C&W Industrial Insider Mid-Year Report -Q2 2018

Cushman &Wakefield Dallas

Allen/McKinney

OBSERVATIONS & TRENDS

75

• Located on the northernmost edge of the DFW market with heavy residential surrounding population • Most new supply to this submarket comes from built-to- suit, shallow bay, and high-finish deals (flex space) • Low vacancy and positive overall absorption has motivated planning and ground breaking of several speculative new developments –– Hunt Southwest delivering speculative 202K SF front- park, rear-load in Q3 2018 at I-75 and Wilmeth Road –– Dalfen delivering McKinney Fulfillment Center, a speculative 115K SF front-park, rear-load at the SEC of Redbud Blvd and Corporate Drive in McKinney in Q4 2018 SELECT NEW DEVELOPMENTS:

380

ALLEN/MCKINNEY

ALLEN

75

MURPHY

RICHARDSON

75

30

MARKET SUMMARY

635

ND

2010 2011

2012 2013 2014 2015 2016 2017 2018 YTD

30

6.4

6.7

6.7

6.8

6.9

6.9

7.3

7.5

7.7

Inventory (MSF)

LAS

80

Overall Net Absorption (MSF)

(224,973) 98,155

32,900 194,810 499,072 338,526 470,371 106,799 140,000

13.8% 16.3% 15.8% 13.8% 8.0% 3.1% 2.3% 3.4% 2.7%

Overall Vacancy

FORNEY

45

12

108,000 305,000 20

0

66,000 117,261

0

423,927 198,000 140,000

175

Completions (MSF)

BALCH SPRINGS

20

Under Construction (MSF) HUTCHINS

0

66,000 66,000 117,261

0

291,620 108,000 140,000 317,446

175

45

ANCASTER

WILMER

20 Q2 2018