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FLOWER MOUND, TX-The Hillwood team is huddling today with a full-building prospect for an under-construction 379,700-sf spec warehouse in the 137-acre Lakeside Trade Center. The structure, which went vertical this week, will be ready to light in October.

“We’ve got a good prospect to take the entire space, but we don’t know when they’re going to make a decision,” Dan Tatsch, senior vice president of Hillwood Investment Properties, tells GlobeSt.com. Should the deal come to fruition, Tatsch says Hillwood is poised to pull the trigger on the last two buildings–334,900 sf and 456,950 sf–in its Lakeside development.

Hillwood held off building Lakeside Trade Center 2 for two years. It bought enough steel for 426,200-sf Lakeside Trade Center 1 and stored the balance on site at the corner of FM 2499 and Enterprise Drive. “We weighed the pros and cons and decided it made sense to spend the money to avoid spending more down the road,” Tatsch says.

As a result, Hillwood is able to quote at the low end of the submarket for its brand-new, cross-dock warehouse. The Lakeside trade area’s newer buildings are going for $3.15 per sf to $3.45 per sf, on average.

Hillwood was one of the first developers to start working the Lakeside district. The sweet spot to dealmaking is it’s peppered with abatements. “It rare to have both city and county abatements and rarer still to have both business personal and real property abatements too,” Tatsch explains. And it’s those perks that have landed co-tenants Best Buy and Maytag in the 600,200-sf Lakeside Trade Center 3 and a national quartet for Lakeside 1, completed last year. Mark Miller and Adam Curran with Robert Lynn Co. in Dallas are marketing Lakeside Trade Center 2.

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