The owner of the ExxonMobil Building, a prominent skyscraper in downtown Houston, has filed for bankruptcy. Bell Business Investments, which owns the 45-story tower at 800 Bell Street, sought Chapter 11 protection after plans to convert the building into residential units fell through and its lender initiated foreclosure proceedings.
The building, spanning 1.2 million square feet and formerly serving as headquarters for Humble Oil—a predecessor to ExxonMobil—has been empty since Exxon relocated to its Spring campus in 2015. The property was acquired by an affiliate managed by Brooklyn developer Isaac Jacobowitz of Carnegie Management in early 2023 from Shorenstein Properties. Reports indicate that the purchase price was about half of what Shorenstein paid a decade earlier.
As part of the acquisition, Bell Business Investments took on a $14.5 million loan from Shorenstein. In April, this debt was sold at a discount to Nevada-based 800 Bell Holdings LLC. That entity then sued to foreclose on the property, alleging that Jacobowitz’s firm blocked access to the site, neglected maintenance duties, and failed to provide financial records.
The landlord has denied these claims and described them as “bogus non-monetary defaults.” According to court documents, they argue that the lender became aggressive soon after acquiring the note. Although overdue property taxes have now been paid, Sanford Dow—an attorney representing the lender—stated that “BBI had a sweetheart deal and couldn’t get out of their own way,” describing the bankruptcy as an attempt to delay foreclosure. Dow also noted issues with broken windows and water damage at the building.
The bankruptcy filing has temporarily paused both foreclosure efforts and related litigation while legal proceedings continue. A hearing is scheduled for November 13th. The landlord disclosed in court filings that there is a contract in place to sell the building for $35 million with closing set for Friday; however, this transaction will require court approval.
Originally planned as a major residential redevelopment intended to help revitalize downtown Houston following pandemic disruptions, 800 Bell now highlights ongoing challenges faced by office-to-residential conversion projects in U.S. cities where commercial real estate markets remain unsettled.
Constructed in 1962 and once recognized as the tallest structure west of the Mississippi River, 800 Bell was added this year to the National Register of Historic Places—a status that could support future redevelopment efforts but has not prevented its current financial difficulties.
