Industrial Mid-Year Report Q2 2020

Cushman &Wakefield Dallas/Fort Worth

Valwood/North Stemmons

75

DENTON

380

OBSERVATIONS & TRENDS 380

35E

LITTLE ELM

CORINTH

FRISCO

• “Workhorse Market” with proximity to highly populated areas, high quantities of labor and major highways as the driving factor for high demand • Low vacancy rates and increasing rental rates resulting from “building out” of park • Expect future redevelopment in the submarket, because rates are justifying some teardowns and reinvestment of capital 30

ALLEN

HIGHLAND VILLAGE

75

PLANO

35E

121

FLOWER MOUND

VALWOOD/ STEMMONS

MURPHY

ADDISON

KE

RICHARDSON

CARROLLTON

35E

121

75

GRAPEVINE

635

FARMERS BRANCH

114

635

SELECT MARKET ACTIVITY & NEW DEVELOPMENTS

360

EYVILLE

635

114

121

12

– HAECO leased the remaining 118k sf front-load vacancy in Building 4 of Prologis’s Valwood Corporate Center, a 236k sf first-generation cross-dock located at 1625 Hutton Drive in Carrollton. 80

12

FORD

HIGHLAND PARK

EULESS

35E

30

183

IRVING

75

DALLAS

360

30

HUTCHINS – Billingsley Company delivered Building 5 at Mercer Business Park, a 175k sf speculative rear-load building located at 2261 Morgan Parkway. The building is 15% leased. Building 5, a speculative 71k sf rear-load, will deliver in Q3. FORNEY – Panattoni delivered Valley View Crossing, a 160k sf speculative front-load building located at 1599 Valley View Lane in Farmers Branch. DUNCANVILLE GRAND PRAIRIE 20 20 45 20 35E 35E 12 12 12 67 175 175 BALCH SPRINGS

30

ARLINGTON

20

45

360

DESOTO

LANCASTER

WILMER

SFIELD

67

35E

MARKET SUMMARY

2012 2013 2014 2015 2016 2017 2018 2019 YTD 2020

46.4

46.7

47.1

48.5

49.0

50.2

50.4

51.1

51.5

Inventory

Overall Net Absorption (MSF)

1.2

2.0

241,723

1.8

843,752

1.5

591,408

1.2

417,349

10.2% 6.5% 6.8% 5.8% 5.2% 4.3% 4.6% 4.2% 3.4%

Overall Vacancy

28,380 299,550 398,249

1.4

542,355

1.1

235,900 825,667 334,405

Completions (MSF)

Under Construction (MSF)

299,550 28,532 985,192 860,043

1.0

235,900 803,445 334,405 71,100

102 Q2 2020