Two Phases Get Underway at Perot’s DFW Park 161
DFW Park 161 is a joint venture between Invesco Real Estate, the real estate investment business of Invesco Ltd., and Perot Development Company, with First United Bank providing financing support.
IRVING, TX—Invesco Real Estate and Perot Development Company have broken ground on the first development phase for a massive logistics center project, DFW Park 161, which will eventually total more than 2.4 million square feet on 196 acres at the east end of the DFW International Airport. The site fronts the President George Bush Turnpike/State Highway 161, adjoins the DART Orange Line and is directly across the freeway from the DART Belt Line station.
Phase one of the project will encompass three global e-commerce hubs known as Logistics Centers IX, X and XI, totaling more than 1 million square feet and developed on a speculative basis due to expected strong marketplace interest. Phase two of the project will be a future build-to-suit e-commerce hub, Logistics Center VIII, potentially exceeding 1.4 million square feet in size.
DFW Park 161 is a joint venture between Invesco Real Estate, the global real estate investment business of Invesco Ltd., and Perot Development Company, with First United Bank providing financing support. Halff Associates is serving as the project architect and civil engineer, and Peinado Construction is the general contractor.
“With DFW Park 161, one of North Texas’ few remaining centrally located in-fill sites for a major global e-commerce hub, we will further build on Perot Development’s legacy of creating state-of-the-art logistics centers that directly support the region’s prime economic engine, DFW International Airport,” said Pat Perot, Perot Development CEO. “We expect the project to see strong demand due to the need for logistics facilities that can amply serve North Texas’ dynamic population growth and robust international trade sector.”
The three phase one buildings are expected to be available for lease by early 2021 and will provide all of the key elements tenants require for office, showroom and distribution facilities. Each facility offers a location convenient not only to the airport and the President George Bush Turnpike, but also to other key transportation thoroughfares such as Interstate 635, Interstate 35, State Highway 114 and State Highway 121.
Logistics Center IX (3150 State Highway 161) will be a 646,190-square-foot facility located on 50.38 acres with a minimum 36-foot clear height, 136 dock doors, 171 trailer storage positions and 388 parking spaces–plus a future additional 74 trailer storage positions.
Logistics Center X (3000 State Highway 161) will be a 156,625-square-foot facility located on 15.83 acres with a minimum 32-foot clear height, 35 dock doors and 164 parking spaces–plus a future additional 72 trailer storage positions.
Logistics Center XI (3050 State Highway 161) will be a 247,265-square-foot facility on 28.11 acres with a minimum 32-foot clear height, 60 dock doors, 54 trailer storage positions and 306 parking spaces.
All of the DFW Park 161 buildings will incorporate the latest design and technology to maximize the project size and functionality, and offer key features and benefits such as central DFW metro location for easy access to showrooms, efficient customer pick-up and deliveries; convenient access to labor; and access via two freeway exits–Gateway Drive and Belt Line Road off the Bush Turnpike.
“We really like the location. You just can’t beat it,” Perot tells GlobeSt.com. “It’s a good location for e-commerce users and has a good employment base.”
Other advantages are the Triple Freeport inventory tax exemption available in Dallas County, Carrollton/Farmers Branch ISD and the city of Irving (via city council approval); foreign trade zone benefits; and proximity to FedEx and UPS regional hubs, USPS bulk mail center, air cargo areas and major freight forwarders at the DFW airport.
“We will be targeting similar tenants to Logistics Centers I, II and III,” Perot tells GlobeSt.com. “For these larger spaces, we’ll be targeting e-commerce. At 650,000 square feet and cross dock, Logistics Center IX will target larger tenants. For the rear load X and XI, the space can be broken up in 50,000-square-foot increments. That’s easier to lease because we’re targeting different users.”
Kurt Griffin and Nathan Orbin, co-leads for Cushman & Wakefield’s industrial agency leasing team in Dallas-Fort Worth, are the project’s designated leasing brokers.
Including the facilities to be built in DFW Park 161, Perot Development will soon have developed an impressive total of 5.1 million square feet in global e-commerce hubs at the airport during a seven-year period. Perot Development’s previously developed global e-commerce hubs at DFW International Airport include:
Logistics Center I (completed in 2014, now an Amazon Fulfillment Center): 1.053 million square feet on 60.18 acres in Coppell, TX. Logistics Center II (completed in 2015, now an Amazon Fulfillment Center): 1.041 million square feet on 60.47 acres in Coppell, TX. Logistics Center III (completed in 2016, now leased to Siemens): 119,976 square feet on 9.5 acres in Irving, TX. Logistics Center IV (completed in 2016, now leased to Coca-Cola): 143,950 square feet on 8.84 acres in Irving, TX. Logistics Center V (completed in 2016 with Aramark Refreshments now the major tenant): 116,072 square feet on 8.95 acres in Irving, TX. Logistics Center VI (completed in 2018 and now available for lease): 67,500 square feet on 5 acres in Irving, TX. Logistics Center VII (completed in 2018 and now available for lease): 74,375 square feet on 5.26 acres in Irving, TX.
Perot Development also previously developed other facilities at DFW International Airport such as Aviall Services Inc.’s headquarters and global distribution center totaling 280,000 square feet, Dallas Airmotive’s jet engine repair and testing facilities totaling 228,000 square feet and the 404,500-square-foot warehouse and distribution center known as DFW International Commerce Park I.
The DFW industrial development boom shows no signs of stopping, with 28.2 million square feet of space delivered during 2019 and an additional 31.6 million square feet in the pipeline. Despite 20 million square feet delivered annually during the past several years, vacancies remained at 5.4% at year end due to strong demand for speculative projects and a few major build-to-suits that delivered, according to Avison Young’s fourth quarter 2019 industrial report.