Industrial sales boomed in 2022 as Austin and its neighboring cities grew as hubs for industrial activity. With major tenants such as Samsung and Tesla moving to the area, industrial space has become more appealing to real estate investors.
Read Next: 2022 Recap: 5 Largest Austin Office Sales in 2022
In this article, we highlight the five largest industrial sales in the Austin market in 2022.
1. PS Business Parks Portfolio
Size: 27,674,477 total square feet, 619,394 square feet of industrial space
Address: Multiple
Submarket: Multiple (Southeast, North, Northwest, Central)
Industry: Multiple
Blackstone purchased a portfolio of 627 properties from PS Business Parks in 3Q 2022 for roughly $7.6 billion. The portfolio includes 27 million square feet of industrial, office, and multifamily properties scattered across the country, with concentrations in California, Texas, and Virginia. Included in this portfolio are eight industrial properties in Austin totalling 612,735 square feet.
As a leading investment firm, this deal added to Blackstone’s already impressive portfolio of properties valued at $565 billion globally.
2. Kyle Crossing Buildings 1 and 2
Size: 535,113 total square feet
Address: 2575 Kyle Crossing and 1980 Kohlers Crossing, Kyle, TX
Buildings: Kyle Crossing Buildings 1 and 2
Submarket: Hays County
Industry: Industrial Warehouse
Washington Capital Management purchased Kyle Crossing from Majestic Realty Co. in 4Q 2022. This deal included two properties located in Kyle, just off of N. IH-35. At the time of this publishing, the sale price has not been released to the public.
Both buildings were fully leased by major tenants at the time of sale, with Amazon claiming Building 2 and Lowe’s and HBO each leasing around half of Building 1.
Washington Capital Management is a Seattle-based investment advisor with properties across the country.
3. Buda Midway
Size: 474,465 square feet
Address: 170 Deep Roots Dr., 250 Deep Roots Dr., 320 Deep Roots Dr., Buda, TX
Buildings: Buda Midway Phase 1: Building 1, 2, and 3
Submarket: Hays County
Industry: Industrial
TA Realty purchased Buda Midway from United Properties in 3Q 2022. This purchase included three buildings that are part of the first phase of Buda Midway’s development. The Buda Midway development is still under construction and Phase 2 is expected to deliver in spring of 2023. Phase 2 will add four more buildings to the industrial campus, totaling 382,000 square feet
At the time of sale, the properties were fully occupied by Four Hands, Sherri Hill, and CED Greentech.
TA Realty is one of the largest real estate investment firms in the United States with 475 properties nationwide.
4. Hutto Innovation Business Park Bldgs. 1 & 2
Size: 361,467 square feet
Address: 1 Technology Blvd. and 1070 New Technology Blvd., Hutto, TX
Buildings: Innovation Business Park Buildings 1 and 2
Submarket: Williamson County
Industry: Industrial Warehouse and Distribution
Centerpoint Properties purchased Hutto Innovation Business Park Buildings 1 and 2 from St. Claire Realty in 2Q 2022. At the time of the sale, Building 1 and 2 were fully leased to Western Industries, Three Way Logistics, and Barnsco.
Hutto has become a hub for industrial activity, attracting major corporations with its established transportation system and land availability. Hutto EDC Chairman Mike Arismendez said The City is focusing on “cultivating a progressive environment for tech-focused and light industrial businesses, among others.”
Centerpoint Properties is an industrial real estate investment, development, and asset management provider.
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5. 130 Logistics Center Bldgs. 1 & 2
Size: 248,112 square feet
Address: 15825 Impact Way, Pflugerville, TX
Buildings: 130 Logistics Center Buildings 1 and 2
Submarket: Northeast
Industry: Industrial Warehouse
Spaulding and Slye purchased two buildings at 130 Logistics Center from Lincoln Property Company in 4Q 2022. Construction at 130 Logistics Center was completed in November of 2022.
Current tenants include Floworks in Building 1 and REE Automotive in Building 2.
Spaulding and Slye was founded in 1966 and has grown from an East Coast real estate company to a national investment firm with projects concentrated in the South.
