Posted: February 10, 2017 by Eli Randel, Director of Business Development
TEN HINES DEVELOPMENTS WE LOVE (OR WILL LOVE)
Gerald Hines, the famed developer and investor, developed some of the nation’s most iconic buildings, set new industry standards for building quality, and would ultimately build what’s been affectionately called a “complex empire” in reference to the complexity of his developments and his net worth of an estimated $1.3B.
Born in Gary Indiana and eventually receiving a degree from Purdue University in Mechanical Engineering, Hines would begin his real estate career in Houston around 1957 as a side business to his engineering career. He mostly built warehouses and small office buildings until he received a big break in 1967 when Shell Oil Company hired him to build their headquarters in Downtown Houston.
Like most developers in the late 60s Hines began by borrowing money to develop and then keeping profits once his development was sold. It was considered foolish at the time to use your own capital to build. Hines would buck that trend and risk his entire net worth of $5MM to build the Houston Galleria Mall. Eventually Hines would use a development model similar to what we see today by raising outside equity while retaining about 10-20% and earning fees and a promoted interest for successful deals.
In later years Hines would focus on and excel at building “high-class” developments which offered strong profit margins, insulation from a struggling economy, and would allow him to focus on iconic design around the world. Known for their architectural complexity and innovation, a Hines developed building is usually unlike most others in their market. Today Hines (the company) is run by Gerald’s son Jeff who continues the legacy of bold developments, innovative design, and a unique relationship with their tenants.
TEN AMAZING HINES DEVELOPMENTS