Q2 2022 DFW Industrial Market Report

Q2 2022 INDUSTRIAL MARKET REPORT DALLAS/ FORT WORTH

P ro p er t y : S to neri d g e 2 0

w w w.h o l t l u n s fo rd .co m

TABLE OF CONTENTS

05

DFW Industrial Submarket Coverage

07

DFW Industrial Market Experts

08

DFW Trends & Transactions

09

DFW Industrial Facts & Figures

10

Submarket Intelligence

DALLAS 5950 Berkshire Lane, Suite 900 Dallas, Texas 75225 T 972.241.8300 | F 972.241.7955

FORT WORTH 1200 Summit Avenue, Suite 300 Fort Worth, Texas 76102 T 817.710.1110 | F 817.810.9017

www.holtlunsford.com

04 Q2 2022 DFW INDUSTRIAL MARKET REPORT

Q2 2022 DFW INDUSTRIAL MARKET REPORT 05

DFW INDUSTRIAL

Submarket Coverage

DECATUR

DENTON McKINNEY PONDER

PRINCETON

NORTHWEST DALLAS 7,194,737 SF

FARMERSVILLE FRISCO GREENVILLE

ALLEN JUSTIN

THE COLONY

BOYD

LEWISVILLE

PLANO

FLOWER MOUND

FAR NORTHEAST DALLAS 6,951,357 SF WYLIE

ROANOKE

HASLET

CARROLLTON

ROYSE CITY

SPRINGTOWN GRAPEVINE

KELLER

NORTH FORT WORTH 4,558,020 SF

ADDISON

COPPELL

RICHARDSON

SOUTHLAKE FARMERS BRANCH

GARLAND

DFW AIRPORT 2,257,984 SF

DFW INTERNATIONAL AIRPORT

ROCKWALL ROWLETT

LAS COLINAS

COLLEYVILLE SAGINAW

DALLAS LOVE FIELD AIRPORT

BEDFORD EULESS FORT WORTH MEACHAM INTERNATIONAL AIPRORT

RICHLAND HILLS

HURST IRVING

SOUTH STEMMONS 3,498,698 SF WHITE SETTLEMENT

SUNNYVALE

DALLAS

MESQUITE

FORT WORTH

NORTHEAST/EAST DALLAS 5,429,248 SF FORNEY

GRAND PRAIRIE

TERRELL

ARLINGTON

GREAT SW/ARLINGTON 3,448,035 SF

ALEDO

DALLAS EXECUTIVE AIRPORT

BENBROOK DUNCANVILLE

HUTCHINS

CRANDALL

CEDAR HILL

CRESSON

SOUTH FORT WORTH 5,855,746 SF

DESOTO

SOUTH DALLAS 6,309,166 SF

KAUFMAN

LANCASTER

MANSFIELD

BURELSON

RED OAK

MIDLOTHIAN

WAXAHACHIE

CLEBURNE ENNIS

Q2 2022 DFW INDUSTRIAL MARKET REPORT 07

DFW INDUSTRIAL

Market Experts

MATT CARTHEY

CANON SHOULTS

JOHN GORMAN

JOSH BARNES

ANDREW GILBERT

Partner, Managing Principal Fort Worth mcarthey@holtlunsford.com 817.710.1111

Managing Principal Dallas cshoults@holtlunsford.com 972.280.8328

Senior Vice President Dallas jgorman@holtlunsford.com 214.920.9800

Senior Vice President Dallas jbarnes@holtlunsford.com 972.280.8353

Market Director Dallas agilbert@holtlunsford.com 972.280.8312

GEORGE JENNINGS

THOMAS GRAFTON

MADDY CANTY

KEATON BRICE

BLAKE TROIANI

Market Director Fort Worth gjennings@holtlunsford.com 817.632.6151

Market Director Fort Worth tgrafton@holtlunsford.com 817.632.6152

Market Associate Dallas mcanty@holtlunsford.com 972.280.8325

Market Associate Dallas kbrice@holtlunsford.com 972.421.1956

Market Associate Dallas btroiani@holtlunsford.com 972.265.0126

WILLIAM WILSON

MITCH CANTWELL

WALKER FLOYD

TREY GOODSPEED

WESTON PORTER

Market Associate Fort Worth wwilson@holtlunsford.com 817.284.5555

Market Analyst Dallas mcantwell@holtlunsford.com 972.265.0133

Market Analyst Dallas wfloyd@holtlunsford.com 972.265.0141

Market Analyst Fort Worth tgoodspeed@holtlunsford.com 817.632.6155

Market Analyst Dallas wporter@holtlunsford.com 972.741.6441

08 Q2 2022 DFW INDUSTRIAL MARKET REPORT

HLC OUTLOOK Coming off a record-setting year in 2021, the Dallas-Fort Worth industrial market ended Q2 2022 with continued momentum and its 47th quarter of positive net absorption. As we look forward to the remainder of 2022, we expect the overall industrial market to continue strong as many of the large 3PL and e-commerce tenants are hiring and expanding in the DFW market. Additionally, supply chain shortages are driving companies to reevaluate their inventory management practices and fine tune their safety stock needs. We expect DFW to outperform other parts of the country as it continues to be the biggest benefactor of large-scale relocation efforts and population growth.

MARKET OBSERVATIONS The development wave is still strong despite recent changes in the debt market. Tenant demand has helped counter this by giving developers confidence in increased rental rates.

Fundamentals of what make DFW appealing are unchanged. Population growth, lower cost of living, pro business environment, central location and connectivity will continue to be attractive to both businesses and capital markets.

Absorption is lower than previous years, partially because CoStar doesn’t record a pre-lease as absorption until the building is delivered and the tenant takes occupancy. We expect increased absorption numbers later this year as this transpires.

Continued tenant demand is evident as shown with strong leasing activity numbers through mid year as compared to previous years.

New frontier markets are benefiting from established submarkets reaching full capacity in certain size ranges.

DFW INDUSTRIAL

Trends & Transactions

TRENDS

TOP LEASE TRANSACTIONS

Cost Increases •

•

Shell construction and finish out costs continue to increase

Delayed delivery •

Dock levelers, steel, HVAC and roofing materials are all significantly delayed

•

Spec work has started to also include dock packages due to extended lead times

Rental Rates •

Continue to increase despite increased construction

•

Annual increases continue to creep upwards with Landlords testing the waters on every deal

Drive To Increase Efficiency •

Increased car and trailer parking requirements

Increased Attention On Workforce

• • • • • • • • •

•

Where are they coming from?

•

Better work environment (Ex. HVAC Warehouse)

Pre-Leasing Activity Remains Strong

• • •

MARKET TRENDS •

Supply chain shortages are driving companies to reevaluate their inventory needs and the right amount of safety stock

•

Entitlements and building permits continue to be delayed as municipalities are overloaded with requests.

•

The continued expansion of e-commerce fuels the increased demand for industrial space. Amazon has recently pulled back on their expansion but other large retailers and household brands are catching up.

• • • • • •

Absorption

vs. Prev. Qtr

vs. 12 Mths Ago

• •

7,186,818

1,481,621

12,118,879

Vacancy

vs. Prev. Qtr

vs. 12 Mths Ago

4.8%

5.1%

6.1%

Leasing Act.

vs. Prev. Qtr

vs. 12 Mths Ago

• •

15,164,687

14,357,772

23,261,074

U/C SF

vs. Prev. Qtr

vs. 12 Mths Ago

65,377,360

39,877,989

26,106,924

Delivered SF

vs. Prev. Qtr

vs. 12 Mths Ago

6,156,581

3,432,291

7,195,631

•

• • •

Target has signed a 1,240,584 SF lease at Alliance Center East 1 with Hillwood.

Dollar General has signed a 1,008,416 SF lease at Intermodal Logistics Center 6 with Northpoint Development.

Hayes Retail has signed a 712,900 SF lease at 1103 Gateway Boulevard with Hunt Southwest.

Libby Glass has signed a 605,489 SF lease at 5005 Village Creek Road with Granite Village Creek.

UNIS, LLC has signed a 568,632 SF lease at 1230 Highway 114 with Provident Realty Advisors.

Scout Cold Logistics purchased 549,017 SF at 3301 N Dallas Avenue with Robinson Weeks.

NFI has signed a 510,805 SF lease at 2101 Millers Ferry Road with Panattoni.

Samsung has signed a 507,984 SF lease at 3450 Roy Orr Boulevard with Prologis.

TIPP Distributors dba Novamex has signed a 457,079 SF lease at 951 S Town East Boulevard with Clarion Partners.

FedEx Supply Chain has signed a 324,984 SF lease at 4951 Langdon Road with LINK. Justin Boots has signed a 323,570 SF lease at Carter Park East with Crow Holdings.

XPO Logistics has signed a 298,341 SF renewal at 2425 Esters Boulevard with Clarion Partners.

Concordance Healthcare has signed a 204,556 SF lease at 801 Industrial Boulevard with Prologis.

Burris Industries has signed a 200,166 SF lease at 4949 Amon Carter Boulevard with Centreport Development.

Pallet Logistics has signed a 177,933 SF lease at 4100 Platinum Way with Platinum Way Holdings.

H&K International has signed a 169,924 SF lease at 1455 Republic Parkway with KKR. Landair Logistics has signed a 156,100 SF lease at 510 W Trinity with Prologis.

Construction Specialists has signed a 153,150 SF lease at 2340 I-35 W with ML Realty Partners.

American Standard has signed a 150,750 SF lease at Beltline Road/E Wildlife Parkway.

Coca Cola has signed a 144K SF renewal at 2701 Esters Boulevard with Link.

Dennis Uniform has signed a 129,143 SF lease at Majestic Fort Worth South with Majestic.

Diesel Displays has signed a 127,945 SF lease at 4435 Spring Valley with Loloi Rugs.

BuzzBalls has signed a 125K SF expansion on McDaniel Drive in Valwood with Prologis.

Assurant has signed a 125,253 SF renewal at 1401 Lakeway Drive with Clarion.

American Standard has signed a 120,244 SF lease at 220 E Danieldale Road with Triumph Capital.

Maverick Power has signed a 117,206 SF lease at 1601 S Shiloh Road with TA Realty.

Graphics Packaging has signed a 110,960 SF lease at 9186 Van Horn Drive with Trammell Crow.

Q2 2022 DFW INDUSTRIAL MARKET REPORT 09

DFW INDUSTRIAL

Facts & Figures

OVERALL DFW

OVERALL VACANCY

8.0%

14,000,000

7.0%

12,000,000

OVERALL ABSORPTION 9.0%

10,000,000

5.0%

70,000,000

8.0% 6.70%

6.0%

OVERALL CONSTRUCTION

25,000,000

50,000,000

6.0%

8,000,000

15,000,000

5.0%

4.0%

60,000,000

20,000,000

7.0% 5.10%

6.4%

40,000,000

4.8% 4.0%

6,000,000

3.0%

20,000,000

2.0%

1.0%

2,000,000

0.0%

0 Q2 19

Q3 19

Q4 19

Q1 20

Q2 20

Q3 20

Q4 20

ABSORPTION

Q1 21

Q2 21

DELIVERIES

Q3 21

Q4 21

Q1 22

Q2 22

0.3%

5,000,000

0.3% Q3 19

Q4 19

DIRECT

VACANCY

Q1 20

Q2 20

Q3 20

Q4 20

Q1 21

Q2 21

Q3 21

SUBLET

Q4 21

Q1 22

10,000,000

1.0% 0.0%

Q2 19

EXISTING INVENTORY SUBMARKET

30,000,000

3.0%

4,000,000

2.0%

10,000,000

Q2 22

TOTAL

0

0 Q2 19

Q3 19

Q4 19

Q1 20

Q2 20

TOTAL NET

Q3 20

Q4 20

Q1 21

Q2 21

Q3 21

Q4 21

Q1 22

Q2 19

Q2 22

Q3 19

Q4 19

Q1 20

Q2 20

Q3 20

Q4 20

DELIVERED

LEASING ACTIVITY

Q1 21

Q2 21

Q3 21

Q4 21

Q1 22

Q2 22

UNDER CONSTRUCTION

VACANCY

# BLDGS.

TOTAL RBA

DIRECT SF

TOTAL SF

VAC. %

YTD NET ABSORPTION

YTD DELIVERIES

UNDER CONSTRUCTION SF

YTD LEASING ACTIVITY

665

88,708,452

1,551,882

1,732,764

1.7%

1,694,510

688,388

4,071,478

3,497,679

East Dallas

1,534

64,498,688

3,276,768

3,618,092

5.1%

774,902

712,435

5,048,791

1,448,711

Great SW/Arlington

1,132

119,546,782

3,739,739

4,161,153

3.1%

125,077

811,505

2,559,948

3,746,428

Henderson County

18

1,234,238

29,968

29,968

2.4%

0

0

0

72,695

North Fort Worth

785

122,967,098

9,269,987

9,479,987

7.5%

3,790,408

1,544,255

11,503,830

4,655,270

Northeast Dallas

2,630

97,120,365

5,283,590

5,440,284

5.4%

672,367

317,948

3,087,629

2,721,373

Northwest Dallas

1,388

114,587,383

3,930,593

4,531,497

3.4%

(680,355)

924,032

6,746,636

3,621,094

NW Dallas Outlying

32

2,448,726

65,956

65,956

2.7%

23,444

0

35,406

28,115

South Dallas

706

112,011,707

5,541,754

5,571,754

4.9%

2,503,496

3,422,254

27,400,513

4,376,714

South Fort Worth

1,490

90,007,088

6,994,223

7,211,621

7.8%

635,999

1,234,517

2,848,008

2,869,372

South Stemmons

2,067

116,431,706

3,975,752

4,465,391

3.4%

118,560

500,670

2,075,121

2,638,467

12,447

929,562,233

43,660,212

46,308,467

4.8%

9,658,408

10,156,004

65,377,360

29,675,918

DFW Airport

TOTALS

SOURCE: COSTAR Q2 2022 INDUSTRIAL REPORT

10 Q2 2022 DFW INDUSTRIAL MARKET REPORT

SUBMARKET INTELLIGENCE

GSW/ARLINGTON

CURRENT EVENTS Per CoStar reporting, the Great Southwest (GSW) industrial submarket concluded Q2 2022 with continued momentum. At the end of Q2 2022, GSW reported positive net absorption of 579,946 SF and posted outstanding leasing activity numbers of over 3.7M SF. Additionally, GSW reported 811,505 SF of new construction completions YTD and a total of 2,559,948 SF of new projects currently under construction.

The Q2 2022 vacancy rate decreased slightly to 3.1% versus 3.4% at Q1 2022. This ranks GSW among the top four major submarkets with the lowest vacancy rates. Forecasting further into 2022, we expect the GSW market to remain one of the top performing submarkets with continued rent growth as tenant demand continues to expand across the DFW market.

Absorption

vs. Prev. Qtr

vs. 12 Mths Ago

579,946

(454,869)

2,279,310

Vacancy

vs. Prev. Qtr

VITAL STATS

vs. 12 Mths Ago

3.1%

3.4%

3.4%

Leasing Act.

vs. Prev. Qtr

vs. 12 Mths Ago

1,868,490

1,877,938

3,797,013

U/C SF

vs. Prev. Qtr

vs. 12 Mths Ago

2,559,948

1,746,580

888,113

Delivered SF

vs. Prev. Qtr

vs. 12 Mths Ago

239,889

571,616

-

TOP LEASE TRANSACTIONS

CANON SHOULTS

MADDY CANTY

Managing Principal cshoults@holtlunsford.com 972.280.8328

Market Associate mcanty@holtlunsford.com 972.280.8325

2,500,000

6.0%

2,000,000

5.0%

1,500,000

4.0%

1,000,000

3.0%

500,000

2.0%

0

1.0%

(500,000)

0.0%

(1,000,000) Q2 19

Q3 19

Q4 19

Q1 20

Q2 20

Q3 20

ABSORPTION

Q4 20

Q1 21

Q2 21

DELIVERIES

Q3 21

Q4 21

Q1 22

Q2 22

VACANCY

NEW DEVELOPMENTS

•

Samsung has signed a 507,984 SF lease at 3450 Roy Orr Boulevard with Prologis.

•

Remington I-30 | Building 2 – a 416K SF spec development with Graff Interests

•

Burris Industries has signed a 200,166 SF lease at 4949 Amon Carter Boulevard with Centreport Development.

•

•

Landair Logistics has signed a 156,100 SF lease at 510 W Trinity with Prologis.

Cooper Commerce Center | 7007-7011 South Cooper Street | Buildings 2, 3 and 4 – a 349K, 205K and 191K SF spec project with NorthPointe Development

•

•

American Standard has signed a 150,750 SF lease at Beltline Road/E Wildlife Parkway with Graff Interests.

1600 South Great Southwest Parkway – a 298,506 SF spec development with IDI Logistics

•

2001 E Avenue K - a 200,175 SF spec development with DWS

•

Dixie Carpet has signed a 54,649 SF lease at 3100 Roy Orr Boulevard with Link Industrial.

•

Bardin Crossing | Building 2 – a 154,440 SF spec development with Ironwood Realty Partners/Cabot

•

732 Avenue R – a 114,400 SF spec development with Proterra Properties/Longpoint

DEALS IN THE MARKET

EXPERTS

7.0%

•

DFW Plus High Growth Portfolio – KKR is selling a 2.68M SF DFW & Chicago portfolio. Five of the buildings are in the GSW/Arlington submarket.

•

DFW Infill Portfolio – Link Industrial is selling a 759,889 SF multi-building portfolio with one building in GSW (2300 E Randol Mill Road).

LARGE EXISTING VACANCIES •

14900 Trinity Boulevard – 310K SF

•

3254 W Trinity Boulevard – 305K SF

•

502 Fountain Parkway – 214,684 SF

•

3405 Roy Orr Boulevard – 184,283 SF

•

Centreport 2 | 4201-4205 Diplomacy Road – 101,491 SF

SUBMARKET INTELLIGENCE

Q2 2022 DFW INDUSTRIAL MARKET REPORT 11

DFW AIRPORT

CURRENT EVENTS VITAL STATS

Absorption

vs. Prev. Qtr

vs. 12 Mths Ago

1,518,880

175,630

668,098

Vacancy

vs. Prev. Qtr

vs. 12 Mths Ago

7.0%

1.7%

2.3%

5.1%

6.0%

Leasing Act.

vs. Prev. Qtr

vs. 12 Mths Ago

5.0%

2,024,708

1,472,971

2,700,524

3.0%

U/C SF

vs. Prev. Qtr

vs. 12 Mths Ago

2.0% 1.0%

4,071,478

1,790,471

1,507,531

Delivered SF

vs. Prev. Qtr

vs. 12 Mths Ago

688,388

-

140,056

TOP LEASE TRANSACTIONS •

XPO Logistics has signed a 298,341 SF renewal at 2425 Esters Boulevard with Clarion Partners.

•

Concordance Healthcare has signed a 204,556 SF lease at 801 Industrial Boulevard with Prologis.

•

Coca Cola has signed a 144K SF renewal at 2701 Esters Boulevard with Link Industrial.

•

Wisenbaker Building Services has signed a 68,467 SF lease at Brookfield’s Exchange Circle development in Coppell.

NEW DEVELOPMENTS

9.0%

4,000,000

8.0%

3,500,000 3,000,000 2,500,000 2,000,000

4.0%

1,500,000 1,000,000 500,000

0.0%

0 Q2 19

Q3 19

Q4 19

Q1 20

ABSORPTION

Q2 20

Q3 20

Q4 20

Q1 21

Q2 21

DELIVERIES

Q3 21

Q4 21

Q1 22

Q2 22

VACANCY

•

Oakbend – a 175K SF development with Prologis on Oakbend Drive in Lewisville, set for completion in Q3 2022.

This development is 100% leased

•

MacArthur Business Park – a 152K SF two (2) building, shallow bay project with frontage on Highway 121, set for completion in Q3 2022

•

Sandy Lake 121 – a 130K SF development with Myers & Crow at Sandy Lake and Highway 121 in Coppell, set for delivery in Q4 2022

•

Passport 125 – a 125K SF development with Stream Realty Partners at Passport Park, set for completion in Q1 2023

HLC DEAL

The Dallas-Fort Worth (DFW) Airport industrial submarket closed 2021 with an all time low vacancy rate of 3.82% which has continued to drop through Q2 2022 and currently sits at a 1.7% vacancy rate per CoStar reports. The vacancy rate continues to decrease as the submarket has seen a strong influx of leasing for big blocks of space in Passport Park and Perot/Invesco’s 161 as well as a flurry of leasing between 200K and 400K SF suites. There is currently only one delivered building at The Airport that can accommodate a 200K to 400K SF user. The rates in that size should continue to rise at a rapid pace.

Rental rates remained strong and are expected to continue to grow throughout 2022. The bulk warehouse rental rates are increasing into the mid $7.00 rate range depending on building age. In the 50K to 100K SF range for functional shallow bay product, we are seeing rates from $8.00 to $9.00 depending on the finish level and age. Rental abatements are still prevalent depending on renewal versus new deals and the size of the lease transaction. Tenant improvement costs remained high because of increasing construction costs.

DFW International Airport is ranked as one of the largest cargo airports in the country. It boasts a high proportion of newer buildings since 2000 and, as a result, the submarket has a high concentration of efficient product with clear heights and dock configurations suitable for modern distribution. The submarket consists of large big-box users including Amazon, Uline, PPG, Bed Bath & Beyond, McKesson and many others.

•

DFW Commerce Center – a 2M SF three (3) building project with CLX on Airfield Drive, set for delivery in Q4 2022

•

DFW Logistics Hub - a 1.5M SF three (3) building project with Weber Gruene located adjacent to DFW Airport

•

Bison Grove Business Park – a 880K+ SF four (4) building project with Hines at Edmonds and Garden Ridge, set for completion in Q2 2022 with 480K SF preleased

•

Royal 114 – a 430K SF four (4) building project with Archway Properties and Nuveen, set to deliver in Q2 2023

•

Freeport Commerce Center – a 328,175 SF two (2) building project with Alliance Industrial Company, set for completion in Q4 2022

EXPERTS

•

Exchange Circle – a 315,463 SF two (2) building project with Brookfield off Freeport Parkway in Coppell, set for completion in Q3 2022

ANDREW GILBERT

KEATON BRICE

•

West Vista Ridge Mall Drive – a 196,987 SF development with Prologis in Lewisville. This development is 100% leased to a single user

Market Director agilbert@holtlunsford.com 972.280.8312

Market Associate kbrice@holtlunsford.com 972.421.1956

12 Q2 2022 DFW INDUSTRIAL MARKET REPORT

SUBMARKET INTELLIGENCE

NORTHEAST/EAST DALLAS

CURRENT EVENTS The Northeast/East Dallas submarket continues to be heavily sought after by tenants, developers, and the capital markets. With the Garland pocket posting a 1.9% vacancy rate, there is a clear need for additional space which sets the stage well for the new developments coming along the 635/Highway 80 corridor.

All product types are experiencing rent growth at an unprecedented pace with rental rates rising as much as 30% from one year ago.

Big moves are being made with covered land plays in Garland which will bring unprecedented land pricing to the submarket. This is only made possible by the expected rent growth that is still to come. All eyes are on new frontiers, such as Forney and Sunnyvale, which are seeing good activity with new leases being signed on fully delivered buildings.

VITAL STATS

Absorption

vs. Prev. Qtr

vs. 12 Mths Ago

413,287

43,160

2,014,151

Vacancy

vs. Prev. Qtr

vs. 12 Mths Ago

7.0%

5.4%

5.4%

4.4%

6.0%

Leasing Act.

vs. Prev. Qtr

vs. 12 Mths Ago

3,137,653

4,895,397

8,023,850

U/C SF

vs. Prev. Qtr

vs. 12 Mths Ago

2.0%

5,048,791

-

2,246,474

1.0%

Delivered SF

vs. Prev. Qtr

vs. 12 Mths Ago

1,798,206

1,284,115

5,200

TOP LEASE TRANSACTIONS

9.0%

JOSH BARNES Senior Vice President jbarnes@holtlunsford.com 972.280.8353

4.0%

500,000

3.0% 0

0.0%

(500,000) Q2 19

Q3 19

Q4 19

Q1 20

Q2 20

Q3 20

ABSORPTION

Q4 20

Q1 21

Q2 21

DELIVERIES

Q3 21

Q4 21

Q1 22

Q2 22

VACANCY

Gateway Boulevard – a 621,874 SF spec cross dock development in Forney with Van Trust

•

Mesquite 635 – a 555,790 SF three (3) building spec project in Mesquite with LGE (a 239,918 SF front load, a 159,728 SF rear load and a 156,144 SF rear load)

•

East Dallas Commerce Center – a 373,322 SF spec development in Mesquite with IDI Logistics

•

Meadows Road – a 355,319 SF two (2) building project in Mesquite with Landmark Companies (a 216K SF spec cross dock and a 139,319 SF spec rear load)

Verdi Commerce has signed a 94,249 SF lease at 3901 W Miller Road with First Industrial.

•

1515 Corporate Crossing – a 301,120 SF spec development in Rockwall with Stream Realty Partners and Westcore

Soci has signed a 73,222 SF renewal at 9660 Dilworth with ML Realty Partners.

•

E Scyene Road – a 310,900 SF rear load BTS for Vehicle Accessories Group in Mesquite with Jackson Shaw

•

300 US Highway 80 – a 202,104 SF spec rear load development in Sunnyvale with Langford Properties

Hayes Retail has signed a 712,900 SF lease at 1103 Gateway Boulevard with Hunt Southwest.

•

TIPP Distributors dba Novamex has signed a 457,079 SF lease in 951 S Town East Boulevard with Clarion Partners.

•

H&K International has signed a 169,924 SF lease at 1455 Republic Parkway with KKR.

•

Maverick Power has signed a 117,206 SF lease at 1601 S Shiloh Road with TA Realty.

• •

HLC DEAL •

Perimeter Road – a 297,628 SF two (2) building spec project in Garland with Core 5

•

DFW Plus – a 2.4M SF seventeen (17) building portfolio in NE Dallas/ Garland with KKR

•

East Dallas Infill Portfolio – a 911,807 SF twelve (12) building portfolio in NE Dallas/Garland with Cantex

•

Marquis Road – a 194,029 SF two (2) building spec project in Garland with Landry Commercial

•

IDI Logistics Portfolio – a national portfolio including 480K SF at 3800 Leon Road in Garland

•

Exeter Buckner – a 102,206 SF spec development in Mesquite with Exeter

•

Market Associate btroiani@holtlunsford.com 972.265.0126

1,000,000

•

•

NEW DEVELOPMENTS BLAKE TROIANI

1,500,000

5.0%

DEALS IN THE MARKET

EXPERTS

2,000,000

8.0%

•

LARGE EXISTING VACANCIES

20 East Trinity Pointe | Phase I – a 1.8M SF three (3) building project in Forney with Stream Realty Partners

•

11333 County Road 212 – 904,495 SF

•

301 Apache Trail – 765,798 SF

Clements/Highway 80 – a 1,029,110 SF two (2) building project in Forney with Exeter (a 529,047 SF cross dock and a 500,063 SF cross dock)

•

3000 Skyline Drive – 753K SF

•

4401 Samuell – 143,801 SF

•

Mesquite Airport Logistics Center – a 1,003,100 SF two (2) building spec project in Mesquite with Dalfen

•

East Scyene Road – a 918,173 SF two (2) building project in Mesquite with Urban Logistics Realty (a 592,995 SF spec cross dock and a 325,218 SF spec cross dock)

SUBMARKET INTELLIGENCE

Q2 2022 DFW INDUSTRIAL MARKET REPORT 13

FAR NORTHEAST DALLAS Absorption

vs. Prev. Qtr

vs. 12 Mths Ago

774,902

245,712

1,609,923

Vacancy

vs. Prev. Qtr

vs. 12 Mths Ago

VITAL STATS 8.0%

4.6%

6.7%

5.0%

vs. Prev. Qtr

vs. 12 Mths Ago

4.0%

1,448,711

1,257,111

1,882,459

3.0%

U/C SF

vs. Prev. Qtr

vs. 12 Mths Ago

2.0%

3,087,629

699,953

2,183,223

Delivered SF

vs. Prev. Qtr

vs. 12 Mths Ago

712,435

298,378

591,473

Pegasus has signed a 96,341 SF lease at 330 Wilmeth Road with ML Realty Partners.

•

Cheer Athletics has signed a 70,045 SF lease at 3712 E Plano Parkway with Provident Realty.

•

Little Bipsy has signed a 64,973 SF lease at 3601 N McDonald Street with AC Industrial Properties.

•

Endeavor Managed Services has signed a 55,523 SF lease at 310 Wilmeth Road with ML Realty Partners.

•

Red Bull has signed a 42,371 SF lease at 4400 S Hardin Boulevard with EastGroup.

•

Horizon Forest Products has signed a 36,800 SF lease at 2800 E Plano Parkway with Prologis.

DEALS IN THE MARKET •

Star Commerce Center – a 421,874 SF three (3) building portfolio in Frisco with Blue Star

•

McKinney Airport Commerce Center – a 231,119 SF two (2) building portfolio in McKinney with Stonemont

NEW DEVELOPMENTS •

McKinney National | Phase 2 – a 481,158 SF three (3) building spec project in McKinney with Transwestern Development

•

Lookout Logistics Center – a 359,169 SF three (3) building spec project with Crow Holdings Industrial

•

McKinney Airport Trade Center | Phase 1 – a 320K SF three (3) building spec project in McKinney with Greystar

•

Star Business Park – a 277,700 SF two (2) building spec project with Blue Star

2,000,000

6.0%

5.1%

•

2,500,000

7.0%

Leasing Act.

TOP LEASE TRANSACTIONS

HLC DEAL

CURRENT EVENTS

1,500,000 1,000,000 500,000 0

1.0% 0.0%

(500,000) Q2 19

Q3 19

Q4 19

Q1 20

Q2 20

Q3 20

ABSORPTION

Q4 20

Q1 21

Q2 21

DELIVERIES

Q3 21

Q4 21

Q1 22

Q2 22

VACANCY

•

McKinney 121 – a 212,200 SF two (2) building project with East Group

•

McKinney Airport Commerce Center – a 132,710 SF building development in McKinney with HLCI

•

Central Circle Logistics Park – a 172,640 SF two (2) building spec project in McKinney with Stonelake

•

McKinney Trade Center | Phase 2 – a 171,400 SF spec development in McKinney with ML Realty

HLC DEAL

The Far Northeast Dallas submarket continues to be highly sought after given its proximity to areas with exceptional population growth.

Leasing activity has remained strong through Q2 2022 and is expected to continue with new tenant requirements coming to the market daily.

Richardson and Plano have led the charge with the highest net absorption for this quarter while also posting vacancy near 5%.

Functional warehouse spaces have become much harder to find in these pockets which sets the stage for the new developments that are getting started in Rockwall, McKinney and Frisco. Preleasing activity for these developments has been stronger than expected for smaller suite sizes which indicates that the “flight to quality” is real as tenants are compromising on timing and are willing to pay significantly higher rates. Due to this, rates are expected to continue to increase–even with record breaking deliveries expected over the next 12 months.

LARGE EXISTING VACANCIES •

350 Cypress Hill Drive (A) – 301,320 SF

•

915 Enterprise Boulevard – 195,743 SF

•

2161 Redbud Boulevard – 193,490 SF

•

4101 East Plano Parkway – 135,000 SF

•

1125 E Collins – 100,354 SF

•

3700 E Plano Parkway – 100,000 SF (new building in Plano)

•

3712 E Plano Parkway – 100,000 SF (new building in Plano)

•

3724 E Plano Parkway – 100,000 SF (new building in Plano)

EXPERTS JOSH BARNES

BLAKE TROIANI

Senior Vice President jbarnes@holtlunsford.com 972.280.8353

Market Associate btroiani@holtlunsford.com 972.265.0126

14 Q2 2022 DFW INDUSTRIAL MARKET REPORT

SUBMARKET INTELLIGENCE

NORTHWEST DALLAS

CURRENT EVENTS Through Q2 2022, the northwest Dallas industrial submarket continues to be one of the strongest performing submarkets in DFW. Valwood continues to be a haven for building supplies companies as well as 3PL’s with its direct access to I-35. Billingsley, Longpoint, Panattoni, and TA Realty have leased their recent developments in Valwood. The Metropolitan/Addison submarket is extremely tight from a vacancy standpoint as there are not any more available sites for development.

Lastly, as developers move north to track down sites in Denton and Sanger, Highway 121 is now centrally located in the DFW market and an extremely desirable location for users. The northwest Dallas submarket ended Q2 2022 with a 4.7% vacancy rate which is higher than the rate at the end of Q1 2022 due to recent new construction delivered on Highway 121 that is expected to be leased in Q3 and Q4 2022.

Absorption

vs. Prev. Qtr

vs. 12 Mths Ago

429,931

(1,110,286)

1,048,709

Vacancy

vs. Prev. Qtr

vs. 12 Mths Ago

KEATON BRICE

Market Director agilbert@holtlunsford.com 972.280.8312

Market Associate kbrice@holtlunsford.com 972.421.1956

1,000,000

3.4%

4.2%

4.1%

4.0%

500,000

vs. Prev. Qtr

vs. 12 Mths Ago

3.0%

0

2.0%

(500,000)

1.0%

(1,000,000)

1,820,900

1,800,194

2,419,740

U/C SF

vs. Prev. Qtr

vs. 12 Mths Ago

6,815,320

4,638,296

1,630,643

Delivered SF

vs. Prev. Qtr

vs. 12 Mths Ago

745,532

178,500

275,311

(1,500,000)

0.0% Q2 19

Q3 19

Q4 19

Q1 20

Q2 20

Q3 20

ABSORPTION

Q4 20

Q1 21

Q2 21

DELIVERIES

Q3 21

Q4 21

Q1 22

Q2 22

VACANCY

NEW DEVELOPMENTS

•

Construction Specialists has signed a 153,150 SF lease at 2340 I-35 W in Denton with ML Realty Partners.

•

Exeter Westpark II – a 1.1M SF development with Exeter in Denton, set for completion in Q4 2022

•

Diesel Displays has signed a 127,945 SF lease at 4435 Spring Valley in Farmers Branch with Loloi Rugs.

•

Denton Crossing 1 and 2 – a 699K SF two (2) building crossdock project with Scannell, set for completion in Q3 2022

•

BuzzBalls has signed a 125K SF expansion with Prologis.

•

•

Assurant has signed a 125,253 SF renewal at 1401 Lakeway Drive in Lewisville with Clarion.

Urban District 35 – a 441K SF four (4) building project with Urban Logistics Realty, set for completion in Q4 2022

•

•

Basco, Inc. has signed a 53,730 SF lease at 2521 Golden Bear Drive in Carrollton with TA Realty.

Jubilee Lane Development – a 175K SF two (2) building project with High Street

•

280 E Corporate Drive – a 117,843 SF development in Lewisville, currently on the market for sale

•

Live Oak Logistics Park, Phase II – four (4) buildings totaling 778,900 SF, set for completion Q4 2022

DEALS IN THE MARKET

ANDREW GILBERT

1,500,000

5.0%

Leasing Act.

TOP LEASE TRANSACTIONS

HLC DEAL

EXPERTS

VITAL STATS 6.0%

•

KKR High Growth Portfolio – KKR is selling a 2.6M SF portfolio with properties in Dallas and Chicago.

•

DFW Infill Portfolio – Link Industrial is selling a seven (7) building portfolio with 294,051 SF located in the northwest Dallas submarket. The portfolio is 95% leased.

•

Jubilee Lane – High Street is selling a 174,647 SF two (2) building project in Lewisville. The buildings are set for delivery in Q3 2022.

HLC DEAL

SUBMARKET INTELLIGENCE

Q2 2022 DFW INDUSTRIAL MARKET REPORT 15

SOUTH DALLAS

CURRENT EVENTS

Absorption

vs. Prev. Qtr

vs. 12 Mths Ago

2,503,496

454,550

1,385,075

Vacancy

vs. Prev. Qtr

vs. 12 Mths Ago

4.9%

5.2%

5.9%

Leasing Act.

vs. Prev. Qtr

vs. 12 Mths Ago

4,376,714

2,657,366

4,030,627

U/C SF

vs. Prev. Qtr

vs. 12 Mths Ago

27,400,513

17,339,183

7,831,608

Delivered SF

vs. Prev. Qtr

vs. 12 Mths Ago

3,422,254

1,511,176

1,516,330

TOP LEASE TRANSACTIONS

VITAL STATS 14.0% 3,200,000 12.0% 2,700,000 10.0%

2,200,000

8.0%

1,700,000

6.0%

1,200,000

4.0%

700,000

2.0%

200,000

0.0%

(300,000) Q2 19

Q3 19

Q4 19

Q1 20

Q2 20

ABSORPTION

Q3 20

Q4 20

Q1 21

Q2 21

DELIVERIES

Q3 21

Q4 21

Q1 22

Q2 22

VACANCY

NEW DEVELOPMENTS

•

FedEx Supply Chain has signed a 324,984 SF renewal at 4951 Langdon Road with Link Industrial.

•

Southport Parkway | Buildings 1 & 2 – 2,126,880 SF spec project with Xebec

•

NFI has signed a 510,805 SF lease at 2101 Millers Ferry Road with Panattoni– Dalport 3.

•

3701 Midpoint Drive – a 1,037,316 SF spec development by MetLife with Panattoni

•

Scout Cold Logistics has purchased 549,017 SF at 3301 N Dallas Avenue from Robinson Weeks.

•

PointSouth | Building 1 – a 1,013,833 SF spec development with Majestic Realty

•

Pallet Logistics has signed a 177,933 SF lease at 4100 Platinum Way with Platinum Way Holdings.

•

I-20 @ Cedardale Roadå – a 1,013,075 SF development with Black Creek Group

•

American Standard has signed a 120,244 SF lease at 220 E Danieldale Road with Triumph Capital.

•

3486 Cedardale Road – a 1,084,460 SF spec development with Trammell Crow

•

Graphics Packaging has signed a 110,960 SF lease at 9186 Van Horn Drive with Trammell Crow.

DEALS IN THE MARKET

The South Dallas Industrial submarket as surveyed by HLC includes I-30, I-20, & I-45. This Submarket is 144 Million SF and is now 5.2% vacant which is 0.3% lower than reported in Q1 2022. In accordance with the area surveyed, CoStar is reporting positive 2,908,620 square feet of Net Absorption in Q2 2022. South Dallas has approximately 27.4 Million SF under construction in the I-30, I-20, & I-45 corridors combined with another 17.4 Million in the pipeline. Of the existing 27.4 Million SF under construction, 25.4% or 7.0 Million SF is for Build-to-Suit or Design Build assignments or has been pre-leased. The remaining 74.6% or 20.7 Million SF under construction is speculative development. The South Dallas submarket has enjoyed a single digit vacancy rate since Q1 2020. However, many expect that single digit vacancy to rise again along Interstate 20 and Interstate 45 as construction projects from various developers may outpace tenant demand and absorption in the changing macro-economic environment.

Please note: CoStar’s South Dallas boundaries do not include the west Dallas I-30 corridor. As such, their data in the charts may vary.

LARGE EXISTING VACANCIES •

Sunridge Boulevard – a 826,620 SF spec vacancy with EXETER

•

3800 Cedardale Road – Arcapita is selling a 776,629 SF building

•

2900 West Drive – a 603,378 SF spec vacancy with Oakmont Industrial Group

•

Loop 12 – Harlan Crow & Jim Hendricks is selling a 267,560 SF three (3) building portfolio to Foundry/UBS

•

2101 Millers Ferry Road – a 510,796 SF vacancy with Panattoni Development

•

Mansfield Urban – Landry Commercial is selling a 266,760 SF building

•

4601 Langdon Road – a 488,780 SF vacancy with Link Industrial (2nd generation)

•

2200 Danieldale Road – a 393K SF vacancy with CalSTRS (2nd generation)

EXPERTS JOHN GORMAN

CANON SHOULTS

Senior Vice President jgorman@holtlunsford.com 214.920.9800

Managing Principal cshoults@holtlunsford.com 972.280.8328

16 Q2 2022 DFW INDUSTRIAL MARKET REPORT

SUBMARKET INTELLIGENCE

SOUTH STEMMONS

CURRENT EVENTS The South Stemmons industrial submarket continues to be a strong performing infill market of the Dallas-Fort Worth Metroplex.

Leasing activity has remained healthy with the submarket reporting 883,110 SF of activity at the end of Q2 2022. Vacancy was recorded at 3.4% at the end of Q2 2022 which decreased from 3.9% recorded at the end of Q1 2022.

Rental rates and price per SF continue to rise and landlords continue to capitalize on the submarket’s irreplicable infill location. South Stemmons, historically known as a user-owned market, has become primarily institutionally owned, and landlords continue to push rates to record setting levels. Location has continued to outweigh functionality for tenants who benefit from the close proximity to Dallas CBD, the Medical District, and immediate access to thriving Dallas suburbs.

Absorption

vs. Prev. Qtr

vs. 12 Mths Ago

118,560

(597,304)

431,663

Vacancy

vs. Prev. Qtr

vs. 12 Mths Ago

3.4%

3.9%

Leasing Act. 2,638,467 U/C SF

3,000,000

7.0%

2,500,000

6.0%

2,000,000

5.0%

5.0%

1,500,000

vs. Prev. Qtr

vs. 12 Mths Ago

4.0%

1,000,000

1,755,357

2,214,581

3.0%

500,000

vs. 12 Mths Ago

2.0%

0

1.0%

(500,000)

vs. Prev. Qtr

2,075,121

2,142,390

1,050,440

Delivered SF

vs. Prev. Qtr

vs. 12 Mths Ago

500,670

-

112,000

TOP LEASE TRANSACTIONS

Market Associate mcanty@holtlunsford.com 972.280.8325

Q4 19

Q1 20

Q2 20

Q3 20

ABSORPTION

Q4 20

Q1 21

Q2 21

DELIVERIES

Q3 21

Q4 21

Q1 22

Q2 22

VACANCY

NEW DEVELOPMENTS Loop 12 Logistics Center – a 168,598 SF development with Johnson Development

•

Horton Fruit & First Call has signed a 56,890 SF lease at 2301 Century Center Boulevard with CanTex Capital.

•

Core Logistics Center III | Building B – a 110,986 SF development with Crow Holdings Industrial

•

Red Bull Distribution has signed a 50K SF renewal at 4900 Sharp Street with AEW Capital.

•

Music & Arts Center has signed a 30K SF renewal at 4949 Sharp Street with AEW Capital.

•

Managing Principal cshoults@holtlunsford.com 972.280.8328

Q3 19

•

DEALS IN THE MARKET

MADDY CANTY

(1,000,000) Q2 19

Dryfarm Wines has signed a 60,425 SF lease at 1144 Quaker Street with ML Realty.

HLC DEAL

CANON SHOULTS

0.0%

•

HLC DEAL

EXPERTS

VITAL STATS 8.0%

Loop 12 Central – a 267,560 SF two (2) building spec project with Jim Hendricks and Harlan Crow

LARGE EXISTING VACANCIES •

8401 Ambassador Row – 219,175 SF

•

2465 Joe Field Road – 128,877 SF

•

9749 Clifford Drive – 109,200 SF

•

8611 Ambassador Row – 100K SF

•

6125 Peeler Street – 74,844 SF

•

4444 Irving Boulevard – 72,915 SF

SUBMARKET INTELLIGENCE

Q2 2022 DFW INDUSTRIAL MARKET REPORT 17

NORTH FORT WORTH Absorption

vs. Prev. Qtr

vs. 12 Mths Ago

1,408,060

2,382,348

2,647,882

CURRENT EVENTS VITAL STATS 12.0%

Vacancy

vs. Prev. Qtr

vs. 12 Mths Ago

10.0%

7.5%

8.1%

10.0%

8.0%

Leasing Act.

vs. Prev. Qtr

vs. 12 Mths Ago

6.0%

3,252,338

1,402,932

3,464,195

4.0%

U/C SF

vs. Prev. Qtr

vs. 12 Mths Ago

11,503,830

6,092,497

6,105,960

Delivered SF

vs. Prev. Qtr

vs. 12 Mths Ago

816,937

727,318

1,923,234

TOP LEASE TRANSACTIONS

5,000,000

4,000,000

3,000,000

2,000,000

1,000,000

2.0% 0.0%

0 Q2 19

Q3 19

Q4 19

Q1 20

Q2 20

Q3 20

Q4 20

ABSORPTION

Q1 21

Q2 21

Q3 21

Q4 21

DELIVERIES

Q1 22

Q2 22

VACANCY

•

•

Target has signed a 1,240,584 SF lease at Alliance Center East 1 with Hillwood.

Basswood 35 – a 628,260 SF five (5) building project with Eastgroup Properties

•

•

Dollar General has signed a 1,008,416 SF lease at Intermodal Logistics Center 6 with Northpoint Development.

Fort West – a 531,601 SF three (3) building project with Creation Equity and JP Morgan

•

DFW Point 35 – a 485,680 SF two (2) building project with Stonemont

•

UNIS, LLC has signed a 568,632 SF lease at 1230 Highway 114 with Provident Realty Advisors.

•

Westport Parkway Commerce Center – a 400,565 SF development with Molto Properties

•

Champions Circle Business Park – a 361,040 SF three (3) building project with Hopewell

DEALS IN THE MARKET

•

820 Crossing – a 335,004 SF development with Scannell Properties

•

Lone Star Commerce Center | Phase II Land Sale – 36.4 acres

•

Champion Crossing – a 317K SF development with Greystar

•

Alliance Gateway Portfolio – a 2,404,260 SF three (3) building portfolio

•

•

Highway 114 Distribution Center – 568,632 SF building

Northmark Commerce Center – a 234,478 SF development with Creation Equity and Crow Holdings Industrial

•

Saginaw Distribution Center – a 321,193 SF building

•

Port 156 Logistics Center – a 213,581 SF development with KBC/ Stonemont

•

Air Commerce Logistics Center – a 114,400 SF building

NEW DEVELOPMENTS •

Northlake 35 – a 2,155,680 SF four (4) building project with Clarion

•

Alliance Center North – a 1,550,640 SF three (3) building project with Hillwood

• •

HLC DEAL •

Air Commerce Logistics Center – a 114,400 SF development with Holt Lunsford Commercial Investments

LARGE EXISTING VACANCIES •

Northlink | Building A – 754,473 SF

•

Sylvania Crossing @ I-35W | Building 2 – 697,140 SF

Elizabeth Creek Gateway C – a 1,510,500 SF development with DHL

•

Mark IV Commerce Park | Building 1 – 581K SF

Northlake Logistics Crossing – a 1,391,800 SF two (2) building project with Scannell Properties

•

Westport Logistics Park | Building 2 – 400,299 SF

•

Speedway Logistics Crossing | Building 3 – 384,716 SF

•

Mecham Commerce Center – a 1,311,911 SF four (4) building project with McCormack Commercial Development

•

Alliance Center East 1 – a 1,240,584 SF development with Hillwood

•

Silver Creek Crossing – a 1,108,938 SF development with Majestic Realty

•

Cowtown Crossing – a 1,021,129 SF three (3) building project with TDC

•

Intermodal Logistics Center 6 – a 1,008,416 SF development with Northpoint Development

•

114 Logistics Park – a 1,004,400 SF development with Logistics Property Company

North Fort Worth continues to be the top performing submarket in DFW in terms of deal velocity and overall net absorption. After the record-setting, annual posting of 7.5M SF for 2021, the submarket has already achieved nearly another 5M SF of net absorption YTD with most transactions being with new tenants to the market. Leasing transactions started to trend more toward bulk product early in the quarter with leases being executed with Target (1.2M SF), Dollar General (1M SF) and UNIS (568K SF).

The latter half of the quarter saw a high velocity of transactions sub 200K SF which continues to highlight the robust nature of the submarket’s overall performance. Even with the recent Federal rate hikes, investors and landlords alike should remain confident in North Fort Worth’s unshaken leasing activity as new opportunities present themselves.

EXPERTS GEORGE JENNINGS

MATT CARTHEY

Market Director gjennings@holtlunsford.com 817.632.6151

Managing Principal, Partner mcarthey@holtlunsford.com 817.710.1111

18 Q2 2022 DFW INDUSTRIAL MARKET REPORT

SUBMARKET INTELLIGENCE

SOUTH FORT WORTH

CURRENT EVENTS The South Fort Worth industrial submarket posted a Q2 2022 vacancy of 7.8%, a figure slightly up from the 7.3% recorded in Q1 2022.

This vacancy rate stagnation correlates with the ~2M SF of new deliveries and the ~1.4M SF in absorption that were confirmed this quarter.

This leasing activity further validates South Fort Worth’s position as one of the top performing submarkets in the metroplex. Furthermore, we expect to see the vacancy rate decrease through the remaining two quarters of 2022 with 1.9M SF of active deals tracking to be made in the submarket in contrast with the ~500K SF of expected new construction deliveries.

Looking forward to 2023, the South Fort Worth speculative development pipeline is currently slated to deliver over 2.1M SF with additional projects on the cusp of announcement that will bolster that figure. Specifically, this pipeline consists of TCRG’s 655,500 SF cross-dock at Risinger Road Building 2, Majestic’s 781,544 SF cross dock at Southland 10, VanTrust’s 606,480 SF cross dock at Fort Worth Logistics Hub Building 2, and Cabot’s 80,300 SF rear-load development at Everman Trade Center Building E. All of these developments have already broken ground.

VITAL STATS

Absorption

vs. Prev. Qtr

vs. 12 Mths Ago

635,999

361,548

684,028

Vacancy

vs. Prev. Qtr

vs. 12 Mths Ago

7.8%

7.3%

7.3%

5.0%

Leasing Act.

vs. Prev. Qtr

vs. 12 Mths Ago

4.0%

2,869,372

1,461,660

3,347,522

3.0%

U/C SF

vs. Prev. Qtr

vs. 12 Mths Ago

2.0%

2,848,008

3,682,502

4,032,142

Delivered SF

vs. Prev. Qtr

vs. 12 Mths Ago

1,234,517

-

1,322,062

TOP LEASE TRANSACTIONS

8.0%

3,750,000

7.0%

3,250,000 2,750,000

6.0%

2,250,000 1,750,000 1,250,000 750,000 250,000

1.0%

-250,000

0.0%

-750,000 Q2 19

Q3 19

Q4 19

Q1 20

Q2 20

Q3 20

ABSORPTION

Q4 20

Q1 21

Q2 21

Q3 21

DELIVERIES

Q4 21

Q1 22

VACANCY

NEW DEVELOPMENTS

•

Libby Glass has signed a 605,489 SF lease at 5005 Village Creek Road with Granite Village Creek.

•

HomeGoods | BTS – a 1,033,760 SF BTS for HomeGoods with Clarion and Crow Holdings Capital

•

Justin Boots has signed a 323,570 SF lease at Carter Park East with Crow Holdings.

•

Risinger Park South – a 834,380 SF two (2) building project with TCRG Properties

•

Dennis Uniform has signed a 129,143 SF lease at Majestic Fort Worth South with Majestic.

•

Southland Business Park | Phase 3 – a 781,544 SF building part of a master-planned park with Majestic Realty

•

Southland Business Park | Phase 2 – a 418,209 SF two (2) building project part of a master-planned park with Majestic Realty

•

South Fort Worth Commerce Center – a 374,874 SF two (2) building shallow bay project with IDI Logistics

•

Misfits Market – a 353,970 SF BTS with Rob Riner Companies and Miramar Capital

•

Everman Trade Center | Building E – an 80,300 SF development with Cabot Properties

•

Fort Worth Logistics Hub | Building 2 – 606,480 SF development with VanTrust

DEALS IN THE MARKET •

Mansfield Commerce Park – a 520K SF four (4) building portfolio

•

220 Heritage Parkway – a 459,868 SF building

•

Mansfield Urban Industrial Park – a 266,014 SF three (3) building portfolio

•

1100 S. Main Street – a 84,500 SF building

•

3212 S Cravens Road – a 75,672 SF five (5) building portfolio

•

9001 South Freeway – a 70,269 SF building

HLC DEAL

HLC DEAL

LARGE EXISTING VACANCIES EXPERTS THOMAS GRAFTON Market Director tgrafton@holtlunsford.com 817.632.6152

MATT CARTHEY Managing Principal, Partner mcarthey@holtlunsford.com 817.710.1111

Q2 22

•

Fort Worth Logistics Hub | Building 1 – 670,914 SF

•

Everman Crossroads | Building 1 – 644K SF

•

Carter Park East | Building 1 – 549,780 SF

•

Carter Park Distribution | Building 2 – 262,500 SF

•

46 Ranch Logistics Park | Building 3 – 154,440 SF

DALLAS 5950 Berkshire Lane, Suite 900 Dallas, Texas 75225 T 972.241.8300 | F 972.241.7955

FORT WORTH 1200 Summit Avenue, Suite 300 Fort Worth, Texas 76102 T 817.710.1110 | F 817.810.9017

www.holtlunsford.com

HOUSTON 11451 Katy Freeway, Suite 300 Houston, Texas 77079 T 713.850.8500 | F 713.850.8550