

Two Houston-based startups have been selected to join the World Economic Forum's Technology Pioneers community.

The two-year program aims to help mission-driven, early-stage start-ups scale their innovations through multi-stakeholder initiatives, co-creating partnerships and other gatherings for community members. One-hundred startups are selected each year from around the globe, this year hailing from 23 countries and working in AI, energy, space, biotech markets and more.

Cleantech startup Vaulted Deep was one of 11 energy and climate companies to be named to the cohort. Julia Reichelstein and Omar Abou-Sayed founded the company in 2023. Its technology injects excess organic waste underground to remove carbon dioxide from the atmosphere.

Last year, Vaulted Deep inked a 12-year deal with Microsoft to remove up to 4.9 million metric tons of carbon dioxide from the environment.

The startup has earned several accolades in recent years, including a No. 3 spot on Fast Company’s list of the World’s Most Innovative Companies of 2026. It was also recently named to market intelligence and advisory firm Cleantech Group's annual Global Cleantech 100 list for a second year in a row.

"Waste management is one of the world's great invisible infrastructure systems ... The need for new infrastructure is growing as disposal challenges become more complex and regulations evolve. Vaulted is building the first new disposal pathway for organic waste in decades by putting it deep underground, permanently," the company shared in a LinkedIn post. "This year, we're joining the World Economic Forum's 2026 Tech Pioneers alongside innovators working on the many interconnected challenges shaping our future."

Houston-based Venus Aerospace was also selected to join the cohort, along with six other spacetech companies. The company was founded in 2020 by Sassie and Andrew Duggleby.

The startup specializes in next-generation rocket engine propulsion as a cleaner alternative to traditional combustion engines. The company's rotating detonation rocket engine (RDRE) burns fuel more efficiently and completed a successful high-thrust test flight last year. Venus says it’s the only company in the world that makes a flight-proven, high-thrust RDRE with a “clear path to scaled production.”

"Frontier technologies matter most when they expand what people, industries, and nations can do," Sassie Duggleby, co-founder and CEO of Venus, said in a news release. "For Venus, RDRE does not just represent a more efficient engine. It is a foundation for faster movement, more capable space systems, and new forms of connectivity across the planet. Being named a Technology Pioneer validates the potential of this technology to help shape a future where distance is less limiting."

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This article originally appeared on our sister site, EnergyCapitalHTX.com.

Houston Methodist receives record $110M gift, names future tower

historic gift

Houston Methodist has received the largest gift in the health system's history to establish new funds for neurological, neuroscience, and women’s health research and treatment.

The $110 million gift comes from Houston-based The Brockman Medical Research Foundation, which supports education and research in the science, medicine and healthcare fields. In response, Houston Methodist announced that it will name its forthcoming 26-story hospital facility the Brockman Centennial Tower.

The tower’s entrance will be named the Anna Margaret Bellows Centennial Hall to honor Anna Margaret Bellows, a young camper who died during the Camp Mystic flooding last summer.

“This extraordinary gift accelerates discovery and transforms how care is delivered,” Dr. Marc Boom, president and CEO of Houston Methodist, said in a news release. “We are grateful to The Brockman Medical Research Foundation for its incredible generosity and vision that will help change the lives of generations of patients. Naming Centennial Tower in recognition of this gift reflects the scale of this commitment and its impact on the future of neuroscience, neurological care and women’s health.”

The gift will be divided into two parts:

  • $100 million will go toward creating an innovation fund within the Houston Methodist Academic Institute and the Houston Methodist Neurological Institute
  • $10 million will be devoted to Houston Methodist's Department of Obstetrics and Gynecology

“This tremendous gift will accelerate translational research that broadens our understanding of neurological and other diseases,” Dr. Jenny Chang, president and CEO of the Houston Methodist Academic Institute, added in the release. “It will allow us to leverage state-of-the-art platforms to detect, diagnose and deliver therapeutics, keeping patient care at the center of our mission.”

The Brockman Centennial Tower is expected to open next year in the Texas Medical Center. Spanning more than 1 million square feet, it will house 400 patient beds, an expanded emergency department, new operating rooms and a rooftop garden. It will be connected to Houston Methodist's flagship Paula and Joseph C. “Rusty” Walter III Tower, which opened in 2018. The Centennial Tower was estimated to cost $1.4 billion when announced in 2022.

In addition to the news of the Brockman gift, Houston Methodist also announced this month that it has launched the Houston Methodist Center for Cell and Gene Therapy and tapped an internationally recognized scientist as its leader.

The new center is focused on discovering and developing innovative and cost-effective therapies for a variety of congenital and acquired diseases, including cancer, HIV and cardiovascular disease.

Dr. Malcolm Brenner has been named as the center's inaugural leader and will assume the role starting in October. He will work alongside scientists and support staff from Baylor College of Medicine and Texas Children's Hospital.

Brenner is a professor of pediatrics, medicine, molecular and human genetics and translational biology at Baylor College of Medicine. He is known for making early advances in using bone marrow transplantation as a form of cell therapy and in engineered immune-cell treatments for cancer and infections, according to a release from Houston Methodist.

“Malcolm Brenner is a pioneer in the field of cell and gene therapy and is uniquely qualified to lead Houston Methodist’s research efforts in this field,” Chang added. “His vision and leadership will play a pivotal role in advancing our work in this space.”

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