Marcus & Millichap is pleased to present the opportunity to acquire the property located at 615 East Business 83 in Weslaco, Texas. The subject property consists of approximately 3.25 acres of industrial land. Sitting 350 feet away from East Business 83, the asset features 200 feet of frontage along South Utah Avenue. Recently subdivided from a previously developed lot, the property sits adjacent to other lots zoned for industrial use, offering value-add investors synergy in future developments. Owner-users can also acquire the property as a build-to-suit or industrial outdoor storage (IOS) opportunity. Located in the Outlying Hidalgo County submarket, the property is positioned one mile away from Interstate 2 and a six-minute drive to Mid-Valley Airport.
Outlying Hidalgo County is a relatively small submarket containing 9 million square feet of industrial space (CoStar). At the midway point in 2023, the vacancy rate dropped to 3.3 percent with the average lease-up time declining to only 4.2 months. Tight supply has helped keep market rents elevated, rising 7.3 percent annually. Going into the back half of 2023, there was only a single property under construction measuring 253,000 square feet, which represents just 2.8 percent of the inventory (CoStar). In the near term, new supply will have a minimum impact on vacancies and rents, especially among small industrial properties. The property’s location should be heightened for the foreseeable future due to the industrial demand for border markets such as Outlying Hidalgo County.
The McAllen-Edinburg-Mission metro is located 250 miles south of San Antonio near the Texas-Mexico border and encompasses Hidalgo County. The metro’s proximity to Mexico makes trade and logistics important drivers of the local economy. The University of Texas, Rio Grande Valley has facilities in Edinburg, McAllen and Weslaco. The Rio Grande River also runs through the area, providing recreational opportunities for locals and visitors. The metro is growing at a rapid pace and is expected to add 90,200 residents over the next five years. The metro’s location on the Texas-Mexico border has turned the area into a trade hub. As a result, several logistics companies are located there. The metro has a strong healthcare sector, encompassing roughly one-third of the local employment base. The region maintains the largest land port for fresh produce imports from Mexico, with 160,000 loads of produce transported in a typical year.
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: ZAE0060526)
