LBA Logistics has acquired a recently delivered industrial building that spans 616,068 square feet in South Dallas — a submarket said to be a hot commodity at the moment.
The price of the asset, Core45 Building 1, was not revealed. JLL represented the seller, Grandview Partners.
The building, which was first built in 2023, sits on 33.6 acres. Materials firm, Owens Corning, leases 48 percent of the property, with over 323,000 square feet remaining vacant. That might seem like less than ideal news at first glance, but JLL calls the buy an "immediate value-add opportunity for the buyer." More specifically, the available space includes spec improvements and, most importantly, the South Dallas area has been "experiencing strong tenant demand," according to the brokerage.
In fact, JLL, in its second quarter report, ranked the entire Dallas-Fort Worth area as the top metro for realized demand. Also, with vacancy declining by 50 basis points year-over-year in the three months through June, JLL expects the trend to continue in the second half, as demand outpaces supply.
"The I-45 corridor has become a magnet for institutional capital and tenants, and Core45 Building 1 demonstrates why," JLL Senior Director Tom Weber said in a statement.
"The property offers best-in-class specifications at a discount to replacement cost, with investment-grade tenancy providing immediate cash flow and significant upside potential through lease-up. The property's proximity to Interstate 45 and Interstate 20 creates unparalleled access for local and national distribution, positioning it perfectly within one of DFW's most sought-after industrial submarkets."
Some other features at Core45 Building 1 include 110 dock doors, 8,180 square feet of office space (about half of which is speculative), drive-in ramps, 306 parking spots and 151 trailer parking spaces.
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