DFW’s Industrial Market Ignores Headwinds, Stays Strong
DFW Industrial metrics are still very robust. An Avison Young survey reports that Industrial space vacancy in DFW remains close to historic lows. For properties delivered in 2020 and 2021, vacancy is now sub 6%, slightly tighter than the market average and illustrating solid demand for newer product. In comparison, buildings delivered in 2022 are roughly 33% vacant. Due to tight supply and strong and consistent demand, DFW’s industrial rents have been rising the last several years.
Much of major Texas metro areas ability to avoid a slump, is due to its continual growth. The area’s total job base has risen by 7.8% and hit a new job peak—with industrial jobs having risen by 11.1%, or 82,000 net new jobs in warehousing, wholesale trade, and manufacturing.
Avison Young’s Greg Langston added, “The region continues to grow as an important U.S. logistics hub. The affordability of our industrial space compared to other major market is a key contributor.”