Dallas/ Fort Worth’s retail market is currently reporting an occupancy rate of approximately 91 %, its highest occupancy since 2004.
Five key things to know about this dynamic market are:
1. D/FW, with more than 190 million square feet serving one of the fastest-growing markets in the country, ranks at or near the top nationally in terms of job growth, population growth, apartment and office construction and overall economic activity.
2. In terms of construction, grocery stores dominate new projects. For 2015, Kroger Marketplace, the grocer’s 123,000-square-foot concept, is the most active traditional grocer with five new locations opening in 2015 and at least two store expansions.
3. D/FW is also seeing a number of new and expanded mixed-use projects in 2015. Park Lane in North Dallas expanded with new retail space for retailers including a Forever 21 concept called F21 red and the first J. Crew Factory store in Dallas. New mixed-use project West Plano Village opens this year with AMLI apartments, street level retail and restaurant space and second-level office space. Restaurant and retail space is for concepts such as Kona Grill, Princi Italia, AT&T flagship and others.
4. During 2014, the market only added 2 million square feet of new space, a blip on a 190-million-square-foot inventory. For 2015, D/FW is on track to add at least 3 million square feet, still a relatively restrained total but one that would rank as the highest construction level in seven years. New space is being added by Kroger, WinCo Foods, Whole Foods Market, Walmart, Target, Fresh Market, Cinemark, Trader Joe’s and others.
5. We can’t talk about construction without highlighting the massive 560,000-square-foot Nebraska Furniture Mart, which opened earlier this year and which is prompting area development, including a new Best Buy-anchored center now under construction. In other words, Nebraska Furniture Mart is the anchor creating what is basically a new retail district, almost overnight.
[The Weitzman Group]