Cowboys owner Jerry Jones is getting acquainted with the national real estate market, having quietly founded a commercial real estate brokerage company in June, according to real estate news website Bisnow. Jones’ new company predictably includes the ubiquitous “blue star” in its name – Blue Star Commercial Real Estate LLC. He has hired several former Swearingen Realty Group executives to lead the privately held brokerage firm, Bisnow reported. Former Swearingen Senior VP Rob Wolfle was brought on as president of Blue Star Commercial Real Estate, according to his LinkedIn profile. Wolfle was with Dallas-based Swearingen for nearly 16 years before joining Jones’ new firm. The Dallas Morning News has reached out to Wolfle for comment about the new role and company. The firm is focused on representing investors in capital markets deals “across the nation,” according to Bisnow, which cites conversations with Blue Star Commercial Real Estate Executive VP Tom Brosseau. Click to read more at www.dallasnews.com.
In the last decade, Dallas-Fort Worth has been transformed by big relocations, renovations, and new developments that span all sectors and submarkets. Standing out in a market this deep and wide—and active—isn’t easy. But in 2019, several deals and projects generated more headlines than others. We analyzed traffic on our D CEO Real Estate site and asked market experts to weigh in on the topic. Here are the stories we believe rank as the most noteworthy of the year.
Uber’s Deep Ellum Hub
A decision by Uber Technologies to house its sizeable Dallas base in The Epic II has put Deep Ellum on the map as a modern office submarket with an abundance of walkable amenities. The rideshare giant will occupy the entire 471,000-square-foot building, developed by Westdale Real Estate Investment and Management, when the tower opens in 2022. Westdale CEO Joe Beard says the mixed-use project and Uber’s arrival will help tranform Deep Ellum into a 24/7 neighborhood, versus a weekend and nightlife destination. Click to read more at www.dmagazine.com.
The North Central Texas land market has seen no significant influence modifying its prior three years of sales and absorption activity, with the exception of increasing values and scarcity of inventory in most developable submarkets. In reviewing last year’s North Texas Land Absorption report, only a few minor observations have changed. For many years, our Investments/Land Group, a division of Younger Partners, has produced a report designed to assist investors in deciding the viability of acquiring for investment undeveloped land for medium and long-term positive returns. Since our 2018 report was distributed, DFW has experienced continued active growth in virtually every commercial and residential product type. Transaction volume held steady for both user and investment product. Absorption of developed, undeveloped (land without access to infrastructure permitting immediate use), and underutilized land progressed at a comparable rate to 2018. Click to read more at www.dmagazine.com.
North Texas was at the top of the shopping list for commercial property buyers in 2019.
With days left before the end of the year, investors are scrambling to get deals closed and figure out where the Dallas-Fort Worth real estate market is headed in 2020. So far this year, the D-FW area has seen close to $20 billion in commercial property sales, and more transactions are set to finish in the final weeks of 2019. “If you look at the top sales year-to-date in major markets, Manhattan is number one total commercial real estate sales, Los Angeles is number two, San Francisco is number three and Dallas is number four,” said Ted Jones, chief economist with Stewart Title. “Dallas is a phenomenal market.” The biggest North Texas commercial property buy so far in 2019 was the $584 million sale of energy firm Pioneer Natural Resources’ new headquarters in Irving. The office campus was acquired by a partnership of domestic and international investors. And with a sales price of about $700 per square foot, downtown Dallas’ new 1900 Pearl office tower set a new office price record for D-FW. The Arts District high-rise was bought by the State Teachers Retirement System of Ohio for $180 million. Click to read more at www.dallasnews.com.
The National Association of Realtors listed Dallas-Fort Worth as one of the nation’s top real estate market expected to outperform in the next three to five years. In a newly released report, the trade association identified the top ten metro areas showing signs of continued strong growth. DFW distinguishes itself as the only Texas market on the list. “Some markets are clearly positioned for exceptional longer-term performance due to their relative housing affordability combined with solid local economic expansion,” said NAR’s chief economist Lawrence Yun. “Drawing new residents from other states will also further stimulate housing demand in these markets, but this will create upward price pressures as well, especially if demand is not met by increasing supply.”In the last few years, DFW welcomed more than 1.09 million people, included in the total population of more than 7.5 million. The highest number – 15,332 – of recent movers came from the Houston metro area, according to the report. DFW had the highest concentration of in-migration compared to the other nine metros in the report. NAR crunched figures from the Bureau of Employment Statistics and American Community Survey of the 100 largest U.S. metro areas, and compared it housing factors such as affordability, job growth, population age structure, home price appreciation, among other variables to formulate the report. Click to read more at www.fortworthbusiness.com.
One of Dallas’ first Opportunity Zone developments will be a new self-storage center west of downtown Dallas. Central Southwest Texas Development LLC is building the project on Lone Star Drive near Interstate 30 in West Dallas. The 141,950-square-foot self-storage center will be on a 2.4-acre site that is in one of the more than a dozen federally designated Dallas Opportunity Zones that qualify for special tax breaks. New businesses and investments in the targeted census tracts get deferred capital gains and other beneficial tax treatment. Click to read more at www.dallasnews.com.