As the real estate market continues to thrive, realtors are keeping their eyes open for more vacant spaces. In the latest available buildings, an advertising firm has acquired a property in Deep Ellum.
According to The Dallas Morning News, TRG, a Dallas-based ad agency, obtained more than 100,000 square feet of The Stack office and retail building located at 2700 Commerce Street in the district.
“Landing these marquee office tenants in The Stack while competing against the other urban neighborhoods of Dallas further substantiates Deep Ellum as a highly desirable office location,” said Westdale CEO Joe Beard, one of The Stack’s developers.
Westdale and Hines, the other real estate developer, are able to boast about the success of the 215,000-square-foot project, considering construction began in January 2020, just as COVID-19 surfaced.
In an area that was formerly overpowered by nightclubs, restaurants, and loft-style apartments, The Stack was only the second experimental office building to break ground in Deep Ellum.
TRG will share the 16-story tower with insurance company Bestow, logistics firm Worldwide Express, and Hines.
“There is so much momentum in the district,” said Hines managing director Ben Brewer. “It’s a great place to call home, and it is only getting better.”
As the lease-up of the new Deep Ellum building echoes through the neighborhood just east of downtown, another developer prepares to break ground, and leasing agents race to fill vacant buildings.
Sterling Bay, a Chicago-based developer, plans to begin construction soon on a more than 450,000-square-foot office building at Malcolm X Boulevard and Indiana Street, just across from the Dallas Area Rapid Transit rail station.
Last week, Sterling Bay acquired building permits for the $100 million office space known as The Assembly. The property is designed by Dallas architecture firm HKSÂ and is set to open in late 2024.
“Since mid-January, we have seen improved activity in Deep Ellum,” said commercial property firm CBRE Group’s Dennis Barnes. “This activity includes several smaller tenants and larger prospective prospects, like Worldwide Express and TRG.”
CBRE is marketing sublease office space in the 23-story Epic II tower in Deep Ellum after the transportation firm Uber decreased its operations due to the pandemic.
Another real estate agency, Todd Interests, is nearing completion on its 300 Pearl office building, located across the freeway from Deep Ellum in downtown Dallas. According to real estate brokers, the new structure, which incorporates apartments and stores, is attracting interest from potential tenants.
The sudden demand for space in the area has caused tenants to secure properties quickly and will more than likely prompt the construction of more buildings.
“If this activity holds true, I anticipate there will be conversations for additional development,” said Barnes.
