Marcus & Millichap is pleased to present the opportunity to acquire the property located at 351 Bank Street in Southlake, Texas. The subject property consists of approximately 7,200 square feet of flex space and is situated on 0.55 acres of land. The fully leased asset features six suites, a clear height of 12’, 32 parking spaces, and five grade-level doors. Fully leased through 2024, this sale offers buyers a core plus investment opportunity. Located less than five miles from the Dallas-Fort Worth International Airport, the property is centrally positioned 24 miles from both downtown Dallas and downtown Fort Worth. Thanks to its proximity to Texas State Highway 114, Tenants can access any major point of interest in the DFW metroplex within one hour’s drive via several major thoroughfares such as Interstates 35 West, 35 East, 820, and 635.
The subject property is located in West DFW/Grapevine, a mid-size submarket containing 24.6 million square feet of industrial space. During 2023, the submarket witnessed a noticeable slowdown in demand as net absorption contracted by -537,000 square feet. Combined with over 774,000 square feet of new supply, the resulting vacancy rate topped a decade’s high at 8.5 percent. Despite the rise in vacancies, the annual growth rate of asking rents remained robust and well ahead of the consumer price index, also finishing the year at 8.5 percent amid a slowdown. Among comparable industrial properties under 10,000 square feet, vacancies in West DFW/Grapevine remain essentially non-existent at 1.0 percent in 2023. While 1.4 million square feet were underway across the submarket at the start of 2024, nearly all of the new supply was concentrated in mid-size and big-box warehouses over 50,000 square feet (CoStar). Thanks to the lack of new supply of comparables, vacancies for these properties should remain relatively low in turn helping to support rent growth, providing a safe haven for investors as market conditions continue to change.
The Dallas-Fort Worth metroplex is the fourth-most populous metro in the nation, with an aggregate of more than 7.7 million residents. It is composed of 13 counties stretching nearly 10,000 square miles. The city of Dallas houses 1.3 million people, followed by Fort Worth with 919 thousand residents. Strong job growth continually draws new residents to the region. To accommodate the additional traffic, the region’s transportation network is evolving. Traffic flow is improved as freeways are expanded and miles are being added to tollways and turnpikes. The growth of the transportation network is vital to supporting commuters to the metro’s numerous corporations and growing industries. Dallas/Fort Worth’s population growth in recent years ranks among the highest in the U.S. for a major metro. The Metroplex is home to 24 Fortune 500 companies and many regional headquarters, drawing workers and residents. The area’s extensive network of rail and highways, along with the International Inland Port of Dallas, ensure its status as a distribution hub.
This information has been secured from sources we believe to be reliable, but we make no representations or warranties, express or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2023 Marcus & Millichap. All rights reserved. (Activity ID: ZAF0060042)
