There’s never been this much data center development happening at once in DFW, ever. The demand for colocation space is at an all-time high, and enterprise companies are almost universally outsourcing their data centers to colocation providers in Dallas-Fort Worth and throughout the US. The growing concentration of corporate offices for Fortune 1000 companies has played a huge factor in attracting attention to DFW. This, coupled… Read More
Recently, a map had been circulating online that noted the average salaries of millennials in each state. Because the state-to-state differences were pretty minor, we decided to investigate further and look into what this really meant to working millennials in major metro areas.
To start, we pulled incomes for working millennials (ages 25-34 years) in the major metro areas in the US. The initial results showed the obvious – that average incomes… Read More
While office absorption has slowed from its frenzied pace in 2014 and 2015, it is still running well above our long-term annual average of around 1.5 million square feet. At the start of 2016, we took a shot and estimated that we would be around a 2 million square feet this year. With 1.5 million square feet of Class A and B in the books through 3Q, that still looks like a… Read More
JLL Research took a look at home affordability and how it has been changing in support of understanding where Legacy / Frisco is going in response to high job growth .
This is no surprise because it is in the news often – home prices have been rising fast here in Dallas/Fort Worth, with numbers like 8% to 10% annually commonly quoted. The chart below shows the median home price increase since 2013… Read More
Our Dallas/Fort Worth industrial market has been performing extremely well.
We’ve pointed out on several occasions that despite record construction, absorption has been keeping pace. While we thought there might be a slight near-term mismatch between supply and demand, causing vacancy to rise gradually, that has not happened. In fact, as you can see below, vacancy remains at close to its all-time low.
Given where we stand today, we believe the fourth quarter will… Read More
As we continue to look at the rapid growth of our northern suburbs, we realized that a dramatic pricing spread exists for homes between the Legacy area and the heart of Richardson-Plano. In some ways, this is not a surprise. The six or seven zip codes around the core of Legacy are mostly newer homes, whereas much of the stock around Richardson-Plano was developed back in the 1970s.
The chart below highlights the current level of large Class A blocks of office space available by submarket. We consistently track this metric, and it has not moved appreciably in the last few quarters. That is not to say demand has been lacking. In fact, most of the recent absorption has been taking place in the newest developments.
The issue here is that a good portion of the space highlighted below is in… Read More
A couple of weeks ago, we posted a chart showing office rent growth over time in Dallas. We got such strong positive feedback, we thought we’d showcase the same for industrial.
Interestingly, the numbers come out a bit different. Whereas office is still at or still close to peak increases, rent gains for the industrial sector have come off their 2014 and 2015 peaks and begun to moderate for the majority of submarkets. Given… Read More
Job gains continue pretty much unabated in our market. We watch these numbers closely for any sign of slowing, and there simply has not been any trace.
The most recent numbers from the Bureau of Labor Statistics has Dallas-Fort Worth adding 117,000 jobs on an annualized basis. That equates to a 3.4% growth rate, twice that of the US. DFW also accounts for 63% of overall Texas job gains in the last year.
Very few things stir the retail industry quite like the International Council of Shopping Centers (ICSC) deal making conferences. These conferences are where deals get done and companies plant or strengthen roots in markets across the U.S.
In advance of the ICSC Texas Conference & Deal Making event, let’s take a look at what makes Dallas-Fort Worth such a vibrant and viable market and how… Read More