DALLAS-With a new development fund to tap, First Industrial Realty Trust Inc. and CalSTRS have made their first investment--356 acres in South Dallas. The undertaking will start with a 500,000-sf spec warehouse near Union Pacific Railroad's intermodal yard.
DalPort Business Park is being mapped for six million sf. The submarket's rapid industrial progression into an inland port for rail and road was the decisionmaker for the JV to make South Dallas its first investment, Terry Darrow, senior development officer for First Industrial's Dallas/Fort Worth region, says in this morning's press release. With the submarket pushing full throttle on the development front, the news trails another significant decision by just five days.
The DalPort land was acquired by the Strategic Land and Development Joint Venture, FirstCal 3 LLC. CB Richard Ellis Investors is CalSTRS adviser for the venture. The JV's strategy is to buy and build in markets that "are projected to benefit most from supply chain reconfiguration, international trade, demographic trends and economic expansion," according to the press release
Johannson Yap, the Chicago-based First Industrial's chief investment officer, says the vertical work will be a combination of build-to-suits for corporate clients and spec development. "This land investment is perfectly suited for our Strategic Land and Development venture with CalSTRS due to its ideal location in the key hub market of Dallas," he says.
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