FORT WORTH—Dallas-based CanTex Capital recently acquired atwo-building 124,658-square-foot facility at 4901 N. Beach St. Thefirm has started renovations on the rebranded Beach Industrial Parkproperty, which has space for two tenants of 72,000 square feet and52,658 square feet or one tenant with a mix of office and warehousespace.

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The location of the property is appealing to tenants due to itshighway access, less than one mile from Interstate 35 and Loop 820.It is also 20 minutes from Dallas-Fort Worth International Airport.Two features of the facility, air conditioning and outside storage,are in high demand in this industrial market.

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"We have been looking at acquiring industrial assets in the FortWorth market for the past year and are thrilled that BeachIndustrial Park is our first," said Romit Cheema, CEO of CanTexCapital. "NAI Robert Lynn showed amazing professionalism throughoutthe transaction, so we wanted to continue to work with them tolease the property."

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NAI Robert Lynn Fort Worth president Todd Hubbard brokered thesale on behalf of G&W Ventures and now serves as CanTexCapital's owner representative to identify tenants for thisindustrial asset. "CanTex Capital shows the strength of the FortWorth industrial market, which is in a great position to weatherthis unprecedented pandemic as e-commerce, population growth andonshoring of manufacturing drive the market," Hubbard said. "Weexpect e-commerce to increase by at least 10%, and we've seencompanies already in discussions to move their manufacturing backto the United States and a number of out-of-state manufacturingcompanies looking to relocate to Texas. The affordable housing,business-friendly government and the population growth of FortWorth and Dallas will allow industrial real estate to lead the wayin recovery from COVID-19's economic damage."

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He points out that the convenience of food ordering has gonefrom a luxury to a new norm, causing industrial to thrive. And,Hubbard says COVID-19 has indeed caused some collateral damage butthis pause has resulted in manufacturing companies rethinking howto do business. And, much of that discussion surrounds bringingoperations back to the United States.

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"These companies have more control over operations if they bringthem back to the US. Companies with facilities in Brazil, Hungaryand Europe, at some point want to get facilities back home,"Hubbard tells GlobeSt.com. "The anticipation is that e-commercewill increase to 20% of the total US economy, which will result inthe need for an additional 500 million square feet of industrialspace nationwide. Those numbers could be larger. We are going to bethe first out of this pause because population drives everythingand we have the population to support it."

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As for how the DFW industrial sector will rebound, Hubbardpoints to several indicators of positivity.

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"In April, we were at 85% of normal activity. May was tougherbut still a good month. Due to the 30 day-trickle effect, July andJuly is when we will get back to normal. Industrial and retailactivity has picked back up since the end of May," he tellsGlobeSt.com. "Office is the biggest unknown right now. Perhaps lessspace will be needed because many people have been working fromhome but perhaps more space will be needed due to socialdistancing."

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Lisa Brown

Lisa Brown is an editor for the south and west regions of GlobeSt.com. She has 25-plus years of real estate experience, with a regional PR role at Grubb & Ellis and a national communications position at MMI. Brown also spent 10 years as executive director at NAIOP San Francisco Bay Area chapter, where she led the organization to achieving its first national award honors and recognition on Capitol Hill. She has written extensively on commercial real estate topics and edited numerous pieces on the subject.