In a deal worth $89.7 million, EastGroup Properties Inc., of Jackson, Miss., has acquired the four-building, 611,000-square-foot DFW Global Logistics Centre, in Grapevine, Texas.
The buildings, which reportedly are all 100 percent leased, are adjacent to the Dallas-Fort Worth Airport, at 1160, 1200 and 1250 Mustang Drive and 1275 W. 17th St. and were originally developed by Bandera Ventures and Thackeray Partners.
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The acquisition brings EastGroup’s total footprint in the Dallas market to more than 4.5 million square feet, all fully leased.
EastGroup did not reply to Commercial Property Executive’s request for additional information.
The company focuses on developing and acquiring industrial properties in supply-constrained submarkets in major Sunbelt markets, especially in Florida, Texas, Arizona, California and North Carolina. Its portfolio, including development projects and value-add acquisitions in lease-up and under construction, currently totals about 50 million square feet.
The second quarter saw record absorption (9.1 million square feet) and construction (32 million square feet underway) in the Dallas–Fort Worth industrial market, according to a new report from JLL. Metro-wide, asking rents have surged by around 20 percent over the past three years or so.
The airport submarket has an average vacancy of 7.2 percent for warehouse/distribution space, on an inventory of 71.5 million square feet, also according to JLL.
Across the Sunbelt
In July, EastGroup had purchased 27 acres in Austin, Texas, and immediately began construction of 45 Crossing, a 176,500-square-foot distribution building. The project has an estimated total cost of $26.2 million.
EastGroup already owns 1.1 million square feet of industrial properties in Austin, all of which are 100 percent leased.
In August, the company acquired 59 acres of undeveloped land in Greenville, S.C., for $1.4 million. The site, known as Hillside, will be used to develop three buildings totaling about 400,000 square feet.
In a prepared statement, CEO Marshall Loeb highlighted that all three submarkets are rapidly growing and have limited available land and favorable supply/demand dynamics.