IRVING, TEXAS — Lee & Associates has arranged a 64,134-square-foot industrial lease expansion in Irving. According to LoopNet Inc., the building at 3250 Story Road W was originally built in 1997 and totals 96,200 square feet. Nathan Denton of Lee & Associates represented the tenant, Reliant Air Conditioning, in the lease negotiations. Steve Trese and Wilson Brown of CBRE represented the Landlord, Prologis.
DALLAS — Lee & Associates has negotiated a 40,081-square-foot industrial lease in northwest Dallas. According to LoopNet Inc., the building at 1314 Viceroy Drive, which was built in 1969 and renovated in 2023, features 17-foot clear heights and four dock-high doors. Stephen Williamson of Lee & Associates represented the landlord, Stonelake Capital Partners, in the lease negotiations. Tod Zhang of Mohr Partners represented the tenant, Yamato Transport USA.
HUTCHINS, TEXAS — Lee & Associates has brokered the sale of a 52-acre industrial outdoor storage facility in Hutchins, a southern suburb of Dallas. According to LoopNet Inc., the property at 1700 Dowdy Ferry Road houses a 12,000-square-foot building, five drive-in bays and about 175 truck parking stalls that are leased on a month-to-month basis. Jarrett Huge and Alex Wilson of Lee & Associates represented the seller, Tribeca Truck Repair & Parking LLC, in the transaction. Jake Griffin and Mark Becker of Cushman & Wakefield represented the buyer, All State Truck & Trailer Repair.
ARLINGTON, TEXAS — Lee & Associates has negotiated a 40,018-square-foot industrial lease in Arlington. According to LoopNet Inc., the property at 4100 New York Ave. was built in 2018 and totals 110,468 square feet. Mark Graybill and Reed Parker of Lee & Associates represented the landlord, New York City-based Link Logistics Real Estate, in the lease negotiations. Brian Gilchrist of CBRE represented the tenant, Lapgear, which provides surfaces for office and lifestyle activity usage.
BENSENVILLE, ILL. — American Bear Logistics Corp. has signed a 56,264-square-foot industrial lease at 1065 Thorndale Ave. in the Chicago suburb of Bensenville. Chris Nelson and Calvin Gunn of Lee & Associates represented the landlord, Prologis. Nick Krejci of CORE Industrial Realty represented the tenant, which is a logistics company that focuses on integrating international freight forwarding, warehouse management, U.S. inland road transportation and import/export customs declaration services.
ALLEN, TEXAS — Amphenol Fiber Systems International (AFSI) has preleased a 94,413-square-foot industrial building in Allen, a northeastern suburb of Dallas. The manufacturer of harsh-environment fiber optic cables is taking space at 121 Technology Park, a development by Stillwater Capital, that will serve as its new headquarters. Mike Kay of Colliers represented the tenant in the lease negotiations. Ken Wesson of Lee & Associates represented the landlord. Occupancy is slated for October.
ALLEN, TEXAS — Xtera Ltd. has signed a 21,192-square-foot industrial lease in Allen, a northeastern suburb of Dallas. The provider of underwater cable systems is taking space at 121 Technology Park, a 735,000-square-foot development by Stillwater Capital. Christopher Schafer of Cresa represented the tenant in the lease negotiations. Ken Wesson of Lee & Associates represented the landlord.
DES PLAINES, ILL. — TA Cabinets has leased two contiguous units totaling 52,922 square feet of industrial space at 2050 S. Mount Prospect Road in the Chicago suburb of Des Plaines. The facility is located north of O’Hare International Airport with immediate access to I-90 via Elmhurst Road. Chris Nelson and Calvin Gunn of Lee & Associates represented the landlord, MapleTree Investments. Marat Safir of TMG Real Estate Advisors represented TA Cabinets, which is a professional kitchen cabinet designer and manufacturer.
NEW YORK CITY — Blackstone (NYSE: BX) has signed a 250,644-square-foot office headquarters lease expansion and extension at 345 Park Avenue in Midtown Manhattan. The private equity giant will soon occupy more than 1 million square feet across 28 floors at the 44-story, 1.9 million-square-foot building and has added an additional five years to its term. The extension will keep Blackstone, which originally took 70,000 square feet at 345 Park Avenue in 1988, in the building through 2034. Peter Riguardi, Joe Messina, Jessica Berkey, William McGarry, Hale King, Cynthia Wasserberger and Carlee Palmer of JLL, along with Jonathan Mechanic and Jen Yashar of Fried Frank, represented Blackstone in the lease negotiations. Tom Keating, Rob Steinman and Kevin Daly represented the landlord, Rudin, on an internal basis.
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Lee & Associates Second Quarter Report: Industrial, Office Market See Continued Challenges While Retail, Multifamily Trends Follow Region-Specific Patterns
In the first half of 2024, high interest rates led to decreased demand, higher vacancy rates, reduced construction starts and lower property sales in industrial and office, according to Lee & Associates’ 2024 Q2 North America Market Report. Meanwhile, retail saw minimal development and continued low vacancies. Retail rent growth was particularly strong in the South and Southwest. Finally, high demand for multifamily, coupled with a sudden influx of supply in the second quarter of the year, has created a market where outcomes are highly tied to region. Midwest and Northeast multifamily markets have remained stronger than their counterparts in the South and Southwest, while Western markets saw mixed growth. Lee & Associates has made their full market report available here (with complete breakdowns of cap rates by city, market rents, vacancy rates, square footage information and more). The summaries for the industrial, office, retail and multifamily sectors below provide detailed insight into the trends and trajectories likely through the end of 2024. Industrial Overview: Activity, Growth Checked by High Interest Rates Industrial market performance across North America continued to downshift in the first half of this year. Although net absorption remains positive, demand for industrial space has fallen to the lowest levels …