251 replies to this topic

[Austin55]

Things that stood out from the SoDT:

 

-DTFW has the lowest office vacancy of any comparable DFW area market, 11% of all office and 14% of Class A. Downtown Dallas is at 29% and 31% respectively. (Pages 16-17)

-DTFW Class A office space is now more expensive than Downtown Dallas (Page 18)

-DTFW employee visits by day are still well below 2019's pre-covid numbers. (Pagge 23)

 

-Residential rent growths are -5%, below DFW (-1%) and National (+1%) trends. Good news for renters, bad news for new development. Those rates have been falling since q2 2022. (Page 9)

-Residential vacany rates seem be a tad higher than US/DFW but healthy at 10% and stable for the last few quarters. (page 8)

-Downtown's population should soon surpass 10,000 residents, as it is currently at 9,914. (Page 25)

-Owning a townhome downtown requires a lot of cash. 72$ of townhome residents had an income over $250,000 (Page 29)

-About 95% of residents consider downtown clean or very clean, 5% say unclean. (Page 31)

 

 

-Hotel rates all seem solid. (Pages 10-11)

-Total TABC reciepts in 2023 were below 2019 levels, still recovering from Covid. (Page 43)

-Except in January and Feburuary, 2023 saw fewer downtown visitors than 2023. (Page 42)

 

 

 

From the development side, I noticed that the 1,000 Weatherford project by AHS/Resia seems to not be mentioned in either document. 

[hannerhan]

Things that stood out from the SoDT:

 

-DTFW has the lowest office vacancy of any comparable DFW area market, 11% of all office and 14% of Class A. Downtown Dallas is at 29% and 31% respectively. (Pages 16-17)

-DTFW Class A office space is now more expensive than Downtown Dallas (Page 18)

-DTFW employee visits by day are still well below 2019's pre-covid numbers. (Pagge 23)

 

 

It's going to be very interesting to watch these numbers over the next decade. I have heard from multiple sources that JPM is moving their private banking operations to W. 7th area as soon as one of the new buildings is done (either Crescent #2 or the Goldenrod development across from the Modern). That's a pretty important "hit" to downtown given their prominence in Fort Worth.

 

The DTFW vs. DTD office rent thing is mostly a function of the fact that Uptown Dallas has sucked all the air out of the room when it comes to high-end office renters in Dallas. We're starting to see signs that this same effect is going to occur in Fort Worth.

 

And the last thing you mention "employee visits" is a leading indicator, predicting the above. I think the downtown office environment is in a precarious situation. Thankfully, hotel/education news has been really good.