DFW Retail Stays Measured by Leasing Existing Centers

In its first Denton location, Fitness Connection has leased 55,606 square feet of retail space in Golden Triangle Mall, which has been extensively redeveloped by GTM Development Ltd., a limited partnership.

Fitness Connection has leased 55,606 square feet of retail space in Golden Triangle Mall.

DENTON, TX—DFW’s retail market stability and healthy occupancy improved in part due to strong leasing in existing retail centers, which includes the absorption of large vacancies left in 2018 by Toys “R” Us, and limited new retail construction that is firmly in line with demand, according to a mid-year report by Weitzman. As an example of the former, one of the newest health club chains, Fitness Connection, has leased 55,606 square feet of retail space in Golden Triangle Mall for its first location in Denton. The mall at the northeast corner of Interstate 35E and Loop 288 has been extensively redeveloped by GTM Development Ltd., a limited partnership.

Golden Triangle Mall is Denton’s only mall and features a line-up that includes anchors Macy’s, JCPenney, Dillard’s, Barnes & Noble, H&M and Ross Stores. Food concepts driving traffic to the mall include Taco Cabana, Italia Express, Auntie Anne’s, Le Macaron, El Fenix, Great American Cookies and Corner Bakery Cafe. The mall also features numerous in-line retailers, including popular mall retailers Hibbett Sports, Hot Topic, Buckle, Finish Line, Torrid, Francesca’s, Zumiez, American Eagle Outfitters, Aeropostale, Bath & Body Works and Victoria’s Secret.

“Fitness Connection is a popular, proven fitness concept and we see it as a great addition to Golden Triangle,” said Matt Ludemann, general manager of the mall, tells GlobeSt.com. “Customers today embrace experience-based tenants like fitness, and we expect the fitness concept to offer a benefit for the market and encourage cross-shopping for our stores, services and restaurants.”

Weitzman leases and manages Golden Triangle Mall. Steve Greenwood and Byron Howard with Weitzman handled negotiations in the Fitness Connection lease as exclusive leasing agents for the mall. Susan Ridley and Sherman Hinkebein with the Retail Connection represented the health club.

The 765,000-square-foot center is the anchor of a retail trade area centered on the Interstate 35/Loop 288 corridor that ranks as Denton’s number one retail destination, offering a strong array of national and regional retail traffic draws.

Amenities available to all members at Fitness Connection’s Denton location will include group classes in a group fitness studio, a designated group cycling studio, a turf training area with a functional training rig, full-size basketball courts, men and women’s locker rooms complete with saunas, and a kid’s club with tablets, a mini basketball court and theater.

Dallas-Fort Worth’s retail market marked the mid-year point of 2019 with retail market occupancy of 92.6%, which represents a gain from the healthy 92.4% occupancy recorded at year-end 2018, according to a report by Weitzman. With occupancy expected to remain stable and even increase through year-end 2019, Weitzman forecasts that this year will be DFW’s sixth consecutive year of occupancy above 90%.

The mid-year report is based on Weitzman’s review of a total DFW retail market inventory of approximately 201 million square feet of space in projects with 25,000 square feet or more–the largest retail inventory for any metro area in Texas. By keeping new development on pace with demand and adding little if any speculative space, the market has avoided the overbuilding that marked previous periods of strong retail market performance.