Regional review: Dallas-Fort Worth continues rise in business and real estate

Writer: Andrea Teran

Regional Review is a year-end series from caa that looks at key developments in a focused industry throughout the year and sets the stage for what’s to come in the near term.

December 2025 — The Dallas-Fort Worth metroplex continued its national ascent in 2025, emerging again as the top U.S. market for commercial real estate investment and corporate relocation according to D Magazine. Sustained population growth, strategic infrastructure spending, and strong job creation have solidified the region’s appeal across sectors.

Join us at caa’s upcoming leadership summits! These premier events bring together hundreds of public and private sector leaders to discuss the challenges and opportunities for businesses and investors. Find the next summit in a city near you!

For the second consecutive year, Dallas-Fort Worth was ranked No. 1 in the Urban Land Institute’s annual Emerging Trends in Real Estate report. The market topped the list due to a unique combination of affordability, connectivity, and business-friendly governance. Real estate executives cited the region’s ability to absorb national volatility, driven by a steady in-migration of skilled labor and capital.

“The Dallas-Fort Worth metroplex is truly ‘Ground Zero’ for growth,” said Bill Cawley, CEO of Cawley Partners, in an interview with Invest:. “Dallas is on track to become a more significant city each year.”

Industrial real estate in the Dallas‑Fort Worth metro remained a key driver of commercial market fundamentals in 2025. According to CBRE’s third‑quarter 2025 market report, the DFW industrial vacancy rate hovered near 9%, with occupiers absorbing approximately 3.2 million square feet of space, underscoring resilient tenant demand even as new deliveries move through the pipeline. The overall industrial construction pipeline exceeded 21.3 million square feet, signaling strong developer interest in logistics, distribution, and manufacturing real estate.

Nick Barker, vice president at Turner Construction, said advanced manufacturing and tech are reshaping the region’s development outlook. “Data centers, EV battery plants, and semiconductors are expanding at an exponential rate in our region,” he told Invest:. Turner is among several major contractors active in hyperscale data center construction across North Texas.

The Dallas-Fort Worth office market showed modest signs of recovery in 2025. According to CBRE, Class A office space recorded net absorption of 235,000 square feet in Q3 and over 1 million square feet over the past year. Asking rents for Class A properties rose 3.5% year-over-year. Total vacancy across the region remained in the mid-20% range. Leasing volume reached 3.9 million square feet in Q3, according to Savills, exceeding recent quarterly averages.

Matt Leyman, regional director at The Beck Group, noted Dallas’ growing role in national finance. “Dallas is set to become the new home of the Texas Stock Exchange, reflecting its growing importance in the national economic landscape,” he told Invest:.

Corporate relocations and expansions underpinned much of the CRE momentum. CBRE data showed Dallas added more corporate headquarters than any other U.S. metro between 2018 and 2024, with that pace continuing into 2025. New entrants to the market include tech, logistics, and biotech firms seeking a central U.S. location with available talent.

Major infrastructure investments in 2025 continued to shape Dallas‑Fort Worth’s long‑term growth. A highlight of the year was the launch of the DART Silver Line regional rail service in October. According to a press release, DART added approximately 26 miles of new transit and connected key employment centers in Plano, Richardson, Carrollton, and Grapevine to DFW Airport. 

Progress also continued on the rebuild of the Kay Bailey Hutchison Convention Center in downtown Dallas, according to CBS. The city finalized design plans and began early site work on the $3.5 billion project, which is expected to be completed by 2029. Once finished, the new facility will include over 2.5 million square feet of event space and serve as a major economic anchor for the southern edge of downtown.

“With the growing number of companies and homeowners coming into the area, the need for additional infrastructure continues to grow,” said Aaron Rader, vice president at Kimley-Horn to Invest:.

Still, talent availability remains a top concern for developers and contractors. In recent interviews with Invest:, Turner Construction, Beck, and others pointed to a widening skills gap in trades and construction management roles, especially as older workers retire. 

“People will continue to be the biggest constraint, not only for our company, but for contractors in general,” said Will Hodges, president of Cadence McShane.

To address workforce gaps, some firms are deepening partnerships with education and training programs. Thomas Crowther, managing partner of The Crowther Group, said early career investment is crucial.

“We have started working with early collegiate high schools and P-TECH partnerships,” Crowther told Invest:. “That goes back to our core values of hiring local people who care about the projects they build.” 

Want more? Read the Invest: Dallas-Fort Worth report.