Dalfen Industrial nabs pair of properties in Florida expansion
By Joshua Andino, Costar News
Dalfen Industrial, one of the country’s largest owners of industrial real estate, is doubling down on the demand for midsize warehouses in Florida as space for smaller tenants remains tight across Tampa and Orlando.
The Dallas-based company acquired two fully leased warehouses totaling 67,420 square feet in Tampa and Orlando in off-market deals for about $12.8 million. Dalfen plans to significantly expand its presence this year in Florida where vacancy rates are lower than the
national average, said Tyler McElroy, Dalfen’s market officer, in an email to CoStar News.
“Florida continues to be a focus for Dalfen Industrial given limited availability of land to generate new supply and demand staying strong,” McElroy said. “We continue to see strong rental rate growth across our Florida portfolio and are looking to continue to grow our portfolio throughout the state.”
The properties include a 35,100-square-foot warehouse in Orlando Central Park at 6305 Chancellor Drive, and the 32,320-square-foot property at Pinebrooke Business Park at 1402 Tech Blvd. in Tampa.
The acquisitions are the latest in Dalfen’s focus on supply-constrained markets with “strong demand” for industrial spaces between 20,000 square feet and 50,000 square feet, the company said in a statement.
The Orlando Central Park property is located just over two miles from Interstate 4 and just seven miles from Orlando International Airport, a major logistics center.
In Tampa, Pinebrooke Business Park is situated a mile from Interstate 75, with nearby access to I-4 and the Selmon Expressway, which offers a connection to CSX’s Tampa Intermodal Terminal and Port Tampa Bay, another major logistics hub.
Nationally, small and midsize industrial properties remain scarce, leaving few options for tenants and rising rental rates for owners. The same holds true in Florida, where industrial developers have focused on building larger warehouses along the I-4 corridor between Orlando and Tampa.
Dalfen has been steadily expanding its national portfolio, totaling more than 50 million square feet, with recent acquisitions in New Jersey and Arizona. Elsewhere in Florida, Dalfen secured its first tenant at a newly opened logistics center in Miami-Dade County in
November.
For the record
Colliers’ industrial capital markets team, including Ryan Vaught, Jimmy Ullrich, Robyn Hurrell, Mike Macchia and Riley Vaught, sourced the deals for the warehouses Dalfen bought in Orlando and Tampa.
The seller was High Street Logistics Properties, according to CoStar data.