Dallas Fort-Worth industrial market report

Q4 2024

Dallas-Fort Woth continues as a premier U.S. logistics hub that serves a large part of the country due to its affordability, central location, and access to roads, rail, and air. While the market may look out of balance due to higher than normal vacancy, demand remains strong. Vacancy increased mostly due to a lease-up lag of the newest deliveries. With demand still well above trend, the pipeline slowdown should help the market regain a more normal balance into 2025.
39.2 msf

Industrial development is still above trend but has slowed down

Development has slowed notably in the last year. While still higher than trend, this decline should allow vacancy to tighten in 2025

24.0 msf

Absorption remains well above pre-boom annual average

While off its peak, demand is sustainably strong. It may take over a year for vacancy to improve closer to DFW’s 8-9% long-term trend.

$7.70 psf

Rent increases are beginning to stabilize

Affordability is key to DFW’s success as a logistics hub. Rent plateaued in 2024, keeping it an affordable U.S. option.

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