On August 11th, Houston’s growth as an industrial player received national attention once again. Coming in at $1.93 billion in transactions, the city of Houston is the third-largest industrial real estate market in the country.
The report also notes that Dallas came in at 5th with $1.8 billion in sales, meaning Texas has had a combined $3.73 billion in revenue from industrial real estate transactions.
Digging deeper into the numbers
Houston’s 3rd place comes from the completion of an 850,000 square foot fulfillment center announced in 2020. This facility represents one of the most significant recent investments in Houston’s infrastructure and is forecasted to create 1,000 new jobs.
However, as large as it is and as important as it is, one facility does not make up the entirety of the industrial sales in Houston. It serves as a data point indicating the ever-increasing importance of Houston as an industrial hub.
How necessary is proximity in 2021?
While the world has changed significantly in the last year, proximity to industrial innovation is still important for companies. With general access to similar resources the communal opportunities for growth are unavoidable. No matter the ease of running a global office, in-person, local meetings will always have some value.
Furthermore, companies seeking to gain a foothold in the US are attracted to stellar industrial markers such as these. This level of industrial success is the kind that breeds more.
The vital piece of every deal
What often goes un-noted in any discussion of commercial and industrial real estate dealings is the background work entailing complex legal negotiations. Transactional law may not be flashy, but without partners that have a deep understanding of Texas real estate law, such deals as the Amazon fulfillment center would never get accomplished.