As a quick review of our first and second installments on Dallas’ office market development, what we have concluded is that the current cycle is very different than the last two – and that is going back 20 years.
Today, our economy has vastly different drivers shaping our market. While our last cycle is instructive, it was not typical due to the much… Read More
As part 2 in our series, we decided to look at how the last spec office buildings performed at the end of the last cycle. This important for a couple of reasons. From the most basic financial perspective, it is critical to understand if these developments generally hit proforma and were viewed as economically “viable” – and their success (or… Read More
The question has been coming up often these days about where office development stands in this cycle. A recent D Real Estate blog post articulated this question, but came up short of an answer. From our perspective, the office construction pipeline is beginning to feel pretty frothy. In the last few week we’ve updated our under construction / soon to break ground numbers a few times a week –… Read More
We continue to watch our local multifamily development market. Because construction is still near all-time highs, it is good to take its pulse from time to time to understand market momentum and direction.
Last year, we profiled the CBD and Uptown areas and looked at how the newer properties (those delivered after 2000) were performing – as well as how lease-up and rent were faring in the newest deliveries. At… Read More
We are in a period where rents are rising fast. Based on our quarterly stats, Class A rates are up 6.4% in the last year for Dallas overall. While that’s an amazing number, it is even higher in some of the popular submarkets (like 8.1% in Uptown).
JLL Senior Vice President Brooke Armstrong made the observation that Uptown has been moving particularly fast and that the buildings delivered at the end… Read More
I’ve been pretty adamant that tracking every shift in metro jobs numbers is a thankless task – sometimes they are up, sometimes they get re-benchmarked, sometimes seasonal fluctuations make the numbers do funny things. The important thing to watch is the overall game and not “who scored in the 5th when you stepped away to get some nachos”…
Well, with the job numbers released this week by the Bureau of Labor… Read More
One common news story – and a criticism of our economic recovery – is that we are creating a preponderance of low-wage jobs. Some have noted that it is easy to find work these days, but difficult to find a “good” job (aka. high paying), and that a large share of the jobs being created are in retail, health care (those are not doctors, in case you were wondering),… Read More
Now that the first quarter industrial numbers are compiled and published, we’ve had an opportunity to take a look at how DFW is stacking up. Overall, vacancy is still near the low point and rent pressures continue.
The one number that does jump out is our construction pipeline. At 24 million SF, we are at the top of what we have seen historically. We can counter the high level of… Read More
First quarter numbers were recently officially released, which has caused a great deal of discussion in regard to net absorption, which came in much lower (approximately 165,000 sf) than many people anticipated, given the 4.8 million square of net absorption we saw in 2015. The thing about net absorption is that it’s irregular and can swing widely from one quarter to the next, unlike vacancy or rental rates which move… Read More