CBRE announced the sale of Dallas Light Industrial Portfolio, comprised of nine Class B in-fill assets. The assets total 300,437 sq. ft. of industrial space in Addison and Carrollton, Texas. Birtcher Anderson & Davis and Belay Investment Group purchased the portfolio as a joint venture from Kennington Commercial for an undisclosed price.
“While we are typically a long-term holder of commercial real estate, this was an ideal time to move these assets and reallocate our resources,” said Clayton Kennington, Principal with Kennington Commercial. “Finding a like-minded buyer in Birtcher Anderson & Davis, with the same values and ethics as our own, ensures our tenants are in great hands and will be treated with the same level of white-glove professionalism under this new ownership team.”
The nine buildings are in the Northwest submarket, giving users immediate proximity to major transportation arteries including I-35, I-635, Dallas North Tollway and President George Bush Turnpike. The portfolio was 95% occupied at the time of sale and has an average remaining lease term of 1.83 years.
“As Dallas-Fort Worth has grown exponentially, in-fill locations like Addison and Carrollton continue to be one of the most in-demand areas for both industrial owners and users,” said Eliza Bachhuber with CBRE. “The limited supply of new construction combined with the potential for rent growth attracted significant interest from investors looking to capitalize on the strong market fundamentals.”
The properties included in the sale were:
- Lindbergh: A 97,840 sq. ft. building located at 4301-4321 Lindbergh Drive in Addison
- McIver: A 44,522 sq. ft. building located at 2425 McKiver Lane in Carrollton
- Sunbelt: A 25,566 sq. ft. building located at 4302-4324 Sunbelt Drive in Addison
- Whitlock 1: Two buildings totaling 49,650 sq. ft. at 1415-1425 Whitlock Lane in Carrollton
- Whitlock 2: Four buildings totaling 82,859 sq. ft. at 1325 Whitlock Lane in Carrollton
According to CBRE’s Q3 2021 Industrial MarketView, the Northwest submarket remained tight with 2.4 million sq. ft. of net absorption year to date and a direct vacancy rate of 3.1 percent. As of Q3, there is approximately 31.3 million sq. ft. of industrial product under construction in Dallas-Fort Worth, which is 20.4 percent preleased.