Office Investment Surges in Dallas-Fort Worth

The first quarter of 2022 ended on a high note for Dallas-Fort Worth’s office market, according to CommercialEdge. More than 5.7 million square feet of office space changed hands in the metro, a 23.9 percent improvement year-over-year. In the same period of 2021, some 4.6 million square feet had traded.

Investors paid more than $1.1 billion on Metroplex assets year-to-date as of March, at an average $201 per square foot. The price continued to remain significantly lower than the national average of $280 per square foot.

Although most transactions involved Class B and C assets, nearly 3 million stare feet, or 50.9 percent of the traded square footage, pertained to Class A and A+ buildings. The vast majority, 91.1 percent, was traditional office space, with only 22.9 percent of deals having closed in urban submarkets.

The largest property that changed hands in the metro was the 1.1 million-square-foot Trammell Crow Center. In March, Regent Properties acquired the 50-story skyscraper in the heart of downtown Dallas from institutional investors advised by J.P. Morgan Global Alternatives. The transaction also included an adjacent full city block that has an existing parking garage, ground-floor retail and a development site.

CommercialEdge covers 8M+ property records in the United States. View the latest CommercialEdge national monthly office report here. We included properties of 25,000+ square feet in our research.