Liberty Property Trust, a Pennsylvania-based REIT, is constructing its third building at the GSW North Park industrial complex. The third building, leased by Cushman & Wakefield, will break ground soon and is expected to be completed in December 2018.
The 172,120-square-foot warehouse space will join the other two buildings that house 341,500 square feet and 195,200 square feet. The two completed spaces are 95 percent leased. These properties make up a mere fraction of GSW’s total industrial footprint, which stands at 107 million square feet and has another 3 million under construction.
Cushman & Wakefield has high expectations for the third building. “Market conditions are ideal for speculative construction of this building type,”Cushman & WakefieldExecutive Managing Director Kurt Griffin said, in a statement. “Given absorption and the lack of available functional product in the Great Southwest submarket, and the lack of good shallow-bay space, there should be solid demand for this new building.”
Liberty Property Trust is expected to hold onto the location for the foreseeable future, Griffin says.
Corporate neighbors in GSW also help position the new facility for success—GM, Bell Helicopter, Trader Joe’s, GE, Office Depot, and American Airlines surround the industrial park. Additionally, GSW hosts a robust labor base, according to David Eseke, Director at Cushman & Wakefield.
Average asking lease rates in GSW run around $4.66 per square foot. Rates slide lower in other regions: $3.85 per square foot in the Alliance submarket, and $3.41 per square foot in South Dallas.