Dallas Fort Worth

Chart of the week: January 27, 2014

Then and now, DFWs industrial submarkets show unprecedented improvement, with a few MVPs standing out
Industrial Submarket DFW Airport East Dallas Greater SW North Fort Worth NE Dallas NW Dallas South Dallas South Fort Worth South Stemmons Total Vacancy 2011 10.2% 9.4% 12.7% 8.9% 8.8% 10.0% 11.7% 6.3% 8.5% 2013 4.6% 6.7% 4.9% 4.6% 9.5% 5.5% 7.4% 4.5% 6.2% Asking Rates (PSF) 2011 $3.68 $3.46 $3.14 $3.43 $4.03 $3.66 $2.92 $3.01 $3.48 2013 $4.18 $3.52 $3.58 $3.69 $4.18 $4.10 $3.01 $3.27 $3.48 Total Rent Growth 2011-2013 13.6% 1.7% 14.0% 7.6% 3.7% 12.0% 3.1% 8.6% 0.0% Net Absorption (SF) 2011-2013 7.8 M 1.8 M 7.2 M 6.1 M (0.4 M) 6.8 M 7.2 M 0.8 M 1.1 M Net Absorption (% of total) 2011-2013 20.7% 4.8% 18.9% 16.1% (1.0%) 18.0% 19.0% 2.2% 2.9%

From 2011 to 2013, the DFW industrial market has seen unprecedented changes for such a short time period, with the total vacancy rate decreasing from 9.6 percent to 5.9 percent. This dramatic change was the result of almost 38 million square feet of positive net absorption. Three clear winners emerge on the submarket level, DFW Airport, Greater Southwest Dallas, and NW Dallas. All three have vacancy rates well below the market average, saw double-digit rate growth, and together captured almost 60 percent of total net absorption for the time period.
Source: Jones Lang LaSalle Research
http://www.joneslanglasalle.com/Dallas/en-us/Pages/Research.aspx