The Legal 500

As the economic downturn continues to hit various sectors of a Texas market that had been strong in the previous two or three years, the emphasis is on adaptability and the capacity to keep practices, some of which number up to 50 lawyers, engaged on deals from investor, developer and public sources.

That there are very few firms in the table not headquartered in Texas reflects the degree to which major clients look for the best local firms — ones with a detailed knowledge of the lie of the land in the state — rather than firms seeking to implant a practice from outside.

The challenge for local firms is maintaining a profile in each of the several large cities in Texas. Out-of-state firms naturally struggle to match such a presence given that several Texan firms have more than four offices in the state. In a market as dependent on out-of-state capital as local investment, long-established relationships between leading Texan law firms and corporate and institutional investors, are another serious barrier for firms looking to break into the market.

The land-use element of the real estate practice area is taken into consideration in this table, with firms which have the resources to meet the more complex land use requirements of a mandate highly sought after.

Baker Botts, L.L.P.

PRACTICE: Baker Botts, L.L.P. maintains a healthy selection of legacy clients. In 2008, the group represented Hines in the development, financing and leasing of Main Place, a 46-story office tower in Houston. ‘Very sophisticated’ and ‘comfortable with projects of any scale’, the group has acted on a swathe of deals for this client and repeatedly made use of its capability to handle a development process from financing to leasing. In another instance, the team represented Hines in the formation of Hines India Fund, an investment vehicle to finance developments in India, a market that few US developers have been able to crack. Advising on this deal, markedly different from the majority of real estate instructions, the practice shows its flexibility and familiarity with advising on strategies for local and international development.

‘It is the real estate firm of choice’, say clients, highlighting the impact the group’s seven partners have on the market from their bases in Dallas and Houston. The practice is accordingly involved in many of the high-visibility projects there; recently the team was instructed by Crescent in connection with the development and financing of a luxury hotel and condominium complex in Dallas.

CLIENTS: Clients include Sarofim Realty Advisors, Hawkeye Partners, Valencia Capital Management, Aureus Group, Cypress Real Estate and Billingsley.

INDIVIDUALS: ‘Intelligent and able to manage all the various aspects of an engagement’, Marley Lott is based in Houston and chairs the firm-wide practice. She is ‘a very competent strategist’ and ‘among a select handful of lawyers that can be trusted with any deal of any size’, say clients.

Houston partner Fred Dunlop is praised for his ‘great feel for the law and how our projects are going to have to be structured’ and ‘complete commitment to a task — we get no half measures with Fred’.

Meanwhile, in Dallas partner Patricia Stanton has a reputation for ‘a very personal and very thorough service’ and for providing ‘counsel of the highest quality on complex assignments’.

Haynes and Boone, L.L.P.

PRACTICE: The size of the Haynes and Boone, L.L.P. real estate group is, at 29 attorneys, an obvious draw. But it is the reputation for effectiveness on high-value deals that has been the main encouragement for a continuing flow of instructions on cutting edge deals.

‘Probably the only real estate practice in Texas that is visible on every kind of deal’, the team has the resources and the presence to be competitive at the top of the market, with experienced partners in Fort Worth, Houston, Richardson, Austin and in its headquarters in Dallas.

In 2008, the practice represented the administrative agent on the restructuring of a $1.1bn bank loan to national homebuilder, a case which highlights its ability to engage with the biggest restructuring deals. The team’s ‘strong profile on the finance side’, is maintained through a healthy mix of finance, restructuring and real estate talent.

The practice has continued to have success in the hospitality sector. In 2008, the group represented the lender in the financing of 16 luxury hotels located in seven states. It also has a prominent batch of REIT clients, including Regency Centers, for whom the group acted in 2008 on site acquisition, development and leasing of mixed-use shopping centers.

CLIENTS: Clients include Archon, RREEF, Hillwood, Crescent, Siemens, Radioshack and MSJ Partners.

INDIVIDUALS: ‘Extremely well-respected’ Richardson partner Ann Saegert, who stepped down from her role as practice chair at the end of 2007, is still ‘very active and someone you’re always pleased to have the opportunity to work with’.

‘Great negotiator’ Steven Jenkins is a Dallas-based partner who ‘has really convinced over the years’ and is described as ‘one of the foremost dealmakers’.

Also in Dallas, Robert Wilson is another partner recognized for ‘experience in the Texas market that goes way, way back’.

Andrews Kurth LLP

PRACTICE: Andrews Kurth LLP’s real estate traditionally acts for lenders on some of the biggest deals in the national and local market. Currently numbering just over 50 attorneys, the group divides the bulk of its resources between its Houston and Dallas offices, with only a minor presence in its Austin office. The team has a legacy of involvement on large-scale local projects, especially in Houston and Dallas, such as West Village and One Main Place.

In 2009, the practice advised Realm Holdings on the $142m sale of a housing privatization project at Lackland Air Force Base in San Antonio. The breadth of the group’s influence has allowed it to pick up work in and beyond its strongholds in Dallas and Houston, even in the context of a difficult market.

‘Probably best known for being a go-to firm for the likes of JPMorgan and Wells Fargo’, the practice’s lender-side representations continue to earn it a reputation as ‘the premier firm for lending work’. The former of these clients has instructed the group on state-wide leasing mandates, syndicated loans, financing and CMBS work over the past five years.

Whether the drought in credit will continue to stifle activity as it has in late 2008 and early 2009 remains to be seen. The practice is known for being ‘far ahead of some of the local competition in advising international banks on financing local projects’ and though its developer side should not be underestimated, its response to the fall in that aspect of the market will be crucial.

CLIENTS: Clients include Archon, Citigroup, CW Capital, L J Melody, Lincoln Property, Royal Bank of Canada, Invesco, ING Clarion, Fortune Brands and GE Capital.

INDIVIDUALS: Houston managing partner Thomas Perich is ‘a big name for Andrews Kurth LLP ’ and has a reputation for having ‘worked on a lot of impressive deals in his time’.

Bracewell & Giuliani LLP

PRACTICE: ‘Superb local knowledge’ is at the heart of the Bracewell & Giuliani LLP real estate practice, which has a notable presence in Dallas, Houston and San Antonio.

In 2008, the group acted for City Of Houston in connection with the $120m acquisition and development of a MLS soccer stadium in the city. When put together with other deals over the same period, such as acting for Discovery Green Conservancy and a public-private venture to develop a 13-acre, $125m park in the Houston business district, the group’s sustained presence in the market is clear. Such public mandates have been a key source of work and the group has repeatedly shown its capacity to win them providing ‘complete coverage of the technical and practical issues’.

Developers also make up an important part of the group’s workload. Through 2007-08 the group acted for Midway companies in relation to a 36-acre, mixed-use development in Houston, including handling leasing and construction loans.

On the other side, this ‘creative and responsive’ group has grown in stature representing fund clients, work it has been able to hold on to in a turbulent market. The team represented the UCAL fund in connection with the acquisition and renovation of $600m in student housing complexes around the country. The mix of national work of this scale, and local work, as well as the ability to tailor deals to function in adverse market conditions, have both been key to the practice’s rising profile.

CLIENTS: Clients include BP, Colvill, Crescent, Midway, Wachovia, Thomas Properties, Societe Generale and Knight.

INDIVIDUALS: Houston partner Clark Thompson is ‘very, very talented and intuitive’ and possesses ‘a good deal of business acumen and industry savvy’.

‘A benefit to anything he works on’, partner Aaron Roffwarg also practices out of Houston and is described as ‘punctual, responsive and considerate of various stakeholders’.

Fulbright & Jaworski LLP

PRACTICE: Fulbright & Jaworski LLP’s nine-partner real estate practice continues to takes advantage of the firm’s outstanding presence in the Texas market and has pushed for a greater market share, despite difficult economic conditions.

Partners in Houston, Dallas, San Antonio and Austin have given the group a strong position in local markets, and developed a reputation for being ‘very visible on some of the big deals in the area’.

In 2008-09, the group instructed by Villa Muse in the greenfield development on a production studio complex and the establishment of surrounding commercial facilities. The work entails upwards of $1.5bn in investment and a plethora of governmental issues, alongside the construction and financing of the project. The ability of the practice to pick up such multifaceted mandates in a competitive market is testament to the ‘deep level of quality and persistence that runs through every member of the team’.

Another of the team’s strengths is in applying itself to projects that require expertise beyond the standard processes of a commercial development. In 2008, the team acted on a large deal for Energy Future Holdings for the decommission and demolition of a power plant and the pursuant sale of the land. ‘Quick to apply the right action and bold enough to see it through’, this work demonstrates the practice’s capabilities beyond many of its competitors, to act for developers and corporate clients on niche areas of complex real estate work.

CLIENTS: Clients include Amegy, Centerline Servicing, Community Health Systems, Toyota, JPMorgan Chase, NuStar Energy, Thomas Properties, Aldi, BlackRock and Target.

INDIVIDUALS: Houston partner William Sing is ‘brimming with ideas and creative ways of handling things to turn them to the clients’ advantage’.

In the Austin office, Robert Converse is a partner with a reputation for being ‘great at marshalling resources’ and ‘remarkably adept at seeing a legal problem from a commercial perspective’.

James Summers is a partner based in San Antonio, known for his ‘excellent unfaltering counsel’ and described as being ‘sharp and knowledgeable’.

Meanwhile in Dallas, Mark Wiebel is ‘a long-time favorite’ partner who ‘knows Texas very well and knows what clients need’.

Thompson & Knight LLP

PRACTICE: Thompson & Knight LLP has a real estate practice in Texas that is both broad enough to act on an unrivalled variety of transactions and focused enough to advise clients on areas of real estate law that require genuine local knowledge. Very few are able to match the resources that this ‘outstanding group of experts’ wields; 26 partners divided between Dallas and Houston offices allow the team to dedicate itself to niche areas of law.

One such niche is land use and in 2008, the practice represented the City of Austin in structuring the largest (at the time) redevelopment initiative in downtown Austin. The project covers a $700m mixed-use complex where a water treatment plant and energy control center currently stand.

‘Very well organized and dedicated to providing a sophisticated service’, the practice holds a significant market share of transactions, with a particular emphasis in the past year on representing investors. The return of partner Mark Sloan in 2008 from Locke Lord Bissell & Liddell LLP has been a definite bonus for the team as it continues to win more prominent mandates for large banks and fund clients.

The group advised Royal Bank of Canada and 22 other lenders in closing a $575m secured credit facility for MarkWest Energy, as well as acting for ING Clarion on a cross-border real estate acquisition of land and an industrial warehouse for $16m.

CLIENTS: Clients include Amegy Bank, Finger Companies, Washington Mutual, Granite Properties, and Atlantic Financial.

INDIVIDUALS: Alfred Meyerson chairs the real estate and banking practice group from its Houston office and is known as ‘brilliant in everything he does’ and ‘an exceptional attorney’.

‘Skilled and wonderful at sorting out technical problems’, Andrew Ingrum is a ‘one-of-a-kind’ partner working out of Dallas. Ingrum has spearheaded much of the practice’s most prominent land use work.

Also out of Dallas, partner Mark Sloan wins praise for giving ‘maximum effort and total delivery on every occasion’, and is described as ‘one of the best real estate attorneys available’.

Vinson & Elkins L.L.P.

PRACTICE: Vinson & Elkins L.L.P.’s 20-partner real estate group consistently acts on some of the most high-value deals in the market for some of the region’s biggest investors and has built a reputation for being ‘lawyers at the top of the game’.

Work with KKR and TPG as real estate counsel on the multifaceted $45bn acquisition of TXU and the formation of Energy Future Holdings is a clear highlight of the past two years, underscoring the group’s ‘understanding of which strategies are most effective across a range of transactions’.

Engagements with REITs have continued to be the practice’s most obvious area of achievement, though the downturn in the market has made that corner of the market less active than it once was. Still, the group has continued to act on deals, such as advising a REIT in 2008 in acquiring a $250m multi-state industrial portfolio.

Also in 2008, the team represented Deloitte in connection with developing a $300m campus conference and learning center in Dallas. The group has a strong selection of financial institution and developer clients and its capacity to act on a panoply of transactions for them has won it a reputation as ‘an excellent option for handling both the financing and on-the-ground real estate work’.

CLIENTS: Clients of the practice include Weingarten Realty, Trammell Crow, Crescent Real Estate, Wachovia and JPMorgan.

INDIVIDUALS: Dallas partner Michael Boulden is identified as a ‘great advisor to have when you need a straight answer’ and as having ‘proven expertise and a sophisticated approach’.

Also out of Dallas, Randy Jurgensmeyer is a partner who ‘always gets the right result’ and ‘has really impressed with the scale of the challenges he’s met’.

Sanford Wiener works out of Houston and is a partner with ‘unbeatable experience’, ‘precision’ and ‘a measured and thoughtful approach which is very reassuring’.

Winstead

PRACTICE: ‘A genuinely superb practice’, Winstead’s real estate practice has been able to make use of its size, standing at 36 partners and over 70 attorneys overall, to retain a range of representations.

With expertise in acting for both lender and developer clients out of its Dallas, Houston and Austin offices, the team has the resources to provide targeted advice that many of its closest competitors do not offer. The land use and zoning aspects of the practice, for instance, continue to have dedicated attorneys in Dallas and Austin, something only a handful of rivals can match.

The group also has a focus on the condominium market and is able to provide dedicated counsel for its clients, another area that benefits from the zoning expertise of the practice. ‘Known for really deep knowledge of condos and their work there’, one example of this is the Victory development in Dallas, a mixed-use residential, hotel, office and retail center, for which the firm provided development and funding counsel. Developer-oriented work continues to be a strength of the group, which recently acted on the development of ten Texas sites for assisted care facilities.

CLIENTS: Clients of the practice include Weingarten Realty, Carter & Burgess, Century, Hillwood and Crow Holdings.

INDIVIDUALS: Practice co-chair T Andrew Dow operates out of the Dallas office and is ‘a fine representative of a leading practice’.

‘Incomparably experienced, probably more deliberately focused now on a few areas, but still really highly thought of’, partner Melvin Dow is based in Houston.

Dallas partner Kirk Williams also receives recognition for his valuable land-use and zoning practice.

Akin Gump Strauss Hauer & Feld LLP

PRACTICE: Although Akin Gump Strauss Hauer & Feld LLP has its origins in Dallas and has traditionally had a strong showing on local real estate matters, market sources highlight the tendency for many of the national deals the firm engages on to be represented out the New York offices.

The Texas group comprises three Dallas partners and two in San Antonio, making it smaller than many of its close rivals. However, the practice continues to see returns from the focus of these partners on a few core areas of strength, three of which continue to be hospitality, student housing and leasing.

‘Several good lawyers and a decent standing in Texas’ have ensured the team has maintained the profile to match its legacy of involvement on deals that have led those individual sectors, such as advising a partnership on its acquisition of a REIT with several local hospitality assets.

In 2008, the real estate group represented mezzanine and mortgage lenders in the workout and implementation of a conveyance of interests in residential developments, and the struggling markets have put an increased emphasis on the development of this area of the practice. In 2009, the firm established a distressed real estate asset services practice which, while headed out of offices outside of the state, has allowed the Texas group to extend its capabilities.

CLIENTS: Clients include Wyndham International, Apollo, Capstar, Diamond Rock, Brandywine and Blackstone.

INDIVIDUALS: Dallas-based Carl Lee is ‘an exemplary partner’ and ‘well-known for his hospitality work, which is probably the firm’s greatest asset in the real estate arena’.

Randall Ratner is also recognized for his outstanding leasing work.

Gardere Wynne Sewell

PRACTICE: The nine partners that make up the Gardere Wynne Sewell real estate practice retain the broad coverage that has kept them competitive in the market, despite cuts at the firm. The attorneys are split between Dallas and Houston and market sources note that ‘they are still one of the most respected names among the Dallas competition’.

Hospitality has been a valuable area of expertise for the firm, where it has extended its record of picking up work with national companies such as Hilton, as well as acting on the development of cultural institutions and sports complexes.

In addition, the group has continued to represent many large Texas companies who fall on the corporate side of transactions, taking advantage of the firm’s strong ties to big local business to generate spin-off work.

CLIENTS: Clients include Lincoln Property, Ashford Hospitality, American Ventures, Lone Star, Western International, Koll Development and BBVA Compass Bank.

INDIVIDUALS: Practice head Kevin Kelley is ‘a great leader for the practice’ and has an ‘excellent’ practice out of the Dallas office.

Also based in Dallas, partner W Robert Dyer is ‘generally recognized as one of the strongest real estate lawyers, particularly in Dallas’.

Jones Day

PRACTICE: The Texas offices are one the strongest facets of the Jones Day national real estate practice. With Michelle Brown having been made partner in 2008, there are now four partners in the Dallas headquarters. They are known to be ‘very in tune with the market and the commercial conditions that affect the business’, and workflow in 2008-09 reflects this.

The team advised Crescent on the sale of multiple office, research and retail facilities totalling more than $250m, underlining its ‘first-rate technique and practical approach’ in a number of different settings. Closer to home, the team acted for International Hospital Corp in the sale/leaseback of a hospital located in Monterrey.

The scope of the Dallas partners to act on the larger deals on both national and international basis is apparent in several cases from 2008-09. The ‘excellent’ practice advised DivcoWest on the formation of a $1.5bn venture to invest in distressed commercial real estate loans — a mandate notable for the scale of investment involved, but also indicative that the group has maintained its ability to win such roles in a difficult market.

CLIENTS: Clients of the practice include Morgan Stanley, Natixis, Townsend Group, Resolution III and Trigate.

INDIVIDUALS: David Lowery co-chairs the global real estate group and is ‘reliable and capable of delivering results even in a small timeframe’. Partner Mark Minton also wins praise for his expertise ‘often being one of the main differences between success and failure on a project’.

Both attorneys are based in Dallas.