Nippon Clears Six-Year, 80,000-SF Lease

DALLAS-At week’s end, Nippon Express USA will begin an early move-in to 80,000 sf in an expansion of its regional distribution center. The six-year lease has landed in the Foreign Trade Zone at Dallas/Fort Worth International Airport.

Noel Hutcheson with Cushman & Wakefield of Texas Inc. tells GlobeSt.com that the stair-step lease was packaged so the relocation could start and be done before the Feb. 1 kick-in date for the new pact at 1100 28th Ave., a 227,200-sf distribution center owned by New York City-based ING Clarion Partners. Nippon will add 15,000 sf with the move from 8065 Tristar Dr. in Irving.

Hutcheson says a couple dozen buildings met the requirement before the short list was pared to “two or three.” He says the winning deal is a turnkey package with a fully overhauled 6,000-sf office and minor upgrades to the second-generation warehouse space. “We did get a tremendous deal,” he says, citing the search was confined to in and around the airport. “Total occupancy costs were very competitive.” According to NTCAR Data Exchange, total expense costs for the space is 45 cents per sf. C&W’s latest market report pegs the weighted average industrial rate in the airport area at $3.35 per sf.