Solugen is moving its HQ into Phoenix Tower. Photo courtesy of Parkway

Houston-based Solugen has announced an HQ move. But don't worry. This unicorn chemicals company is just moving down the street.

Parkway Property Investments LLC announced today that Solugen is relocating its Houston corporate headquarters to Greenway Plaza. The biotech company, recently ranked as one of the most innovative businesses in the world, signed a multi-year lease in Phoenix Tower. The building is one of 11 Class A buildings on the 52-acre mixed-use campus.

The space's buildout is expected to be completed in the second quarter, according to a news release, with Solugen moving in after that.

The venture-backed biotech startup, which produces high-performance chemicals through the use of bio-based feedstock and metal catalyst technologies, signed a multi-year lease in Phoenix Tower. The property is one of eleven Class A buildings on the landmark, 52-acre mixed-use campus, which is strategically located between Downtown and Uptown. Buildout of the space is expected to be completed in the second quarter.

“Innovative companies like Solugen are choosing to outsource the design-build process for office interiors to Parkway," says Eric Siegrist, Parkway’s managing director of leasing, in the release. "With several floors of ‘Ready Right Away’ suites fully-deployed, we happily take on this process to reduce the time and energy expended by an incoming tenant, resulting in expedited occupancy.”

Solugen was represented by Nick Terry, managing partner of Rifle Real Estate. Parkway’s senior director of leasing, JP Hutcheson, negotiated on behalf of Parkway.

Founded in 2016, Solugen’s process converts corn syrup into industrial chemicals, cutting down on carbon emissions generated by traditional production of chemicals. Carbon dioxide from chemical production is one of the biggest contributors to industrial greenhouse gas emissions. In September, the company raised a $357 million series C funding round and claimed its unicorn status.

Solugen joins several tech companies already housed in Greenway Plaza, including FlightAware, ThoughtTrace, Detechtion Technologies, and Buildforce.

Phoenix Tower has 627,320 square feet of space across 34 floors. Photo courtesy of Parkway


Houston-based FlightAware, a software company that tracks flights, is growing. Cameron Casey/Pexels

Houston flight-tracking software company grows its local and international presence

taking flight

FlightAware LLC's business success has, for the most part, flown under the radar in Houston.

Many travelers know about the B2C flight-tracking functionality of FlightAware. "That's a very, very competitive space. We play in that space, but it's not our core business," founder and CEO Daniel Baker says.

These days, the privately held Houston company earns most its revenue from the B2B data it provides to airlines and other aviation clients, according to Baker. He declines to reveal revenue figures, but notes that the company — which bills itself as the world's largest flight-tracking and flight data platform — hasn't taken a penny of outside funding since it started in 2005.

Today, FlightAware employs about 110 people, with the majority of them located in Houston, Baker says. The company also maintains offices in Austin, New York City, London, and Singapore.

By the end of 2020, the companywide workforce should exceed 135, as FlightAware aims to add three new hires per month this year in areas such as Internet of Things, data science, sales, and administration, Baker says. Most of the new employees will work in Houston.

Baker says FlightAware takes an aggressive approach to hiring, with the goal of bringing aboard "really awesome people" who share levels of talent, collaboration, and "culture fit" similar to those of current employees.

By the end of 2021, FlightAware likely will run out of room in its 24,000-square-foot office at 11 Greenway Plaza in the Greenway/Upper Kirby area, Baker says. That means FlightAware will need to take about 15,000 additional square feet at 11 Greenway Plaza or relocate to a different building, he says. The company moved into its current home in 2017 from a 14,000-square-foot office at 8 Greenway Plaza.

Baker, who's a private pilot and a board member of the Smithsonian Institution's National Air and Space Museum, launched the company 15 years ago as a way to combine two passions: software development and aviation.

"It was originally a hobby, and it became a business," Baker says. "It's an unlikely story. We're really, really fortunate that the timing was right."

Although FlightAware started off tracking flights in the general aviation space, it has since expanded to supply aviation data to both travelers and businesses. Each month, about 15 million passengers use the FlightAware app, which earns praise from a slew of travel critics.

Among flight-tracking apps, FlightAware "is a bit of a Swiss army knife," Condé Nast Traveler magazine observes. The FlightAware app lets you follow flights in real time, including where an incoming plane is coming from, how close it is to arriving, and what kind of weather it's encountering en route, the magazine notes. In addition, the app can send push notifications about arrivals, departures, gate changes, flight delays, and flight cancellations.

Now, FlightAware relies on the consumer-facing technology "as a stepping stone to have a bigger impact," Baker says. "Every project that we undertake is larger than the last one."

That "bigger impact" involves cranking out data that enables commercial airlines, cargo carriers, business aviation companies, and air traffic controllers to be proactive instead of reactive regarding flight activity, he says.

FlightAware's corporate customers include United Airlines, Hawaiian Airlines, business-jet operator NetJets and GPS technology provider Garmin. Baker says a North American airline that he declines to name will soon roll out FlightAware technology to its airport gate agents.

For airlines, FlightAware's software delivers data to cut down, among other issues, on problems with flight delays, gate assignments, and flight connections, Baker says. FlightAware pulls data from its network of more than 25,000 receivers on all seven continents.

While the consumer-oriented features of FlightAware's technology face competition from the likes of FlightStats, FlightView, and The Flight Tracker, the B2B landscape is less populated. Over the years, corporate giants like Airbus, Boeing, and IBM have tackled aviation data on their own but have wound up forging data partnerships with FlightAware, according to Baker.

"We see every potential competitor as a future customer," Baker says.

The Waffle Bus' brick-and-mortar location is NextSeed Space's first tenant. Courtesy of NextSeed

Houston-based online fundraising platform launches new turnkey retail space opportunity

what's next for NextSeed

Houston-based NextSeed makes it easier for retail and restaurant startups to get funding, and the company is releasing a new line of services to help these startups on the next step after funding: Finding retail space.

NextSeed Space now exists to help consumer-facing companies have access to move-in-ready spaces with short-term leases. The idea is to give the concept a low-risk place to debut their business, generate customers, and work out the kinks of their business model before locking in a permanent location.

"One of the biggest hurdles for a small business is the build-out process," Abe Chu, CMO of NextSeed says in the release. "A talented chef or designer might be very skilled at their craft, but many other factors are critical to opening a storefront including the capital raise, lease negotiation, design, permitting, construction and marketing. Finding ways to assist the entrepreneur in reducing complexity and controlling risks at this juncture is critical."

NextSeed has partnered with Greenway Plaza, where it offices, to bring turnkey retail space in The Hub, a new, recently renovated space in the office park.

The first NextSeed Space tenant is Houston's The Waffle Bus, which just raised $107,000 on the NextSeed fundraising platform. While the company has a popular brand and fleet of trucks, retail space has changed in Houston, and leasing companies are looking for safe tenants, the release says, meaning it's become more difficult for new tenants to find an ideal space.

"We see what's happening in the marketplace as our window to minimize obstacles for everyone's gain," Chu says in the release. "You've got creative small businesses that lack experience and funds, banks and investors that rely on longer leases for capital, and landlords who are not always equipped to handle the additional time and resources necessary to curate and nurture a revolving mix of pop-up tenants."

NextSeed's fundraising platform launched around four years ago and, since then, has helped almost 50 companies raise money totaling more than $10 million. NextSeed co-founder and CEO, Youngro Lee, spoke to InnovationMap last fall about how the company has grown and is always looking to expand.

"The goal was for NextSeed to keep innovating and bring in new technologies and processes," Lee says.

Greenway Plaza, which has recently renovated to introduce new spaces like The Hub, has a few more tech companies calling the office park home. Courtesy of Parkway Property Investments

3 tech companies ink deals in Greenway Plaza

Moving in

Three technology companies have executed new leases in Greenway Plaza. The leases represent over 20,000 square feet of space.

One of the companies has already moved in to the 52-acre Greenway Plaza, which is managed by Parkway Property Investments, LLC., while the others have move-in dates throughout the year.

"With renovations at Greenway 8 and 12 now complete, we're seeing broad-based interest from a variety of sectors drawn to an engaging, multi-faceted environment centered around convenience and collaboration with easy ingress and egress, a pedestrian-oriented layout, plus extensive and growing campus amenities such as the upcoming 80,000-square-foot Life Time Athletic club," says Parkway's COO, Mike Fransen, in a release.

Houston-based ThoughtTrace, Inc. is expected to move into its 4,358-square-foot space in Phoenix Tower the first quarter of 2019. The software-as-a-service startup uses artificial intelligence to make data entry and other tasks more efficient for oil and gas companies. The office will be the company's headquarters, and has regional sales offices in Dallas/Fort Worth, Denver, Oklahoma City, and Pennsylvania. Allie Hubbard, Brandi McDonald, and Christina Ott with Limestone Commercial brokered the deal on behalf of ThoughtTrace, while Rima Soroka and JP Hutcheson represented Parkway.

DMC, Inc., based in Chicago, is moving its Houston office from the Upper Kirby area to Greenway Plaza. The cross-industry software and engineering services company plans to set up 6,403-square-foot space in 8 Greenway Plaza in the third quarter of this year. DMC was represented by William Padon of CBRE and Parkway by Rima Soroka and JP Hutcheson.

Industrial Internet of Things platform, Detechtion Technologies, relocated its headquarters last month to a 12,000-square-foot space at 8 Greenway Plaza. Amanda Nebel and Eric Siegrist represented Parkway in the deal, while Detechtion Technologies was represented by Joshua Brown and Evan Roland of Newmark Knight Frank.

In addition to the three new tenants, the office park saw a few lease renewals from tech tenants including 30,000 square feet of new leases for NextSeed, Joule Processing, SkillGigs, and Marker Therapeutics, as well as an 8,000-square-foot renewal by a commercial operations enterprise software provider, according to the release.

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New UH survey reveals concerns over AI data center growth in Houston

data findings

A new report out of the University of Houston shows that area residents remain wary of the long-term effects of operating data centers.

The recent survey from the University of Houston’s latest SPACE City Panel, conducted by the Center for Public Policy at the Hobby School of Public Affairs, shows that while 85 percent of Houston-area residents use AI, nearly 63 percent oppose the construction of AI data centers within 1 mile of their homes.

Respondents’ concerns centered around data centers’ high energy demand and the area’s power grid reliability. According to the survey, 32 percent of residents who oppose local data center projects would be more likely to support the centers if they relied on renewable energy over fossil fuels.

“Respondents understand that AI can bring economic and educational benefits, but they are also concerned about the physical infrastructure needed to fuel AI, especially data centers,” Soran Mohtadi, post-doctoral fellow at the Hobby School and a researcher on the report, said in a news release. “This physical infrastructure demands more electricity and water, leading to environmental impacts.”

Experts estimate that 6.5 gigawatts of data center capacity will be added to the Texas grid by 2030. And Houston’s data center capacity is predicted to more than double by 2028.

The Electric Reliability Council of Texas also projects electricity demand could reach 218 gigawatts by 2031, which would be more than double the record peak set in August 2023. Data centers are expected to account for 86 gigawatts of that new demand.

Survey respondents also said they are concerned about the state's future water supply, given the large amounts of water that data centers need to stay cool.

In terms of who’s responsible for that issue, 57.6 percent of respondents said they put the onus on Texas lawmakers, while 31.5 percent say tech companies should be responsible.

Additionally, more than 75 percent of respondents believed that data center developers and technology companies—not residents—should bear the cost of infrastructure upgrades to support data centers.

“Every decision legislators make has implications on residents’ everyday lives and local infrastructure now and in the future,” Maria P. Perez Arguelles, lead researcher on the report and research assistant professor at the Hobby School, added in the news release. “This issue is going to become more important in years to come, so this is just the beginning.”

Read the full report here.

Houston-born Cemvita makes breakthrough in sustainable fuel production

clean fuels

Houston-based biotech company Cemvita announced that it recently reached a critical milestone in the development of its FermOil product, which can be used to create Sustainable Aviation Fuel (SAF) and other renewable fuels at industrial scale.

The company shared in a news release that it completed a 75,000-liter industrial fermentation run at Belgium's Bio Base Europe Pilot Plant.

The campaign achieved target technical metrics for the production of FermOil, Cemvita’s renewable natural oil (RNO). FermOil is produced from industrial crude glycerin, an industrial byproduct, as opposed to traditional sugar-based feedstocks used in many bio-oil fermentation processes. It's designed to be a drop-in feedstock for creating SAFs.

Cemvita had previously advanced its FermOil production process through multiple scale-up stages before successfully reaching the 75,000-liter demonstration campaign, according to the company.

“This is not just a fermentation milestone,” Moji Karimi, CEO at Cemvita, said in the release. “It is a blueprint for how existing industrial infrastructure can evolve into circular bioeconomy infrastructure. Every biodiesel plant generating crude glycerin is a potential platform for renewable natural oil production.”

The milestone also supports the deployment of Cemvita’s industrial biomanufacturing platform, FermWorks, which integrates with existing energy and industrial infrastructure to turn waste carbon streams into SAFs and other materials. According to the release, Cemvita plans to move forward with commercial deployment discussions with partners in Brazil, Europe and in the UK. Cemvita already has a partnership with the Brazilian sustainable research institution REMA.

“We are proud to support innovative companies like Cemvita in scaling breakthrough industrial biotechnology solutions,” Hendrik Waegeman, head of business operations at Bio Base Europe Pilot Plant, added in the release. “Successfully operating at the 75,000-liter scale using a feedstock such as crude glycerin highlights both the maturity of the technology and the quality of the scale-up execution achieved by the Cemvita team.”

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

Eli Lilly scoops up Houston biotech startup in $300 million deal

big pharma deal

Pharmaceutical giant Eli Lilly has acquired Houston biotech startup CrossBridge Bio, which develops antibody-drug conjugates for cancer, in a deal worth up to $300 million. The deal was celebrated by TMC Venture Fund and the University of Texas Health Science Center at Houston last week.

CrossBridge, founded in 2023, is developing ADCs based on research by Kyoji Tsuchikama and Zhiqiang An, both of UT Health Houston. Tsuchikama is an associate professor of medicinal chemistry and a globally recognized ADC pioneer, and An is a professor of molecular science and vice president of drug discovery.

Antibody-drug conjugates (ADCs) are a potent combination of targeted therapy and chemotherapy that kills cancer cells while saving healthy tissue.

Clinical trials for CrossBridge’s primary ADC candidate, CBB-120, are expected to start this year, pending approval from the U.S. Food and Drug Administration (FDA).

“I’m proud of how well our team has executed and advanced our platform in such a short time since the company’s founding,” Michael Torres, co-founder and CEO of CrossBridge, said in a news release. “By becoming a part of Lilly, a leader in patient-focused therapeutic development, we are well-positioned to further accelerate the clinical potential of this approach.”

Under the Lilly deal, CrossBridge shareholders were expected to receive an upfront payment along with a follow-up payment based on the achievement of certain milestones.

In 2024, CrossBridge closed a $10 million seed round. Among the investors in CrossBridge are the Texas Medical Center Venture Fund, CE-Ventures, Alexandria Venture Investments, Portal Innovations, Linden Lake Labs, and the Cancer Prevention and Research Institute of Texas (CPRIT). It was formed in TMC Innovation’s Accelerator for Cancer Therapeutics program."Built within the TMC ecosystem, CrossBridge Bio grew with the support, funding, and resources that helped shape its trajectory. TMC led the company's early financing and watched it evolve from its earliest days to its acquisition by Eli Lilly," William McKeon, president and CEO of the Texas Medical Center, shared in a LinkedIn post. "[This is a] strong reminder that breakthrough science and the right early backing can change what’s possible."