With the strong demand for industrial real estate continuing through 2021, little surprise to see continued sales and new development continues.
Hillwood on Oct. 13 announced it will break ground on two new industrial speculative buildings totaling nearly 1 million square feet. Alliance Center North 8 will total 441,720 square feet, and Alliance Center North 9 will add 493,920 square feet of modern, Class A logistics distribution space to AllianceTexas. Hillwood will start construction in December 2021, with scheduled completion in 3Q2022.
Offering additional opportunities for Hillwood’s ecommerce, logistics and manufacturing customers, Alliance Center North 8 and Alliance Center North 9 provide flexible design options for either single or multi-tenant configurations to meet a wide range of customer needs. Located at the southeast corner of North Beach Street and Litsey Road in Denton County, both facilities benefit from direct access to Interstate 35W, via Litsey Road, and the full Eagle Parkway/I-35W interchange, via North Beach Street.
“In 2021, AllianceTexas has continued to experience unprecedented growth, with Hillwood completing over 3 million square feet of leases and starting construction on over 1.2 million square feet of new industrial projects,” said Reid Goetz, senior vice president of Hillwood. “The decision to launch Alliance Center North 8 and 9 on a speculative basis is reflective of Hillwood’s ongoing strategy to have ready-to-occupy space available in order to meet the needs of new and existing customers seeking to benefit from the immense operational value provided by the AllianceTexas platform.”
Designed with the intent to provide superior onsite circulation with multiple access drives allowing the full separation of onsite car and truck traffic, Alliance Center North 8 offers 140 car parking spaces (expandable to 260) with 116 trailer parking spaces, and Alliance Center North 9 provides 150 car parking spaces with 221 trailer parking spaces. Each building includes 36-foot minimum clear heights, 420-foot building depths and cross-dock configurations with 185-foot-deep truck courts. Speculative tenant improvements, including main office space, LED warehouse lighting, warehouse power and dock door packages, will be constructed within the shell building, allowing a customer to immediately occupy and operate upon building completion.
Both speculative buildings will benefit from AllianceTexas’ transportation infrastructure platform, which includes the AllianceTexas Mobility Innovation Zone (MIZ), Fort Worth Alliance Airport and BNSF Railway’s Alliance Intermodal Facility. The buildings are in close proximity to AllianceTexas’ ecommerce network amenities: The Alliance FedEx Ground Hub, two UPS Ground Sort Hubs, the FedEx Express Southwest Regional Air Hub and Amazon Air Regional Hub.
According to a report on the DFW industrial market for 3Q 2021 from Transwestern, rent growth is driving asset prices higher as investor interest in DFW industrial properties remains strong.
The report notes that the logistics and manufacturing sector are sending positive signals for space demand in the near future.