SocraticGadfly: Hey, Lancaster: will there really be need enough for all these distribution centers?

January 19, 2007

Hey, Lancaster: will there really be need enough for all these distribution centers?

Don’t mean to throw too much cold water on Joe Tillotson or his 2008 successor as mayor (yes, Joe, time to move on and stick with the decision this time) or Jim Landon’s successor as city manager, but will there be that much need for The Allen Group’s Dallas Logistics Hub by the time it gets built?

An article in the Morning News points out potential competition between DLH and Alliance. It notes that Alliance itself is only 35 percent built out. The Metroplex doesn’t really need all the room of a built-out Alliance PLUS a built-out DLH, or so it would seem to any rational outside observer.

Also, even with an expanded Lancaster airport, that’s not quite the same as having a spacious cargo airport inside your business/warehousing park, as is the case at Alliance.

Plus, let’s not forget what’s down here on the southern side of Dallas. You have the Argent/ProLogis distribution site in Lancaster, the one in Dallas on Hampton Road just north of DeSoto, about the same size and slightly ahead on build-out of its first building, and you have the one on Dallas, on Danieldale at 35 on the DeSoto side, a little behind ProLogis, but certainly being built well ahead of DLH.

The three smaller distribution centers/business parks, if all built out, could be what, 20 percent the size of DLH? Plus, you have other south Dallas sites, such as the area behind the old UNT-Dallas System Center that still has development room.

And, as I’ve noted before, if world Peak Oil hits relatively soon, folks like WallyWorld will be changing methods of operation anyway, and won’t be using these centers as much.

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