Business has kept going in spite of the virus concerns. Dallas office space leases are getting done. Everyone on our tours has masks and keeps their interval when looking at office and warehouse space in Dallas. Pretty much business as usual in many respects. As professional Dallas office and warehouse tenant reps we keep an eye on the various areas to make sure our clients are well taken care of. We make it easy for you to make the best deal on Dallas office space or Dallas warehouse space. Some thoughts about each sub-market:
Office
The jury is still very much out with respect to what the market will look like once the virus is under control. We have done several office leases in Dallas for our clients since the lock down. Many stabilized firms are doing 3 year leases, not 10 just to be safe. Others are bullish and try to capitalize on the shifty market and lock in long term office lease rates in Dallas for 10 years or more. Expansions are not the norm as most just do renewals. Until we see the long term result of the virus on office space this is likely to continue. Not much on the development front for multi-tenant office. Don’t let your Dallas office lease go into holdover at 200% rents. You need to look at the market regardless of the virus hype and plan ahead to get the best deal.
Warehouse / Industrial
Well if there was a problem you would not know that from watching the absorption rate for industrial / warehouse space for lease in Dallas. Terrific deals are being done in all market segments and there is a lot of demand. So much demand that development is in full force. Particular areas of interest remain the Alliance Airport area in the west and Wilmer-Hutchins to the south. Land deals in these areas are very hot and much land is trading hands with an eye to distribution center development. If your warehouse lease is coming up you need to get busy way ahead of time to protect your interests. Rates are not going down and if you wait too long you may get your space leased out from under you!
Retail
Now this area has seen the worst of the virus situation due to mandatory Dallas County closure orders from the top. Many retail stores have closed or filed bankruptcy so it’s anyone’s guess when it will return to normal. Rates are most likely to decline in this market due to oversupply once the dust settles. The development front is quiet here as well do to the virus influenced slow-down.
Land
This facet is still going strong in areas of development and speculation. The old cliche is true, they aren’t making any more of it! Industrial / distribution development is driving this sector. Watch for record prices to continue for some time to come.
Hotel / Hospitality
This sector is very hard hit due to state mandated travel restrictions, etc. Prices have fallen as a result but once the restrictions are lifted look for a big boom as pent up desire to travel blooms. Great tips are here for those that are ready to travel now thanks to the AHLA.
As more news is available we will update you with the latest trends and market changes. Above all, stay on top of your leases and make sure you don’t have an issues due to lack of focus. It’s easy to get off track with all that is happening and a good tenant rep can help keep you between the lines.