Scorecard: Spring 2016

It’s not just relocations that are boosting absorption numbers; existing tenants are expanding and taking up more space, too.



 It’s not just relocations that are boosting absorption numbers; existing tenants are expanding and taking up more space, too. That’s why vacancies are tightening, even with new construction that’s underway. Here we look at the top five office, industrial, and retail leases across North Texas during the past three months. As always, data is provided by Xceligent Inc.

ON-THE-GROUND INSIGHTS:

“The North Dallas/Plano/Frisco office submarkets should continue to see unprecedented growth in 2016. All of the growth factors that have been in existence over the last 24 to 36 months are still firmly in place.”

— Randy Garrett, Principal, Transwestern

“The HR directors now have a huge say when it comes to leasing space and making sure it maximizes the experience for employees. You used to never see them. Now they’re on the tours, day one.”

— Dale Ray, Principal, Avison Young

“It is safe to say that the major Dallas-Fort Worth metrics will remain positive, with lower vacancy rates, above-average absorption, and rental rates on the rise until new construction is complete.”

— Gary Lindsey, Managing Director, Newmark Grubb Knight Frank

“The retail market in North Texas is the strongest I have seen it since I have been in the business. Land prices and, as a result, retail lease prices, have skyrocketed in the past two to three years.”

— Michael Walters, Division President, Falcon Realty Advisors


1. FANNIE MAE

Size: 330,000 sq. ft. at Granite Park
Tenant reps: Randy Cooper and Craig Wilson with Cushman & Wakefield
Landlord: Granite Properties
Details: The mortgage giant will consolidate three different facilities into one location in Plano, where it will occupy all of Granite Park VII, a new building in the park at the southeast corner of the Dallas North Tollway and State Highway 121.

2. PWC

Size: 200,000 sq. ft. at Park District
Tenant rep: Phil Puckett, CBRE
Landlord: Trammell Crow and Met Life, represented by Dennis Barnes, Celeste Fowden, and Clay Gilbert with CBRE
Details: The accounting and professional services firm will occupy floors 12-19 of PWC Tower at Park District, leaving about 300,000 sq. ft. available in the 20-story office building, part of a mixed-use project being developed off Klyde Waren Park between Pearl and Olive streets in Uptown.

3. SUNOCO LP

Size: 121,000 sq. ft. at 8020 Park Lane
Tenant reps: Dan Harris, Randy Cooper, and Craig Wilson of Cushman & Wakefield
Landlord: Northwood Investors, represented by Trey Smith, Ward Eastman, and Johnny Johnson of Cushman & Wakefield
Details: This subsidiary of Energy Transfer Partners moved its headquarters from Philadelphia, taking full occupancy of the new Park Lane office building along North Central Expressway.

4. ETHOS GROUP

Size: 100,000 sq. ft. at The Irving Music Factory
Tenant reps: Andy Leatherman and Brad Selner, JLL
Landlord: The ARK Group
Details: Opening in 2017, The Irving Music Factory at Las Colinas is a walkable mixed-use development anchored by an Alamo Drafthouse Cinema and Live Nation concert hall and many other retail venues. The privately held training and consulting company will fully occupy the project’s office tower.

5. MAXIM INTEGRATED INC.

Size: 81,500 sq. ft.
Tenant reps: Sharon Morrison, Jim Hazard, and Saadia Sheikh with E. Smith Realty Partners
Landlord: Cawley Partners, represented by Jeremy Duggins and Addie Ludwig
Details: The tenant will occupy part of the first floor and all of the third and fourth floors of a six-story, 200,000-sq.-ft. building under construction along the Dallas North Tollway in Addison.

 
1. BED BATH & BEYOND
Size: 800,000 sq. ft. at 2900 Valley Parkway
Tenant reps: David Knee, Tom McCarthy, and Kurt Griffin of JLL
Landlord: Majestic Realty Co., represented by Al Sorrels
Details: As many as 1,000 people will fill orders for Bed Bath & Beyond at this new e-commerce facility along State Highway 121 in Lewisville.
 
2. MISSION FOODS
Size: 767,587 sq. ft. at Logistics Crossing Industrial Park
Tenant reps: Corporate Realty Advisors’ James Rigelsky and Brian Kelly
Landlord: Weeks Robinson, represented by Bob Rice and Forrest Robinson
Details: One of the world’s largest producers of tortillas, flatbread, and corn flour products, Mission Foods is consolidating its regional manufacturing and distribution operations into this new industrial park in Grand Prairie.
 
3. NIAGARA BOTTLING
Size: 630,000 sq. ft. at Mountain Creek
Tenant reps: Trey Fricke and Reid Bassinger of Lee & Associates
Landlord: Crow Holdings Capital Partners, represented by Kacy Jones, Steve Koldyke, and Wilson Brown with CBRE
Details: With this lease, Niagara Bottling is establishing its third large-scale industrial facility in South Dallas. The property sits along Interstate 20 at Mountain Creek Parkway.
 
4. WE PACK LOGISTICS LP
Size: 300,283 sq. ft. in Skyline Business Park
Tenant rep: Holmes Davis of Binswanger
Landlord: LIT Industrial, represented by John Hendricks with CBRE
Details: The growing national supply chain management firm is expanding into a larger warehouse and distribution facility along Town East Boulevard in Mesquite, adjacent to a Union Pacific Railroad intermodal yard.
 
5. HELLOFRESH
Size: 138,500 sq. ft. at 1025 Post & Paddock
Tenant reps: Rick Medinis and Michael Walters with NAI Robert Lynn
Landlord: Crow Holdings, represented by Michael Spain of Bradford Commercial Real Estate Services
Details: This fast-growing meal-kit delivery service backed by British celebrity chef Jamie Oliver is opening up a North Texas distribution hub in Grand Prairie.
 
 
1. GANDER MOUNTAIN
Size: 60,031 sq. ft.
Location: Eldorado Marketplace in Frisco
Tenant Rep: Daniel Taylor with CBRE
Landlord: Fidelis Realty Partners, represented by Melanie Dickenson
Details: The new location in Frisco will be the fifth North Texas location for the sporting goods chain.
 
2. ALTITUDE TRAMPOLINE PARK
Size: 33,530 sq. ft.
Location: 2434 S. Interstate 35E in Denton
Tenant rep: Joseph Williams, The Woodmont Co.
Details: The seven-year lease was part of a four-venue package that totals 140,000 sq. ft. The other locations are in Cedar Hill, Grapevine, and Austin.
 
3. BUYBUYBABY
Size: 23,428 sq. ft.
Location: Gateway Plaza in Southlake
Tenant Rep: Steve Lieberman, The Retail Connection
Landlord: RPAI, represented by David Fazio with The Retail Connection
Details: This lease was part of what became a seven-store package of deals between the tenant and the landlord.
 
4. COST PLUS WORLD MARKET
Size: 18,300 sq. ft.
Location: Gateway Plaza in Southlake
Tenant Rep: Steve Lieberman, The Retail Connection
Landlord: RPAI, represented by David Fazio with The Retail Connection
Details: This store helped backfill 40,000 sq. ft. at a shopping center along State Highway 114 in one of the most active retail markets in North Texas.
 
5. TYLER’S
Size: 17,274 sq. ft.
Location: West Bend in Fort Worth
Tenant Rep: Greg Pierce and Ryan May with CBRE
Landlord: Trademark Property Co., represented by Steve Toppel and Kaitlin Travis
Details: This location will mark the athletic apparel retailer’s seventh store in Texas and its first in Fort Worth.