D-FW will top the country in warehouse building and leasing, new forecast says
Dallas-Fort Worth for the last few years has been one of the country's hottest warehouse and distribution building markets with major expansions by e-commerce companies and consumer products firms. A new forecast says that D-FW will lead the country in both industrial building demand and construction during the next two years. Show Full Story North Texas' net industrial leasing will total more than 50 million square feet through 2020, according to the report by commercial property firm Cushman & Wakefield. That's more industrial demand that the country's previous top warehouse market, the greater Los Angeles area of southern California. And it's more than 10 percent of the total 495 million square feet of net warehouse leasing Cushman & Wakefield expects nationwide. In 2018, net warehouse leasing in the D-FW area totaled almost 23 million square feet - the fourth year in a row that the area has surpassed 20 million square feet of industrial building absorption. And almost 27 million square feet of new warehouse space was completed in D-FW last year. Cushman & Wakefield is predicting that in 2019 and 2020, another 52.5 million square feet of warehouses will be built in D-FW -- more than any other U.S. metro area. "With the current tenant activity in the market -- tracking 25.2 million square feet of active tenants in D-FW -- we are optimistic and excited about the prospects of 2019," Cushman & Wakefield's North Texas executive managing directors Kurt Griffin and Nathan Orbin said in the report. "At the end of 2018, the Dallas-Fort Worth industrial market's 741.3 million square feet of inventory is the third largest in the U.S., behind only Chicago and Los Angeles. The Dallas-Fort Worth industrial market finished 2018 with the nation's second highest net absorption behind only the greater Los Angeles area, they said.