Numbers are just numbers, right? 102 is a great number if you have $102 in your pocket, but it’s not so good when it’s the temperature outside. As a landlord, 14 percent felt terrible when it was the vacancy rate a few years ago; so, does 6 percent make you feel better now?
The Dallas-Fort Worth vacancy rate is at an all-time low—below 6 percent. Construction has picked up over the past year, but it’s still below normal levels for a good industrial market.
There’s upward pressure on rates for a variety of reasons—fewer space options available, higher construction costs, along with the possibility of higher interest rates—but the increases have been moderate enough that it hasn’t impeded more than 17 million square feet of positive net absorption over the past year.
North Texas is one of the places to be if you’re in the industrial sector. Developers are gaining land positions for the future, while the tenants have less leverage than they’ve had in several years.
So, what do the DFW industrial numbers mean to your business?
