Texas Market Reports

Torrid Job, Population Growth to Fuel Fort Worth Retail in 2017

by Taylor Williams May 26, 2017

In DFW, retail real estate will experience its eighth consecutive year of performance gains as upward economic momentum strengthens consumption and bolsters the local retail sector. The national economy is operating at near full employment and the rate of job creation will start to slow, bringing two million new job opportunities to fruition in 2017. At least 100,000 of these jobs will be filled in DFW and these dynamics will affect retail property by driving up wage growth, increase rental rates and promote higher retail spending.” As a result, national retail sales are expected to increase 4 percent this year. In Fort Worth specifically, retail trade is one of largest employment sectors and accounts for more than 11 percent of all jobs. Dallas-Fort Worth is expected to see a fourth consecutive year of employers adding over 100,000 jobs as a number of large companies like Toyota, Liberty Mutual and many others expand their footprints in the metro. Advance PCS, Dean Foods, ExxonMobil, Kimberly-Clark, Neiman Marcus, Southwest Airlines and Texas Instruments are among the 21 Fortune 500 companies headquartered in the area. The relocation and expansion of these businesses will draw new residents to the area. Approximately 88,000 individuals are slated …

May 26, 2017

Market Reports Office Texas Texas Market Reports

Fort Worth Office Market Poised for Steady Growth in 2017

by Taylor Williams May 19, 2017

Despite waves of new development and rebounding oil prices, the Fort Worth office market hasn’t changed. It reflects the city’s lifestyle and attitude — stable and patient — and optimistic as to what the future holds. As businesses come and go and vacancy rates fluctuate, the Fort Worth office market views the long-term potential of its investments and confidently forges ahead. Go West Much of the new development we are seeing is southwest of downtown. The West Southwest submarket accounts for 62 percent of the construction begun or underway in 2016, with The Offices at Clearfork accounts for 330,000 of the 734,000 square feet built after 2016. The new vision for the master-planned, 270-acre Clearfork development includes 2,500 apartment units, two million square feet of office space, and 1.2 million square feet of retail space anchored by Nieman Marcus. Fort Worth’s CBD is adding its first new building since Sundance Square, which was built in 2014. The property at 640 Taylor St. will add 280,000 square feet and will be 51.5 percent leased upon completion. Its owner, Jetta Operating Co. Inc., and namesake, Frost National Bank, will occupy 140,000 square feet. Effects of Westward Migration The Offices at Clearfork and …

May 19, 2017

Industrial Market Reports Texas Texas Market Reports

Big-Footprint Developments Lead the Way in Fort Worth Industrial Market

by Taylor Williams May 5, 2017

When Ross Perot Jr. broke ground on the world’s first industrial airport in north Fort Worth in 1988, even he didn’t realize what a big deal it would become. Named “Alliance” in recognition of the collaboration between Perot’s Hillwood, the city of Fort Worth and the Federal Aviation Administration, the project kicked off a development spree that now spans 18,000 acres. With the airport, a major intermodal yard, two Class I rail lines and a number of interconnecting highways, Alliance has had a profound impact on establishing the industrial real estate market in Fort Worth’s northern sector. The development is still going strong, but other firms such as Trammell Crow Co., IDI and Stream Realty Partners have joined the party with surrounding projects that build on Hillwood’s foundation. The latter recently completed work on a new 538,000-square-foot Northlake headquarters for Farmer Brothers Coffee, which includes a 125,000-square-foot roasting plant and 258,000-square-foot distribution center. Industrial development remains brisk in other areas of Fort Worth, too, most notably in Railhead Industrial Park, Mercantile Center and Carter Industrial Park, where Hunt Southwest is underway with a 657,000-square-foot spec project. This project follows a 301,500-square-foot facility the developer opened at the Riverbend West development …

May 5, 2017

Market Reports Texas Market Reports

Massive New Projects, National Retailers Spur Development Explosion In El Paso

by Jeff Shaw April 14, 2017

El Paso in 2017 is a story of growth. Sales tax rebates increased over 10 percent in 2016 — second among the 20 largest cities in Texas. Since 2000, the El Paso-area population has increased by more than 27 percent, and as the longtime adage goes, “retail follows rooftops.” Long under the radar of national concepts, El Paso’s retail sector is changing. Major retail developments in El Paso are gaining national attention. One of the catalysts contributing to this interest is the success of the Fountains at Farah development, a 600,000-square-foot retail center with shops, restaurants and a live music amphitheater. The Fountains has attracted concepts such as Nordstrom Rack, Ruth’s Chris Steak House, Kate Spade, West Elm, Grimald’s, Chuy’s, Kona Grill and Bricktown Tap House & Kitchen, to name a few. The ability of this large-scale center to attract popular national and super-regional concepts that are “new to El Paso” has provided an impetus for other developers to pursue similar developments. Add to the mix the low interest rate environment and a growing population with a stable economy, and you have a development boom. Retail takes city by storm On the west side of the city, major developments include …

April 14, 2017

Hospitality Market Reports Texas Texas Market Reports

San Antonio: Hospitality on the Rise

by Haisten Willis November 18, 2016

San Antonio evokes many positive images: the River Walk, the Alamo, Fiesta, the Mission Trail, Texas Hill Country and more. All of these images have one thing in common: hospitality. San Antonio is known for its warmth and hospitality. It is a fun place to visit for the many conventioneers and tourists that are attracted to the city year after year. It is also a good place to do business and a great place to live. Strength of the Market San Antonio boasts a strong economy. Overall employment grew at 3.5 percent over the past year, including an above-average growth of 3.2 percent for hospitality, retail and healthcare employment. Unemployment declined to 3.6 percent in July 2016, with strong increases in the labor force, according to Moody’s Analytics. Tourism and convention activity drive the economy, strengthened by a large military and cybersecurity presence. Manufacturing, healthcare and energy round out San Antonio’s strong, stable economy. The San Antonio lodging industry has also maintained a strong and steady pattern. While other Texas markets are adding a lot of new supply, San Antonio has kept the number of new hotel rooms to a minimum, adding only about 1,000 rooms over the past five …

November 18, 2016

san-antonio-retail-concepts-weingarten-group

Market Reports Retail Texas Texas Market Reports

Alamo City Retail Market in Expansion Mode

by Haisten Willis November 11, 2016

As we near the end of 2016, we also mark another strong year for the San Antonio retail market. In fact, the market is strong enough that we can retire the word recovery and replace it with expansion. Expansion, in a nutshell, means that the retail market has not only matched the pre-recession occupancy level of 92 percent, it has exceeded it. San Antonio currently boasts a healthy occupancy rate of 94 percent, even as key vacancies from Sports Authority came onto the market during the past year. The Alamo City is able to maintain the balance due to the fact that vacancy added by the sporting goods retailer was offset by fully leased construction and the backfilling of major retail box spaces. The Weitzman Group currently reviews approximately 45 million square feet of retail inventory in San Antonio centers with 25,000 square feet or more. Like the retail market, San Antonio’s economy also continues to grow, based on solid population and job growth. The metro area market, as of September 2016, reports an unemployment rate of 4.1 percent. This is well below the country’s rate of 4.8 percent, according to the Texas Workforce Commission. The metro area also ranks …

November 11, 2016

Industrial Market Reports Multifamily Office Retail Texas Texas Market Reports

The Case for West Houston — A Long-Term View

by Haisten Willis November 4, 2016

In spite of the “noise” created by headlines about low oil prices and energy industry layoffs, west Houston, home to several of the world’s largest energy companies, continues to have strong fundamentals based on decades of phenomenal growth and high-quality development. At Wolff Companies, we have been investing in West Houston for over 45 years. From this long-term perspective, we remain bullish on Houston and, in particular, West Houston, where continuing favorable demographic and economic trends tell a different story than the current headlines. West Houston is a city unto itself. With a population of 1.7 million, it would rank as the fifth largest city in the United States — ahead of Philadelphia, Phoenix or Dallas. It has its own downtown, or central business district (CBD), comprised of four major activity centers: CityCentre/Memorial City, Westchase, The Energy Corridor and Westway Park. All of these are within a few minutes of the intersection of Interstate 10 and the Sam Houston Tollway/Beltway 8. This intersection is also the current statistical center of Houston’s population distribution, a focal point which is expected to continue to move westward to the intersection of I-10 and Barker Cypress Road by 2025. High-Quality Growth Despite the cyclical …

November 4, 2016

Market Reports Multifamily Texas Texas Market Reports

Dallas Multifamily Market Has Staying Power

by Haisten Willis October 21, 2016

Success breeds success. That adage, more than any other, defines the Dallas-Fort Worth economy and its strong multifamily market. In the last five years, a number of companies, such as Toyota North America and Nationstar Mortgage, impressed by the advantages of doing business in Dallas-Fort Worth, have relocated their headquarters here. These companies were attracted by the area’s central location, equidistant from both coasts, as well as an educated workforce, a diverse economy and a favorable business climate. This year Jamba Juice, among other companies, took notice and announced that they are joining the migration to north Texas. Even companies not choosing to uproot their headquarters are expanding their presence in Dallas-Fort Worth. Early this year, JPMorgan Chase picked Plano’s Legacy West development for a new 6,000-employee campus, next door to Toyota as well as Liberty Mutual, which itself will add 5,000 workers to a huge new service center it is building there. Also this year, Fannie Mae announced it would move more than 1,000 workers to Plano, the medical giant McKesson revealed plans to add 1,000 office jobs in Irving and Pegasus Foods chose Rockwall for a new plant that will employ 300. The Federal Reserve Bank of Dallas’ …

October 21, 2016

Healthcare Market Reports Office Retail Texas Texas Market Reports

Rio Grande Valley Commercial Real Estate Growth is Happening

by Haisten Willis September 9, 2016

Growth. It is occurring all across the Rio Grande Valley. From the residential sector to the retail development industry, regional statistics indicate there is an overwhelming boom in the Valley. The rise in the region’s population and the increasing number of yearly visits from Mexican nationals, among other factors, are contributing to the boom. The Rio Grande Valley commercial real estate industry has seen steady, consistent growth over the last two years. National retailers looking to incorporate themselves into the local economy or expand their existing business include Main Event Entertainment, Raising Cane’s Chicken Fingers, Menchie’s Frozen Yogurt, Dave & Busters, Dick’s Sporting Goods, HomeGoods, Chick-fil-A and Walmart. Local and international retailers including Super Cream Restaurant & Bakery, Kurai Sushi Buffet, and Dona Tota are also expanding in the region. Other entities helping to spur growth in the commercial real estate industry are the University of Texas Rio Grande Valley (UTRGV) campuses in Edinburg, Harlingen and Brownsville, and a number of large investment retail projects in the upper and mid-valley including the development of the 8,500-seat Bert Ogden Arena in Hidalgo County. Impact of UTRGV The University of Texas Rio Grande Valley is less than two years old and boasts …

September 9, 2016

Market Reports Retail Texas Texas Market Reports

The Prospect for Major Retail Expansion in the Rio Grande Valley is Predictable

by Haisten Willis September 2, 2016

Last summer, NAI Rio Grande Valley and Michael Uhrbrock, senior vice president of research at the University of Texas Rio Grande Valley, examined eight Rio Grande Valley cities to examine the history of retail sales between 2002 and 2014 and to forecast the future. The cities examined were McAllen, Brownsville, Harlingen, Edinburg, Pharr, Weslaco, Mission and Mercedes. We were working on a piece for the Rio Grande Valley Partnership’s Economic Development magazine. What we learned is quite interesting and presents an unusual view into the future potential for retail expansion in the Rio Grande Valley. Total retail sales in the eight cities increased $4.47 billion between 2002 and 2014. Forecasting the future required a view of low, median and high ranges of potential sales. Based on the high projections, it is anticipated that valley sales in these cities will increase by $13.68 billion between 2015 and 2030. A number of factors go into the results, but several factors are expected contribute to the expected increases. Growth in Many Sectors With 1,450,000 residents, the population of the Rio Grande Valley today is larger than that of nine states. Forecasts show the population will grow to 2.5 million by 2040, which does …

September 2, 2016

Newer Posts

Older Posts