Commercial Real Estate investors target Dallas-Fort Worth area

Commercial Real Estate investors target Dallas-Fort Worth area North Texas has been earmarked for commercial property buyers for 2023. Global Commercial Real Estate Group (CBRE) indicated that the Dallas-Fort Worth (D-FW) area had ranked first in the nation for 2023 real estate investment among the ten largest United States metropolitan areas.

“In prior downcycles, D-FW (Dallas-Fort Worth) has proven to be more resilient than the U.S. due to the business-friendly state government, low cost of living, high quality of life, and economic diversification of the Metroplex,” Danny Baker, a CBRE vice chairman, said in a statement.

According to Colwell Banker Richard Ellis (CBRE), a recent survey concluded that Dallas-Fort Worth, Austin, and Miami are rated as the best markets for 2023: the United States Investor Intentions Survey. According to the most recent survey administered by Morgan Stanley Capital International, north Texas led the nation in total commercial investment in 2022, with more than $42 Billion in transactions. The D-FW area has developed faster than other US metro areas for commercial property buys for the past three years. The most significant part of D-FW’s sales in 2022 were apartment and industrial buildings. These properties are at the top of the buyers’ list for 2023.

“While there is uncertainty at a macro-level, it’s apparent that the apartment sector in D-FW has strong tailwinds and is once again proving resilient. Apartments will continue to be a favored property type for investors,” Baker said.

Real estate activity decreased toward the end of 2022 with the increased interest rates and uncertainty of a possible economic recession which caused investors and lenders to slow down on some of their deals. A fifteen percent nationwide decrease in property investment compared to 2021. More than sixty percent of investors plan to spend less on commercial property in 2023. D-FW was forecast to be one of the nation’s most popular real estate markets for 2023 for investment and development, just behind Nashville. “Ultimately, investor sentiment is largely based on population growth, and D-FW gained more people in the past decade than any other major U.S. metropolitan area,” CBRE executive vice president Ryan Thornton said. “This provides companies with a huge talent pool for both white-collar and blue-collar employees.

“Moreover, D-FW’s central location and pro-business environment are two significant factors driving capital to invest here long term,” he said. “Combine these factors with a lack of corporate and personal income taxes, and it’s easy to see why D-FW has a thriving, diversified economy attractive to investors.”