An affiliate of KTR Capital Partners, New York, has closed on the acquisition of 600 109th St. in Arlington, Texas, a three-building, 543,000-square-foot project near State Highway 360 in the Lower Great Southwest submarket of Dallas, KTR announced Monday. The transaction’s price was not released.
As of press time, KTR had not responded to a request from Commercial Property Executive for additional information. Online tax-assessment information for 2009, however, indicated that the owner was BHP Sale Builders Hardware Ltd. and that the total value for the buildings and the 26-acre property was about $10.3 million.
“The project offers great functionality and site amenities that meet the operational needs of the tenant base that characterizes the Great Southwest submarket,” Mace McClatchy, vice president of investments for KTR, said in a release. “This acquisition presents a good opportunity to expand our presence in a competitive market at a relatively low basis coupled with an attractive yield.”
This acquisition reportedly brings KTR’s total footprint in metro Dallas to approximately 2.4 million square feet.
Buoyed by job growth well above the national average, metro Dallas’ industrial real estate market has seen asking rents rise for four straight quarters (they averaged $4.23 in the first quarter), a resumption of spec development alongside substantial BTS activity, and steady interest from investors, according to a just-released nationwide industrial report from Marcus & Millichap. The report also predicts a 60-basis-point decline in the Metroplex’s industrial vacancy rate, to 8.1 percent, by year’s end.