Dallas, TX Office Overview
The Dallas City Center, Uptown, and West End submarkets rank among Dallas’ densest office subdivisions. With a metropolitan population of over 4.7 million people the economy is thriving, and the Dallas TX commercial real estate market is continually expanding due to the strong office demand from the defense, financial, and both traditional & high-technology industries.
As of mid-2017, the Greater Dallas office market encompasses nearly 103 million square feet of existing office space in properties larger than 50,000 square feet. Due to the city's solid industrial and financial base, and its position as a major inland port, the office market in Dallas continues to see robust demand.
Dallas, TX Office Inventory Description
Dallas is the largest economic center in the 12-county Dallas–Fort Worth metropolitan area, and generates over $504 billion of gross metropolitan product each year, much of it through white-collar and head office employment. Over 51% of the office space in Dallas is Class A, while Class B properties account for nearly 48% of Dallas' office inventory.
The City Center–Arts District in Dallas is one of the densest areas for Class A office space in the City. Bordered by State Route 366, Interstate 345 and Commerce Street, the area is home to prestigious office buildings such as 2100 Ross, Republic Center, and Pacific Place. Businesses such as AT&T, Comerica, and Tenet Healthcare are all headquartered in the Dallas City Center Business District.
Dallas, TX Commercial Inventory Breakdown
Total: 136,123,625 SF
By square footage range:
- 50k to 100k SF: 11,733,593 SF / 8.62% of total office
- 100k to 500k SF: 78,880,089 SF / 57.95% of total office
- 500k to 1M SF: 19,894,132 SF / 14.61% of total office
- > 1M SF: 25,615,811 SF / 18.82% of total office
- Class A+: 13,833,881 SF / 10.16% of total office
- Class A: 59,178,165 SF / 43.47% of total office
- Class B: 51,379,088 SF / 37.74% of total office
- Class C: 2,272,949 SF / 1.67% of total office
Dallas, TX Green Office Space
Of the Top 30 Green Office Markets in the U.S., Dallas ranks #17 for energy efficient office buildings. While just over 3% of the office buildings larger than 50,000 square feet are LEED certified, over 10% rank as Energy Star Certified and over 12% are recognized as green buildings.
A new study by the North Texas U.S. Green Building Council Chapter has found that green construction is a major economic driver in the state. As both tenants and investors seek out green certified assets for their portfolios, the green office trend continues to accelerate.
The 2017 National Green Building Adoption Index looked at commercial office properties in 30 major U.S. markets and found that, including EPA Energy Star-labeled buildings, the percentage of green certification has increased from under 5% in 2005 to 38% as of mid-2017. Dallas has placed 17th on this survey.
Dallas, TX’s Top Office-Using Sectors
Major demand for Class A office space in Dallas comes from the energy, technology, financial services, and the aerospace & defense industries. Some of the largest publicly traded companies in Dallas include Dean Foods, Southwest Airlines, Affiliated Computer Services, and Energy Transfer Equity.
- Energy – Due to the city's location in the oil-rich Permian Basin the energy industry makes a major contribution to the economy in the metro area and also results in significant demand for Class A office space in Dallas. Energy, manufacturing and distribution companies such as ExxonMobil, Jacobs Engineering, and Pioneer Natural Resources are all located here.
- Technology – Both traditional and high-tech companies are located in the Dallas metroplex including AT&T, Texas Instruments, and Fluor Engineering.
- Financial Services – With Dallas being at the heart of the energy industry financial services businesses make up a key component of the demand for office space in Dallas, with companies such as Energy Future Holdings and GE Capital located here.
- Aerospace & Defense – American Airlines, Southwest Airlines, and the Celanese Corporation are all located in Dallas and drive the demand for Class A office space in Dallas.
- Total Population1,300,122
- Male Population(49.6 %) 644,344
- Female Population(50.4 %) 655,778
- Median Age32.50
- Average Household Income$78,925
- Median Household Income$47,285
- Median Income Under 25$32,969
- Median Income 25-44$50,022
- Median Income 45-64$51,856
- Median Income Over 65$38,778
2019 US Office Pipeline – NYC, the Bay Area and San Francisco Set to Deliver 33 MSF of Office Space
April 10, 2019
Since 2009, the U.S. economy has had more than 110 consecutive months of growth, making this the second longest economic expansion since the Great Depression. After a rather tepid 2017 performance, the U.S. office market gathered some steam in 2018, adding 76 million square feet of new office sp...
The U.S. industrial real estate market had a solid year in 2018 and has continued to strengthen through the first quarter of 2019. Industrial rents are on an upward path, while the construction pipeline is robust and development is spurred on by the e-commerce sector. In terms of development, 20...
Top 50 US Office Sales Of 2018: Google Sees Bicoastal Growth
February 21, 2019
$24 billion worth of assets changed hands in the top 50 biggest office deals to close in 2018. Google, Disney, Samsung mingled with established top CRE players. Check out the full list and read up on last year’s most notable U.S. office investments.