DRA Advisors Buys Dallas Industrial Portfolio

Real Estate
The portfolio also includes 2700 Summit Ave. and 2701 E. Plano Parkway. Image courtesy of Cushman & Wakefield

DRA Advisors has purchased an eight-building, 846,261-square-foot infill industrial portfolio in Plano, Texas. New York Life provided $79 million in acquisition financing, public records show.

Link Logistics sold the Metroplex properties, according to CommercialEdge information, in a transaction arranged by Cushman & Wakefield.

At the time of the sale, the portfolio was fully leased to 15 firms, their tenure averaging 10 years. Tenants include Samsung, Unicom Engineering and Beckett, to name a few.

READ ALSO: How Will the Manufacturing Investment Boom Impact Industrial CRE?

The eight buildings and respective square footages are as follows:

  • 3601 E. Plano Parkway, 210,560 square feet
  • 3101 Summit Ave., 140,593 square feet
  • 2700 Summit Ave., 120,276 square feet
  • 1100 Klein Road, 104,104 square feet
  • 3501 E. Plano Parkway, 82,880 square feet
  • 3301 E. Plano Parkway, 70,880 square feet
  • 2801 E. Plano Parkway, 65,135 square feet
  • 2701 E. Plano Parkway, 53,833 square feet

Completed between 1997 and 2000, the facilities have clear heights ranging from 19 to 28 feet. The buildings are some 3 miles northeast of President Bush Turnpike and west of U.S. Route 75. Downtown Dallas is some 20 miles southwest.

Cushman & Wakefield Vice Chair James Carpenter, Executive Managing Director Jud Clements and Analyst Trevor Berry, alongside Directors Robby Rieke and Madeleine Supplee, represented Link Logistics.

DRA’s drive for industrial assets

In February, DRA Advisors closed its 11th Growth and Income Fund at nearly $2.3 billion—the largest to date. The investment vehicle targets value-add opportunities in the industrial, retail, multifamily, office and life sciences sectors.

One month prior, the company entered a joint venture with Rising Realty Partners for the purchase a six-building, 531,000-square-foot industrial portfolio in California’s Central Valley.

Last year, DRA joined forces with George Urban Advisors and Five Horizons Partners to acquire a seven-property, 851,131-square-foot industrial portfolio in Southern California. Link Logistics sold that collection as well, for $263 million.

DRA’s funds currently own 598 properties across 39 states. Of the total, 423 assets amounting to more than 60 million square feet are industrial facilities.

Dallas-Fort Worth’s industrial upswing

Year-to-date through April, investors closed more than $1 billion in industrial transactions across the Metroplex, marking it as one of the most active markets, according to a CommercialEdge report. The metro was surpassed only by Los Angeles ($1.4 billion) and the Bay Area ($2.2 billion).

Dallas-Fort Worth’s vacancy rate clocked in at 3.9 percent in April, well below the national average of 5.2 percent. Meanwhile, the Metroplex’s rent growth year-over-year landed at 6.7 percent, 70 basis points less than the U.S. average.

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