Trammell Crow Co. leases building near Interstate 20.
By Steve Brown
9:00 AM on May 11, 2020
FedEx is expanding its North Texas distribution footprint with a major industrial lease in southern Dallas.
The global package delivery giant is taking a big block of distribution space in developer Trammell Crow Co.’s Cedardale Distribution Center near Interstate 20.
“FedEx Ground has entered into a lease agreement for a new distribution center at Cedardale Road in Dallas that will be more than 750,000 square feet when it is fully operational in November 2020,” FedEx’s Nikki Mendicino said in an email. “The site was chosen because of its ease of access to major highways, proximity to customers’ distribution centers and a strong local community workforce for recruiting employees.
“The new facility is part of a nationwide network expansion to boost daily package volume capacity and further enhance the speed and service capabilities of the FedEx Ground network.”
The FedEx lease is one of the largest recent industrial deals in the I-20 corridor in southern Dallas County.
Dallas Mayor Eric Johnson said he was pleased that FedEx is increasing its Dallas presence, “and I am particularly excited that this distribution facility will open in southern Dallas. This was a wise decision that reflects that, even with the current challenges posed by COVID-19, Dallas remains a vibrant market for any company looking to expand or relocate its operations.”
The new shipping hub is in the first phase of a two-building, more than 1.7 million-square-foot business park developed by Trammell Crow Co. and Morgan Stanley.
The Cedardale Distribution Center was designed by Alliance Architects, and FCL Builders was the general contractor.
Kacy Jones and John Hendricks of CBRE marketed the business park to tenants.
“We are excited to have FedEx Ground lease our Cedardale Distribution Center,” Crow Co.’s Jake Marks said. “Their decision to increase their presence in southern Dallas County is further evidence of the incredible increase of Fortune 500 companies that have chosen the I-20 corridor over the past 10 years due to its superior logistics infrastructure.”
Expansions by companies like FedEx, e-commerce firms and consumer products companies have made Dallas-Fort Worth the top industrial building market in the country.
During the first quarter, net warehouse leasing in the area totaled more than 6.1 million square feet, according to commercial real estate firm CBRE. And almost 24 million square feet of new industrial space was under construction.
Editor’s note: Revised Monday afternoon to add the mayor’s statement.