The Midwest-based firm has relocated to 4940 N. Merrifield Rd., Dallas, from Grand Prairie, leasing 20% of an owner-occupied building in the Red Bird/ Airport Industrial Park submarket. The vacancy was on the market a mere two months.
“It’s hard to find brand-new dead storage space in that size range in any submarket of Dallas/Fort Worth. We had a lot of interest in this vacancy,” says Jason Finch, broker associate of Dallas-based Bradford Commercial Real Estate Services. He and Michael W. Spain, executive vice president and managing partner, represented the landlord, HPA Real Estate LP.
Key to the signing was the lease term, which was two years – no more, no less. The landlord’s affiliate, Desch Service Center USA LP, occupies 80% of the 54,600-sf building and has dibs on the space for future expansion.
“Dead-storage space typically is leased month-to-month or up to six months. A two-year term is not a typical lease for this category,” Finch explains. “I expected lease-up would have taken longer than it did.”
Not only did the short term suit Millennium’s needs, but so did the landlord’s plan to keep the space in shell condition. Elizabeth Jones and Chris Stout of JLL represented the tenant in the lease negotiations.
The class A business park project, featuring a 32-foot clear height, was completed in 2018. HPA purchased the tilt-wall building shortly after it delivered for Desch, an electronic equipment repair service for the oil and gas industry.
“The dealmakers were the flexible lease term, clear height and the extremely clean condition,” Finch adds.
Bradford Commercial Real Estate Services/CORFAC International is a full-service real estate company based in Dallas with an annual transactions volume exceeding five million square feet. The company manages and leases more than 20 million square feet, valued at $300 million, in North Texas for its strategic partners.