DALLAS-Out-sourcing all of its leasing for the first time in Dallas/Fort Worth, Industrial Properties Corp. has put a 1.8-million-sf portfolio into the hands of the Robert Lynn Co. The hotly pursued assignment is an 87%-leased mix of 21 buildings, with the heaviest concentration in north and northwestern Dallas.
Gregg Hamill of Industrial Properties Corp. will continue to manage the portfolio of buildings, ranging from 10,000 sf to 150,000 sf while turning over the day-to-day leasing reins to a seven-member team led by Robert Lynn principal Mark Miller. “For us, it’s an ideal assignment, right in the middle of our bull’s eye,” Miller tells GlobeSt.com. “There’s a reasonable amount of vacancy, but not a tremendous amount. It’s all very good product and very leasable product.”
Adam Curran, an associate with Dallas-based Robert Lynn, says the portfolio’s largest open block is 66,240 sf and the smallest, 3,700 sf. The assignment’s sweet spot is most deals today are less than 40,000 sf due to the prevailing economic climate. “Filling vacancies in an overall sluggish economy will be challenging, but they’re great spaces and they show well so hopefully there won’t be a long down time,” he says. The industrial mix ranges from $3.75 per sf to $6.50 per sf.
Miller and Curran will oversee four buildings in Garden Brook and North Dallas. Curran also will team with Tyson Erwin to lease six buildings in Valwood Industrial Park. Rick Medinis and Erwin will partner on the North Dallas/Fort Worth Airport submarket while Jim Svidron will handle buildings along Shady Trail and the Stemmons Freeway submarkets. Craig Jones and Matt Elliott are teaming on the South Dallas buildings.
“Obviously, there’s some work to it,” Miller says. And, he adds that a few buildings might be upgraded, but there’s no major work to be done.
Curran says the team is just now evaluating the lease roll. Some smaller vacancies have been open awhile, he adds. “It’s looking pretty good. There is good activity on the original vacancies and we’re working a few renewals,” Curran says, pointing out the assignment includes build-to-suit land in Valwood and the Texas 121 corridor.
The property roster includes a 103,826-sf office/warehouse at 1520 Selene Dr., a 2006 completion and one of the newest in the portfolio. Industrial Properties, now an affiliate of Norwalk, CT-based GE Real Estate, has spent nearly four decades developing and acquiring the mix of buildings.
“It was pretty competitive,” Curran says about the final face-off for the assignment. “But, what helped us win the business was our on the ground market expertise and our longstanding relationship with Industrial Properties.”