Crescent awards TXU $500 million services contract

Crescent Real Estate Equities Co., Fort Worth, one of the country's largest real estate investment trusts, and TXU Energy Services, a TXU Corp. unit, have signed a 5-year, $500 million agreement under which TXU will manage energy services at about 85 Crescent-owned commercial office sites across the US.


Crescent Real Estate Equities Co., Fort Worth, one of the country's largest real estate investment trusts, and TXU Energy Services, a TXU Corp. unit, have signed a 5-year, $500 million agreement under which TXU will manage energy services at about 85 Crescent-owned commercial office sites across the US.

Under the agreement, TXU Energy Services will consolidate, audit, and pay all utility bills; provide real-time metering technology; and offer on-line access to customized utility management reports, the companies said. It also will manage supply-side services, including review of existing rate structure and negotiation and procurement of energy supply in competitive areas. It will also invest in energy efficiency and load management technologies.

TXU Energy Services will design, finance, and build energy-related projects on site-specific programs for Crescent, they reported. The companies said they will work together to implement projects that upgrade the mechanical systems in Crescent buildings with state-of-the-art equipment to increase energy efficiency.

Jane Page, senior vice-president of asset management and leasing for Crescent, said the program is custom-tailored to Crescent needs and will benefit tenants. The contract will help keep the real estate company competitive, she said.

The first phase of the contract focuses on Crescent's Class A office properties in Dallas, Houston, Austin, Denver, Colorado Springs, Albuquerque, Phoenix, Miami, San Diego, San Francisco, and Washington, DC. Future plans call for adding Crescent's hotels and resorts to the portfolio.

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