$30M-Plus Auction Yard Fueling More CRE Plans

[IMGCAP(1)]HUTCHINS, TX-With the final details now ironed out, the Allen Group Tuesday will break ground on its first build-to-suit in the 6,000-acre Dallas Logistics Hub in the southern sector. The milestone deal with Adesa Inc. for a 200,000-sf auto auction complex is opening doors for additional commercial space to support the multi-modal industrial hub.

“This is a very unique use. It doesn’t interact or feed off the intermodal facility or the rail lines. It’s a destination for car dealers,” says Daniel J. McAuliffe, president of Allen Development Texas LLC, “and it creates a tremendous need for hotels in the area.” Likewise, Adesa’s 175-acre tract at 3501 Lancaster-Hutchins Rd., secured by a 20-year lease with options, is expected to be a catalyst for brand-new retail and restaurant development in the corridor.

The San Diego-based Allen Group has peppered Dallas Logistics Hub’s master plan with eight hotels at two entrances to its land. McAuliffe tells GlobeSt.com that the hope is at least one hotel will be under construction at the eastern end when Adesa’s complex comes on line in July 2009 and $8 million of road and utility line infrastructure is finished.