Crews says Dallas is a safe haven market due to fewer developments and consistent absorption.
DALLAS—Diverse may be the most accurate way to describe the Dallas economy and that diversity extends within the tech industry. According to JLL's US Technology Outlook, Dallas is among the country's top 10 markets for technology patent generation in the areas of IT, telecom and biotech, with established companies such as AT&T and Texas Instruments providing stability, GlobeSt.com learns in this exclusive.
“Dallas is one of the most dynamic job markets in the country, with no single industry dominating the landscape,” Jack Crews, managing director with JLL's capital markets, tells GlobeSt.com. “This also applies to the tech sector where innovation and growth come from brand new startups as well as long-standing firms.”
The combination of tech stability and growth, paired with a comparatively low barrier to entry and low cost of real estate is appealing to a wide array of investors looking to secure a yield premium. For example, basis points yield requirements are 50 to 100 points lower compared to higher cost markets. Furthermore, net leased square footage runs about $30 per square foot while traditional tech hubs may have pricing reach up to $60 per square foot.
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Lisa Brown
Lisa Brown is an editor for the south and west regions of GlobeSt.com. She has 25-plus years of real estate experience, with a regional PR role at Grubb & Ellis and a national communications position at MMI. Brown also spent 10 years as executive director at NAIOP San Francisco Bay Area chapter, where she led the organization to achieving its first national award honors and recognition on Capitol Hill. She has written extensively on commercial real estate topics and edited numerous pieces on the subject.
