real estate market overview: dallas-forth worth

Dallas: 6,185.83 square milesFort Worth-Arlington: 2,917.96 square milesDallas: 649.8 people per square mileFort Worth-Arlington: 680.1 people per square mile

CountiesCollin, Dallas, Delta, Denton, Ellis, Hunt, Kaufman, Rockwall, Johnson, Parker, Tarrant, Wise

Addison, Allen, Arlington, Balch Springs, Bedford, Benbrook, Burleson, Carrollton, Cedar Hill, Cleburne, Colleyville, Coppell, Dallas, Denton,

DeSoto, Duncanville, Ennis, Euless, Farmers Branch, Flower Mound, Forest Hill, Fort Worth, Frisco, Garland, Grand Prairie, Grapevine, Greenville,

Haltom City, Highland Village, Hurst, Irving, Keller, Lancaster, Lewisville, Mansfield, McKinney, Mesquite, North Richland Hills, Plano, Richardson, Rockwall, Rowlett, Saginaw, Southlake, Terrell, The Colony, Watauga,

Waxahachie, White Settlement, Wylie

Quick Facts

2006 Population Density

Source: U.S. Census Bureau and Real Estate Center at Texas A&M University

*This report's MSA data reflects either 1999 or 2003 MSA definitions based on data availability. Use of 1999 definition is noted where applicable.

Real Estate Market Overview 2007Dallas-Fort Worth-Arlington

Dallas was settled in 1841 as a frontier trading post and today is the eighth largest city in the UnitedStates. The Dallas MSA is also the second largest in Texas, with more than three million people livingin the area. High-tech companies, manufacturing and service industries have contributed to growth inDallas, considered the financial hub of the Southwest. The Dallas-Fort Worth International Airport,which encompasses more than 18,000 acres, is the nation's third busiest and a major economic enginefor the region.

Fort Worth, known as the city "Where the West Begins," still embraces its cowboy heritage. However,with successful downtown revitalization projects like Sundance Square, Fort Worth has transformeditself over the years into a cosmopolitan and cultural center. Bass Performance Hall, one of the area'smajor cultural attractions, was recently named "one of the top 10 opera houses in the world" by Traveland Leisure magazine.

Arlington, home to Six Flags Over Texas, Hurricane Harbor and The Ballpark at Arlington, is known asone of Texas' "most entertaining" cities.

Land Area

Area Cities and Towns

Microsoft product screen shot reprinted with permission from Microsoft Corporation.

ANDERSON

ANDREWS

ANGELINA

ARANSAS

ARCHER

ARMSTRONG

ATASCOSA

AUSTIN

BAILEY

BANDERA

BASTROP

BAYLOR

BEE

BELL

BEXAR

BLANCO

BORDEN

BOSQUE

BOWIE

BRAZORIA

BRAZOS

BREWSTER

BRISCOE

BROOKS

BROWN

BURLESON

BURNET

CALDWELL

CALHOUN

CALLAHAN

CAMERON

CAMP

CARSON

CASS

CASTRO

CHAMBERS

CHEROKEE

CHILDRESS

CLAY

COCHRAN

COKECOLEMAN

COLLIN

COLLINGSWORTH

COLORADOCOMAL

COMANCHE

CONCHO

COOKE

CORYELL

COTTLE

CRANE

CROCKETT

CROSBY

CULBERSON

DALLAM

DALLASDAWSON

DEAF SMITH

DELTA

DENTON

DE WITT

DICKENS

DIMMIT

DONLEY

DUVAL

EASTLAND

ECTOR

EDWARDS

ELLIS

EL PASO

ERATH

FALLS

FANNIN

FAYETTE

FISHER

FLOYDFOARD

FORT BEND

FRANKLIN

FREESTONE

FRIO

GAINES

GALVESTON

GARZA

GILLESPIE

GLASSCOCK

GOLIAD

GONZALES

GRAY

GRAYSON

GREGG

GRIMES

GUADALUPE

HALE

HALL

HAMILTON

HANSFORD

HARDEMAN

HARDIN

HARRIS

HARRISON

HARTLEY

HASKELL

HAYS

HEMPHILL

HENDERSON

HIDALGO

HILL

HOCKLEY

HOOD

HOPKINS

HOUSTON

HOWARD

HUDSPETH

HUNT

HUTCHINSON

IRION

JACK

JACKSON

JASPER

JEFF DAVIS

JEFFERSON

JIM HOGG

JIMWELLS

JOHNSON

JONES

KARNES

KAUFMAN

KENDALL

KENEDY

KENT

KERR

KIMBLE

KING

KINNEY

KLEBERG

KNOXLAMAR

LAMB

LAMPASAS

LA SALLE

LAVACA

LEE

LEON

LIBERTY

LIMESTONE

LIPSCOMB

LIVE OAK

LLANO

LOVING

LUBBOCK

LYNN

MCCULLOCH

MCLENNAN

MCMULLEN

MADISON

MARION

MARTIN

MASON

MATAGORDAMAVERICK

MEDINA

MENARD

MIDLAND

MILAM

MILLS

MITCHELL

MONTAGUE

MONTGOMERY

MOORE

MORRIS

MOTLEY

NACOGDOCHES

NAVARRO

NEWTON

NOLAN

NUECES

OCHILTREE

OLDHAM

ORANGE

PALO PINTO

PANOLA

PARKER

PARMER

PECOSPOLK

POTTER

PRESIDIO

RAINS

RANDALL

REAGAN

REAL

RED RIVER

REEVES

REFUGIO

ROBERTS

ROBERTSON

ROCKWALL

RUNNELS

RUSK

SABINE

SANAUGUSTINE

SANJACINTO

SAN PATRICIO

SAN SABA

SCHLEICHER

SCURRYSHACKLEFORD

SHELBY

SHERMAN

SMITH

SOMERVELL

STARR

STEPHENS

STERLING

STONEWALL

SUTTON

SWISHER

TARRANT

TAYLOR

TERRELL

TERRY THROCKMORTON TITUS

TOM GREEN

TRAVIS

TRINITY

TYLER

UPSHUR

UPTON

UVALDE

VAL VERDE

VAN ZANDT

VICTORIA

WALKER

WALLER

WARD

WASHINGTON

WEBB

WHARTON

WHEELER

WICHITAWILBARGER

WILLACY

WILLIAMSON

WILSON

WINKLER

WISE

WOOD

YOAKUM YOUNG

ZAPATA

ZAVALA

24

25

23

22

2120

19

1817 16

15

14

13

12

11

10

9

8

7

6

5

43

2

1

Metropolitan Statistical Areas (MSAs)

1. Abilene2. Amarillo3. Austin-Round Rock4. Beaumont-Port Arthur5. Brownsville-Harlingen6. College Station-Bryan7. Corpus Christi8. Dallas-Fort Worth-Arlington9. El Paso10. Houston-Sugar Land-Baytown11. Killeen-Temple-Fort Hood12. Laredo13. Longview

14. Lubbock15. McAllen-Edinburg-Mission16. Midland17. Odessa18. San Angelo19. San Antonio20. Sherman-Denison21. Texarkana22. Tyler23. Victoria24. Waco25. Wichita Falls

Prepared by the Labor Market and Career Information Department, TWCEdited by Real Estate Center at Texas A&M University

Table of Contents

Demographics..............................................................................................1

Education .....................................................................................................5

Employment .................................................................................................7

Economy ....................................................................................................15

Infrastructure..............................................................................................16

Public Facilities ..........................................................................................17

Multifamily ..................................................................................................20

Housing......................................................................................................24

Retail ..........................................................................................................37

Hotel...........................................................................................................43

Office..........................................................................................................45

Industrial ....................................................................................................58

Real Estate Center Market Overview 2007 Dallas – Fort Worth – Arlington, TX

Dallas-Fort Worth-Arlington Market Overview 2007 Demographics

Year PopulationPercent Change Year Population

Percent Change

1996 3,076,605 - 1996 1,551,044 -1997 3,178,447 3.2 1997 1,591,973 2.61998 3,283,020 3.2 1998 1,634,973 2.71999 3,381,283 2.9 1999 1,678,673 2.72000 3,451,226 2.0 2000 1,710,318 1.92001 3,585,379 3.7 2001 1,764,411 3.22002 3,664,340 2.2 2002 1,808,534 2.52003 3,737,262 2.0 2003 1,848,627 2.22004 3,812,875 2.0 2004 1,887,381 2.12005 3,893,123 2.1 2005 1,926,352 2.12006 4,019,499 3.1 2006 1,984,468 3.0

* July 1 population estimates * July 1 population estimatesSource: U.S. Census Bureau Source: U.S. Census Bureau

Fort Worth-Arlington MD Population*

Dallas MD Population*

County 1996 2006Growth 1996-2006

(in percent)Collin 378,488 698,851 84.6Dallas 2,073,484 2,345,815 13.1Delta 5,085 5,561 9.4Denton 354,915 584,238 64.6Ellis 97,597 139,300 42.7Hunt 69,914 83,338 19.2Johnson 110,751 149,016 34.6Kaufman 62,129 93,241 50.1Parker 76,476 106,266 39.0Rockwall 34,993 69,155 97.6Tarrant 1,323,207 1,671,295 26.3Wise 40,610 57,891 42.6* July 1 population estimates

County Population Growth

Source: U.S. Census Bureau

- 1 -


Addison 8,783 14,166 61.3 Grapevine 29,202 42,059 44.0Allen 18,309 43,554 137.9 Greenville 23,071 23,960 3.9Arlington 261,721 332,969 27.2 Haltom City 32,856 39,018 18.8Athens 10,967 11,297 3.0 Highland Village 7,027 12,173 73.2Balch Springs 17,406 19,375 11.3 Hurst 33,574 36,273 8.0Bedford 43,762 47,152 7.7 Irving 155,037 191,615 23.6Benbrook 19,564 20,208 3.3 Keller 13,683 27,345 99.8Burleson 16,113 20,976 30.2 Lancaster 22,117 25,894 17.1Carrollton 82,169 109,576 33.4 Lewisville 46,521 77,737 67.1Cedar Hill 19,976 32,093 60.7 Mansfield 15,607 28,031 79.6Cleburne 22,205 26,005 17.1 McKinney 21,283 54,369 155.5Colleyville 12,724 19,636 54.3 Mesquite 101,484 124,523 22.7Coppell 16,881 35,958 113.0 North Richland Hills 45,895 55,635 21.2Corinth 3,944 11,325 187.1 Plano 128,713 222,030 72.5Dallas 1,006,877 1,188,580 18.0 Richardson 74,840 91,802 22.7Denton 66,270 80,537 21.5 Rockwall 10,486 17,976 71.4DeSoto 30,544 37,646 23.3 Rowlett 23,260 44,503 91.3Duncanville 35,748 36,081 0.9 Saginaw 8,551 12,374 44.7Ennis 13,883 16,045 15.6 Seagoville 8,969 10,823 20.7Euless 38,149 46,005 20.6 Southlake 7,065 21,519 204.6Farmers Branch 24,250 27,508 13.4 Terrell 12,490 13,606 8.9Flower Mound 15,527 50,702 226.5 The Colony 22,113 26,531 20.0Forest Hill 11,482 12,949 12.8 University Park 22,259 23,324 4.8Fort Worth 447,619 534,694 19.5 Watauga 20,009 21,908 9.5Frisco 6,141 33,714 449.0 Waxahachie 18,168 21,426 17.9Garland 180,650 215,768 19.4 Weatherford 14,804 19,000 28.3Grand Prairie 99,616 127,427 27.9 White Settlement 15,472 14,831 -4.1 (in Dallas Co. only) 81,527 99,760 22.4 Wylie 8,716 15,132 73.6Source: U.S. Census

Area Cities With 10,000 or More Residents

City 2000 Population

Growth 1990-2000 (percent)

City (cont'd) 2000 Population

Growth 1990-2000 (percent)

1990 Population

1990 Population

- 2 -


Metropolitan Area 1996 2006Percent Change

Austin-Round Rock 1,073,037 1,513,565 41.1McAllen-Edinburg-Mission 503,411 700,634 39.2Laredo 171,583 231,470 34.9Dallas-Fort Worth-Arlington 4,627,649 6,003,967 29.7Houston-Sugar Land-Baytown 4,334,020 5,539,949 27.8Brownsville-Harlingen 312,086 387,717 24.2San Antonio 1,599,427 1,942,217 21.4Texas 19,340,342 22,859,968 18.2Tyler 166,087 194,635 17.2Sherman-Denison 102,993 118,478 15.0El Paso 656,482 736,310 12.2College Station-Bryan 172,341 192,152 11.5Amarillo 217,579 241,515 11.0Killeen-Temple-Fort Hood 318,613 351,322 10.3Waco 205,894 226,189 9.9Midland 114,412 124,380 8.7Longview 190,556 203,367 6.7Lubbock 247,099 261,411 5.8Texarkana 127,694 134,510 5.3Victoria 108,636 114,088 5.0Odessa 121,519 127,462 4.9Corpus Christi 398,529 415,810 4.3San Angelo 104,574 105,752 1.1Abilene 156,351 158,063 1.1Beaumont-Port Arthur 380,417 379,640 -0.2Wichita Falls 151,170 145,528 -3.7* July 1 population estimatesSource: U.S. Census Bureau

Texas Metropolitan Area Population* Change

YearTexas State Data Center

(Scenario 0.5)Texas Water Development

Board2000 5,161,544 5,161,5182005 5,667,966 -2010 6,197,165 6,506,8542015 6,753,598 -2020 7,340,103 7,830,3712025 7,973,634 -2030 8,648,782 8,947,2622035 9,360,952 -2040 10,106,814 10,103,144

Dallas-Fort Worth-Arlington MSA Projected Population

Sources: Texas State Data Center (2006 projection) and Texas Water Development Board (2006 projection)

- 3 -


Texas Metropolitan AreaPopulation Growth Forecast, 2000 - 2020

0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

LaredoMcAllen-Edinburg-Mission

Austin-Round RockBrownsville-Harlingen

Dallas-Fort Worth-ArlingtonEl Paso

Houston-Sugar Land-BaytownKilleen-Temple-Fort Hood

TexasCorpus Christi

San AntonioAmarillo

College Station-BryanVictoriaOdessa

WacoTyler

MidlandLubbock

LongviewSherman-Denison

San AngeloAbilene

Beaumont-Port ArthurWichita Falls

Texarkana

Source: Texas State Data Center – Scenario 0.5 (2006 projection)

Fort Worth-Arlington PMSA

Average household size (2000) 2.7 2.68 2.74Population younger than 18(2000, in percent)Population 65 and older(2000, in percent)

Household Composition

Texas

28.2

9.97.7 8.8Source: U.S. Census Bureau (1999 definition)

Dallas PMSA

28.0 28.0

Dallas Fort Worth-PMSA Arlington PMSA Texas

White 67.2 74.3 71.0Black 25.1 11.2 11.5Asian 4.0 3.2 2.7American Indian 0.6 0.6 0.6Other 10.7 8.3 11.7Two or more races 2.4 2.4 2.5Hispanic (of any race) 23.0 18.2 32.0

Distribution by Race and Hispanic or Latino Origin, 2000(in percent)

Source: U.S. Census Bureau (1999 definition)

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Dallas-Fort Worth-Arlington Market Overview 2007 Education

CountyHigh school

graduateSome college,

no degreeAssociate's

degreeBachelor's

degreeMaster's

degreeDoctorate

degreeCollin 15.1 23.1 6.3 32.8 11.3 1.2Dallas 21.7 21.3 5.0 18.0 6.0 0.8Delta 36.1 21.5 4.0 8.5 4.8 0.5Denton 19.9 26.1 6.7 26.6 7.4 1.2Ellis 30.8 24.6 5.3 12.4 3.2 0.4Hunt 34.3 22.0 3.8 10.7 4.6 0.8Johnson 33.2 25.0 5.5 9.7 2.8 0.4Kaufman 33.8 22.9 5.5 8.9 2.4 0.3Parker 30.4 25.3 6.2 12.5 3.8 1.1Rockwall 22.9 25.3 5.9 22.4 7.1 0.7Tarrant 23.5 25.1 6.0 18.8 5.7 0.7Wise 34.8 23.5 4.8 9.2 2.4 0.4Texas 24.8 22.4 5.2 15.6 5.2 0.8Source: U.S. Census Bureau 2000

Educational Attainment, Persons Age 25 and Older (in percent)

Dallas Fort Worth-PMSA Arlington PMSA

High School Graduate or Higher 79.4 81Bachelor's Degree or Higher 30 25.1Source: U.S. Census Bureau 2000 (1999 definition)

Educational Level, Persons Age 25 and Older, 2000 (in percent), PMSA

Level of Education

- 5 -


School 2002 2003 2004 2005 2006Dallas Baptist University 4,417 4,538 4,714 4,988 5,146DCCCD Brookhaven College 9,184 9,718 9,714 9,725 9,634DCCCD Cedar Valley College 3,990 4,443 4,265 4,300 4,357DCCCD Eastfield College 9,071 9,376 9,410 9,452 9,187DCCCD El Centro College 5,672 6,182 5,903 6,629 6,529DCCCD Mountain View College 6,266 5,843 5,980 6,140 6,766DCCCD North Lake College 8,456 7,960 8,189 8,623 8,830DCCCD Richland College 13,562 13,204 13,412 13,552 13,774Paul Quinn College 871 858 966 771 783Southern Methodist University 10,955 11,161 10,901 11,024 10,990Tarrant County Northeast Campus 10,882 11,602 12,405 12,372 12,135Tarrant County Northwest Campus 5,182 6,025 7,241 7,356 7,546Tarrant County South Campus 8,027 8,200 9,971 9,885 9,431Tarrant County Southeast Campus 8,370 8,579 8,657 8,975 9,339Texas Christian University 8,074 8,275 8,632 8,706 8,865Texas Wesleyan University 2,576 2,845 2,742 2,662 2,930Texas Woman's University 8,703 9,701 10,746 11,326 11,479University of Dallas 3,159 3,125 2,987 2,992 2,941University of North Texas 30,183 31,065 31,155 31,947 33,443University of Texas at Arlington 23,821 24,979 25,297 25,216 24,825University of Texas at Dallas 13,229 13,718 14,092 14,399 14,523Weatherford College 3,569 3,895 4,216 4,437 4,379Source: Texas Higher Education Coordinating Board

Local College and University Enrollment, Fall Semester

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Dallas-Fort Worth-Arlington Market Overview 2007 Employment

Employer Sector EmployeesWal-Mart Stores, Inc. Retail 29,237AMR Corp./American Airlines Airline 25,000Dallas ISD Education 19,359Texas Health Resources Health care 17,000Raytheon Co. Defense and aerospace 16,250Verizon Communications, Inc. Telecommunications 15,900Lockheed Martin Aeronautics Co. Military aircraft 15,000Baylor Health Care System Health care 14,572AT&T Communications 14,000U.S. Postal Service Government 13,850HCA Healthcare Health care 13,000Albertson's Inc. Retail grocery 12,240City of Dallas Government 12,221Countrywide Home Loans Financial services 11,798Kroger Food Stores Grocery 11,500Citigroup Inc. Financial services 10,635Brinker International Inc. Restaurants 10,283TTI, Inc. Semiconductor 9,972Fort Worth ISD Education 9,881Texas Instruments Semiconductor 9,700Source: Greater Dallas Chamber Economic Development Guide Nov-2006

Top 20 DFW Employers

- 7 -


Employer Sector EmployeesAmerican Airlines Airline 28,492Lockheed Martin Aeronautics Co. Military aircraft 15,000Fort Worth ISD Education 10,389Bell Helicopter - Textron, Inc. Manufacture vertical flight aircraft 6,000City of Fort Worth Municipal government 5,750Tarrant County Government Government 4,050Chase Financial services 4,000Cook Children's Medical Center Non-profit children's health care 3,800Harris Methodist Fort Worth Hospital Medical 3,789BNSF Railway Transportation services 3,500

Fort Worth Top Ten Employers

Source: Fort Worth Chamber of Commerce Feb-2006

Employer Sector EmployeesAmerican Airlines Airline 28,492Lockheed Martin Aeronautics Co. Military aircraft 15,000Bell Helicopter - Textron, Inc. Manufacture vertical flight aircraft 6,000Chase Financial services 4,000Cook Children's Medical Center Non-profit children's health care 3,800Harris Methodist Fort Worth Hospital Medical 3,789BNSF Railway Transportation services 3,500RadioShack Corp. Electronics 3,337JPS Health Network Health Care 3,309Alcon Laboratories Ophthalmic pharmaceuticals 2,977

Fort Worth Top Ten Private Employers

Source: Fort Worth Chamber of Commerce Feb-2006

- 8 -


Employer Sector EmployeesArlington Independent School Dist. Education 8,000University of Texas at Arlington Education 5,700Six Flags Over Texas Hospitality & Tourism 3,200General Motors Manufacturing 3,000The Parks Mall Retail 3,000Texas Rangers Baseball Club Hospitality & Tourism 1,800City of Arlington Government 1,700AmeriCredit Finance 1,300Arlington Memorial Hospital Health care 1,300Providian Financial Financial call center 1,200

Arlington Top Ten Employers

Source: Arlington Chamber of Commerce April-2007

Employer Sector EmployeesSix Flags Over Texas Hospitality & Tourism 3,200General Motors Manufacturing 3,000The Parks Mall Retail 3,000Texas Rangers Baseball Club Hospitality & Tourism 1,800AmeriCredit Finance 1,300Arlington Memorial Hospital Health care 1,300Providian Financial Finance 1,200Wal-Mart Retail 1,200National Semiconductor Manufacturing 1,100Chase Bank Call Center Finance 1,000

Arlington Top Ten Private Employers

Source: Arlington Chamber of Commerce April-2007

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Dallas-Plano-Irving

Fort Worth - Arlington Texas

Employment Growth 2006 (Percent Change) 3.7 3.0 3.3Unemployment Rate 2006 (Percent Change) 4.8 4.7 4.9Net Job Change in 2006 72,200 24,100 318,3002006 Employment Growth by Sector (Percent Change)

Natural Resources and Mining and Construction 5.3 6.9 7.5Manufacturing 1.8 2.9 3.2Trade, Transportation, and Utilities 2.0 1.8 2.5Information 0.0 -2.4 -0.4Financial Activities 4.2 0.8 2.6Professional and Business Services 8.2 5.3 6.0Educational and Health Services 5.2 6.5 2.8Leisure and Hospitality 3.5 2.2 3.9Government 2.5 1.6 1.7

Employment Growth by Industry

Source: Texas Workforce Commission and Real Estate Center at Texas A&M University

Metropolitan Area 1996 2006Percent Change

McAllen-Edinburg-Mission 126,900 202,600 59.7Midland 126,900 202,600 59.7Laredo 56,500 84,200 49.0Austin-Round Rock 540,900 720,000 33.1Brownsville-Harlingen 94,000 121,300 29.0College Station-Bryan 71,400 90,200 26.3Tyler 73,700 91,700 24.4Killeen-Temple-Fort Hood 97,600 118,100 21.0Dallas-Fort Worth-Arlington 2,331,600 2,860,800 22.7San Antonio 658,300 811,300 23.2Longview 76,100 91,600 20.4Houston-Sugar Land-Baytown 1,981,700 2,446,000 23.4Texas 8,257,900 10,053,300 21.7Lubbock 111,300 128,400 15.4Waco 92,600 106,000 14.5Corpus Christi 155,100 173,800 12.1Odessa 48,100 57,400 19.3Amarillo 96,900 110,100 13.6Victoria 45,200 50,000 10.6El Paso 236,700 264,800 11.9Texarkana 50,300 55,700 10.7Sherman-Denison 42,000 44,500 6.0Abilene 60,600 65,300 7.8San Angelo 42,500 44,700 5.2Wichita Falls 59,600 62,500 4.9Beaumont-Port Arthur 151,200 160,500 6.2

Texas Metropolitan Area Nonfarm Employment Change


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Metropolitan Area Nonfarm Employment Change 1996-2006

0% 10% 20% 30% 40% 50% 60% 70%

McAllen-Edinburg-MissionMidlandLaredo

Austin-Round RockBrownsville-HarlingenCollege Station-Bryan

TylerHouston-Sugar Land-Baytown

San AntonioDallas-Fort Worth-Arlington

TexasKilleen-Temple-Fort Hood

LongviewOdessa

LubbockWaco

AmarilloCorpus Christi

El PasoTexarkana

VictoriaAbilene

Beaumont-Port ArthurSherman-Denison

San AngeloWichita Falls

Source: Texas Workforce Commission and Real Estate Center

Average Hourly Wage2005

$18.84

$18.76

$18.71

$17.10

$16.56

$15.85

$15.76

$15.59

$15.51

$15.37

$15.34

$15.11

$15.11

$14.89

$14.71

$14.66

$14.63

$14.45

$14.23

$14.17

$14.14

$14.08

$13.50

$13.39

$12.72

$12.25

$10.00 $12.00 $14.00 $16.00 $18.00 $20.00

Dallas-Fort Worth-ArlingtonHouston-Sugar Land-Baytown

Austin-Round RockTexas

MidlandCollege Station-Bryan

San AntonioBeaumont-Port Arthur

LubbockAmarilloVictoriaOdessa

TylerCorpus Christi

TexarkanaSherman-Denison

LongviewWaco

Killeen-Temple-Fort HoodWichita Falls

El PasoSan Angelo

LaredoAbilene

McAllen-Edinburg-MissionBrownsville-Harlingen

Source: Texas Workforce Commission

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Year EmploymentPercent Change Year Employment

Percent Change

1996 1,650,000 - 1996 681,500 -1997 1,742,600 5.6 1997 710,300 4.21998 1,826,100 4.8 1998 742,800 4.61999 1,893,900 3.7 1999 769,600 3.62000 1,966,900 3.9 2000 796,300 3.52001 1,976,500 0.5 2001 798,500 0.32002 1,916,000 -3.1 2002 789,000 -1.22003 1,883,000 -1.7 2003 782,600 -0.82004 1,903,300 1.1 2004 794,900 1.62005 1,951,500 2.5 2005 813,000 2.32006 2,023,700 3.7 2006 837,100 3.0

Dallas-Plano-Irving MD Nonfarm Employment


Fort Worth-Arlington MD Nonfarm Employment


Nonfarm Employment Growth Dallas-Fort Worth-Arlington MSA

-4.0

-3.0

-2.0

-1.0

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Perc

en

t C

han

ge f

rom

Pre

vio

us

Year

Dallas-Plano-Irving Fort Worth-Arlington


- 12 -


Distribution of Employment in Major Categories Dallas-Plano-Irving MD

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

2002 2003 2004 2005 2006

Tota

l A

nn

ual Jo

bs

Natural Resources and Mining and Construction Manufacturing

Trade, Transportation, and Utilities Information

Financial Activities Professional and Business Services

Educational and Health Services Leisure and Hospitality

Government


Distribution of Employment in Major Categories Fort Worth-Arlington MD

0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

2002 2003 2004 2005 2006

Tota

l A

nn

ual

Job

s

Natural Resources and Mining and Construction Manufacturing

Trade, Transportation, and Utilities Information

Financial Activities Professional and Business Services

Educational and Health Services Leisure and Hospitality

Government


- 13 -


Dallas-Fort Worth-Arlington MSA Unemployment Rate

0

1

2

3

4

5

6

7

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Perc

en

t


- 14 -


Dallas-Fort Worth-Arlington Market Overview 2007 Economy

Year Total SalesSales per Capita Year Total Sales

Sales per Capita

1995 39,453,669,760 #N/A 1995 16,781,866,218 #N/A1996 43,244,343,151 14,056 1996 18,512,124,617 11,9351997 45,596,786,952 14,346 1997 19,368,252,131 12,1661998 50,395,804,082 15,350 1998 20,434,340,405 12,4981999 54,369,358,086 16,080 1999 20,948,095,725 12,4792000 57,063,698,868 16,534 2000 23,806,625,051 13,9192001 55,934,773,026 15,601 2001 25,232,389,298 14,3012002 55,529,200,413 15,154 2002 23,956,639,978 13,2462003 56,474,148,771 15,111 2003 25,038,695,682 13,5442004 64,552,459,062 16,930 2004 27,099,154,429 14,3582005 78,916,290,105 20,271 2005 28,386,068,582 14,736

State Average 2005: $15,935 State Average 2005: $15,935* 2006 data not available as of April 15, 2007. * 2006 data not available as of April 15, 2007.

Dallas-Plano-Irving MD Gross Retail Sales

Fort Worth-Arlington MD Gross Retail Sales

Source: Texas Comptroller's Office Source: Texas Comptroller's Office

Gross Retail Sales per Capita 2005

$5,000 $7,000 $9,000 $11,000 $13,000 $15,000 $17,000 $19,000 $21,000

Lubbock

Dallas-Plano-Irving MD

Midland

Texas

Odessa

Austin-Round Rock

Tyler

Longview

Amarillo

Fort Worth-Arlington MD

San Antonio

Houston-Sugar Land-Baytown

Killeen-Temple-Fort Hood

VictoriaLaredo

San Angelo

Abilene

Waco

Sherman-Denison

College Station-Bryan

Beaumont-Port Arthur

Wichita Falls

Corpus Christi

El Paso

McAllen-Edinburg-Mission

Texarkana

Brownsville-Harlingen

Source: Texas Comptroller's Office

- 15 -


Dallas-Fort Worth-Arlington Market Overview 2007 Infrastructure

Airport 2002 2003 2004 2005 2006Dallas Love Field

Enplaned 2,811,471 2,795,554 2,945,588 2,949,266 3,439,050Deplaned 2,811,283 2,793,376 2,944,168 2,947,499 3,435,667

Total 5,622,754 5,588,930 5,889,756 5,896,765 6,874,717Dallas/Fort Worth International

Total enplaned and deplaned* 52,814,185 53,253,607 59,445,740 59,161,779 60,226,138

*Domestic and international passengersSource: Dallas-Fort Worth International Airport and Dallas Love Field Airport

DFW Airline Activity

Airport 2002 2003 2004 2005 2006Dallas/Fort Worth International* 738,074 734,828 817,825 817,866 834,643*In US TonsSource: Dallas-Fort Worth International Airport

Airport Cargo Statistics

- 16 -


Dallas-Fort Worth-Arlington Market Overview 2007 Public Facilities

Dallas City Public Facilities Building Permits 2005*

Dallas City Building Permit Office

* 2006 data not available as of April 15, 2007.

Denton City Public Facilities Building Permits 2005*

Denton City Building Permit Office


- 17 -


Hurst City Public Facilities Building Permits 2005*

Hurst City Building Permit Office


Fort Worth City Public Facilities Building Permits 2005*

Fort Worth City Building Permit Office * 2006 data not available as of April 15, 2007.

- 18 -


Garland City Public Facilities Building Permits 2005*

Garland City Building Permit Office


- 19 -


Dallas-Fort Worth-Arlington Market Overview 2007 Multifamily

Dallas Fort WorthTexas Metro

AverageAverage rent per square foot $0.82 $0.75 $0.77Average rent for units built since 2000 $0.92 $0.83 $0.86Average occupancy 92.1% 91.1% 92.8%Average occupancy for units built since 2000 94.0% 92.6% 94.1%Source: Apartment MarketData Research

Apartment Statistics 2006

Multifamily Building Permits

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Un

its

Dallas Fort Worth-Arlington

Source: U.S. Bureau of Census and Real Estate Center at Texas A&M University

5+ Multifamily Building Permits

p

2006 figure is a preliminary number.

- 20 -


Dallas City Multifamily Building Permits 2005*



Flower Mound City Multifamily Building Permits 2005*

Flower Mound City Building Permit Office


- 21 -


Fort Worth City Multifamily Building Permits 2005*


Denton Multifamily Building Permits 2005*



- 22 -


Garland Multifamily Building Permits 2005*



Grapevine Multifamily Building Permits 2005*

Grapevine City Building Permit Office * 2006 data not available as of April 15, 2007.

- 23 -


Dallas-Fort Worth-Arlington Market Overview 2007 Housing

MLS2006 Median-Priced Home

Required Income to

Qualify

Median Family Income HAI*

HAI for First-Time Homebuyers**

Arlington $130,600 $31,731 $63,400 2.00 1.32Collin County $192,900 $46,868 $99,609 2.13 1.29Dallas $158,200 $38,437 $65,500 1.70 1.17Denton County $161,600 $39,263 $74,480 1.90 1.14Fort Worth $117,700 $28,597 $63,400 2.22 1.56Irving $125,000 $30,371 $65,500 2.16 1.27State $143,000 $35,179 $54,300 1.54 1.05US $221,900 $54,139 $59,600 1.10 0.62

Source: Real Estate Center at Texas A&M University

2006 Housing Affordability Index

* The HAI is the ratio of the median family income to the income required to buy the median-priced house using standard mortgage financing at the current interest rate. Standard financing is a fixed-rate, 30-year loan covering 80 percent of the cost of the home. A HAI of 1.00 indicates that the median family income is exactly equal to the required income to qualify for the standard loan to purchase the median-priced house.

** First-time home buyer is assumed to purchase a home equal to the first quartile home price using a 90% home loan at an interest rate 0.5 percent greater than the standard current rate.

County Q3 Q4 Q3 Q4 Q3 Q4Collin 3,981 2,951 $241,100 $247,800 56 66Dallas 6,611 5,556 215,900 209,100 65 70Denton 3,140 2,285 208,500 217,000 56 64Ellis 503 408 153,400 152,100 82 86Henderson 94 70 184,100 162,500 123 127Hunt 194 167 105,500 112,400 87 99Kaufman 416 342 134,800 135,400 81 74Rockwall 433 343 215,500 208,300 77 88Source: North Texas Real Estate Information System

Existing Home Sales, Dallas Area, Q3-Q4 2006Total Sales Average Sales Price Days on Market

Q3 Q4 Q3 Q4 Q3 Q4Johnson 470 408 $122,400 $120,900 77 75Parker 451 360 $181,300 $173,300 84 85Tarrant 7,140 5,481 $176,900 $171,600 65 68Wise 169 126 $150,400 $135,100 83 87Source: North Texas Real Estate Information System

County

Existing Home Sales, Fort Worth Area, Q3-Q4 2006Total Sales Days on MarketAverage Sales Price

- 24 -


Price Range 2000 2001 2002 2003 2004 2005 2006$29,999 or less 1.4 1.2 1.2 1.2 1.5 1.3 1.230,000 - 39,999 1.4 1.1 1.1 1.1 1.2 1.1 1.340,000 - 49,999 2.0 1.4 1.4 1.3 1.4 1.4 1.550,000 - 59,999 2.8 2.1 1.8 1.8 1.9 1.7 1.860,000 - 69,999 4.4 3.2 2.7 2.2 2.3 2.2 2.270,000 - 79,999 5.1 4.4 3.6 3.2 3.2 2.8 2.880,000 - 89,999 6.9 5.5 5.0 4.3 4.3 3.8 3.790,000 - 99,999 6.7 6.3 5.9 5.1 5.0 4.2 4.0100,000 - 119,999 11.5 12.0 12.1 12.0 11.7 10.7 9.6120,000 - 139,999 10.9 12.0 12.7 12.9 12.4 12.8 12.2140,000 - 159,999 9.8 10.8 10.7 11.1 10.7 10.8 10.5160,000 - 179,999 7.8 8.7 9.5 9.5 9.3 9.5 9.1180,000 - 199,999 5.5 6.1 6.1 6.3 6.2 6.4 6.8200,000 - 249,999 8.6 9.7 9.8 10.1 10.3 10.7 10.8250,000 - 299,999 5.3 5.6 5.8 6.2 6.2 6.8 7.1300,000 - 399,999 4.9 5.1 5.5 5.8 6.1 6.7 7.4400,000 - 499,999 2.0 1.9 2.0 2.3 2.4 2.7 3.2500,000 and more 3.1 3.0 3.2 3.4 4.0 4.3 4.8Source: Real Estate Center at Texas A&M University

Price Distribution of MLS Homes Sold, Dallas Area(in percent)


Price Distribution of MLS Homes Sold, Denton County Area(in percent)

- 25 -



Price Distribution of MLS Homes Sold, Irving Area(in percent)

Price Range 2000 2001 2002 2003 2004 2005 2006$29,999 or less 0.4 0.1 0.2 0.1 0.2 0.1 0.130,000 - 39,999 0.6 0.4 0.3 0.3 0.4 0.3 0.440,000 - 49,999 1.2 0.7 0.6 0.5 0.7 0.5 0.650,000 - 59,999 2.0 1.3 1.1 0.9 1.1 0.9 0.960,000 - 69,999 3.7 2.5 1.9 1.7 2.0 1.3 1.970,000 - 79,999 6.0 4.6 4.0 3.2 2.8 2.4 2.580,000 - 89,999 6.8 6.3 5.7 5.3 5.0 4.2 4.390,000 - 99,999 7.0 6.3 6.5 5.9 5.3 4.4 4.7100,000 - 119,999 11.8 12.7 11.3 11.6 11.6 10.4 10.2120,000 - 139,999 11.8 12.5 13.1 13.6 13.8 13.4 13.5140,000 - 159,999 9.0 10.7 11.4 11.6 11.2 12.1 11.1160,000 - 179,999 7.1 8.4 9.7 8.9 9.4 9.8 9.9180,000 - 199,999 4.8 6.3 6.2 6.6 5.9 6.8 6.4200,000 - 249,999 8.8 8.3 8.9 9.7 9.7 9.4 9.2250,000 - 299,999 5.9 5.7 5.6 6.1 6.1 7.0 6.5300,000 - 399,999 7.1 7.3 7.0 7.5 7.0 7.5 7.1400,000 - 499,999 3.3 2.8 3.1 2.9 3.4 3.6 4.5500,000 and more 2.7 3.0 3.3 3.6 4.2 5.7 6.2

Price Distribution of MLS Homes Sold, NE Tarrant County(in percent)


- 26 -



Price Distribution of MLS Homes Sold, Fort Worth Area(in percent)

Price Range 2000 2001 2002 2003 2004 2005 2006$29,999 or less 0.7 0.3 0.2 0.3 0.2 0.1 0.230,000 - 39,999 1.1 0.8 0.7 0.5 0.6 0.6 0.640,000 - 49,999 2.1 1.3 1.5 0.9 1.2 1.0 1.550,000 - 59,999 4.2 2.6 2.1 1.2 2.0 1.8 1.760,000 - 69,999 6.7 4.3 3.7 3.1 3.3 2.5 2.970,000 - 79,999 9.6 6.5 5.7 4.9 4.5 4.0 3.780,000 - 89,999 13.1 11.9 10.2 8.6 8.5 6.5 6.290,000 - 99,999 10.7 12.2 11.6 10.6 10.3 8.5 7.3100,000 - 119,999 14.1 16.6 18.7 19.7 19.2 17.7 17.2120,000 - 139,999 11.9 12.3 14.1 15.3 15.0 16.9 16.7140,000 - 159,999 7.6 9.7 9.8 10.5 9.8 11.9 11.8160,000 - 179,999 6.2 7.2 7.2 8.1 8.2 8.9 9.2180,000 - 199,999 3.6 4.9 5.3 5.5 5.7 6.2 6.2200,000 - 249,999 4.3 4.6 5.0 5.9 5.6 6.4 7.2250,000 - 299,999 1.9 2.0 1.9 2.3 2.7 2.8 3.6300,000 - 399,999 1.3 1.9 1.5 1.5 2.2 2.4 2.6400,000 - 499,999 0.4 0.4 0.6 0.6 0.6 1.0 0.9500,000 and more 0.5 0.4 0.3 0.3 0.5 0.7 0.6

(in percent)


Price Distribution of MLS Homes Sold, Arlington Area

- 27 -


Price Distribution of MLS Homes Sold, 2006

0.0

5.0

10.0

15.0

20.0

25.0

30.0

$29,

999

or le

ss

30,0

00 -

39,9

99

40,0

00 -

49,9

99

50,0

00 -

59,9

99

60,0

00 -

69,9

99

70,0

00 -

79,9

99

80,0

00 -

89,9

99

90,0

00 -

99,9

99

100,

000

- 119

,999

120,

000

- 139

,999

140,

000

- 159

,999

160,

000

- 179

,999

180,

000

- 199

,999

200,

000

- 249

,999

250,

000

- 299

,999

300,

000

- 399

,999

400,

000

- 499

,999

500,

000

and

mor

e

Perc

en

t

Dallas Fort Worth Denton County Irving NE Tarrant County Arlington


Tax Rateper $100Valuation

City of Dallas 0.7292Dallas County 0.2139Dallas ISD 1.5026Total $2.60

City of Fort Worth 0.8600Fort Worth ISD 1.5140Tarrant County 0.2715Total $2.80

City of Arlington 0.6480Arlington ISD 1.6100Tarrant County 0.2715Total $2.68

Arlington

Property Tax Rates, 2006

Taxing Entity*Dallas

Fort Worth

* Only the typical taxing entities are listed. However, there are numerous numbers of taxing entities that need to be taken into account for an actual tax rate calculation. See following links for more complete lists: http://www.dallascad.org/forms/2006rate.pdf http://www.tad.org/WebPages/2006_tax_ratesPDF.cfmSource: Dallas Central Appraisal District and Tarrant County Appraisal District

- 28 -


National Home Price Appreciation

-5%

0%

5%

10%

15%

20%

25%

30%4

Q-9

6

2Q

-97

4Q

-97

2Q

-98

4Q

-98

2Q

-99

4Q

-99

2Q

-00

4Q

-00

2Q

-01

4Q

-01

2Q

-02

4Q

-02

2Q

-03

4Q

-03

2Q

-04

4Q

-04

2Q

-05

4Q

-05

2Q

-06

4Q

-06

Ch

an

ge f

rom

Pre

vio

us

Year

California Florida Texas USA

The HPI for each geographic area is estimated using repeated observations of housing values for individual single-family residential properties on which at least two mortgages were originated and subsequently purchased by either Freddie Mac or Fannie Mae.

Source: Office of Federal Housing Enterprise Oversight

California

Florida

USA

Texas

Home Price Appreciation Dallas-Plano-Irving MD

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

16.0%

4Q

-96

2Q

-97

4Q

-97

2Q

-98

4Q

-98

2Q

-99

4Q

-99

2Q

-00

4Q

-00

2Q

-01

4Q

-01

2Q

-02

4Q

-02

2Q

-03

4Q

-03

2Q

-04

4Q

-04

2Q

-05

4Q

-05

2Q

-06

4Q

-06

Ch

an

ge f

rom

Pre

vio

us

Year

Dallas-Plano-Irving MD Texas USA



- 29 -


Home Price Appreciation Fort Worth-Arlington MD

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

16.0%4

Q-9

6

2Q

-97

4Q

-97

2Q

-98

4Q

-98

2Q

-99

4Q

-99

2Q

-00

4Q

-00

2Q

-01

4Q

-01

2Q

-02

4Q

-02

2Q

-03

4Q

-03

2Q

-04

4Q

-04

2Q

-05

4Q

-05

2Q

-06

4Q

-06

Ch

an

ge f

rom

Pre

vio

us

Year

Fort Worth-Arlington MD Texas USA



Dallas Yearly Home Sales and Months Inventory

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Sale

s

0

1

2

3

4

5

6

7

Mo

nth

s Inven

tory

Sales Months Inventory


Months of Inventory measures the current absorption rate and how long it would take for current supply to be depleted if no other listings came on the market.

- 30 -


Yearly Homes Sales Plano-Irving Area

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Sale

s

Denton Co. Collin Co. Irving Garland

Source: Real Estate Center at Texas A&M University Yearly Homes Sales

Fort Worth-Arlington Area

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Sale

s

Fort Worth Arlington NE Tarrant County


- 31 -


Housing Unit Characteristics

Owner-occupied housing

units

Renter-occupied housing

units

Total occupied housing

units

Owner-occupied housing

units

Renter-occupied housing

units

Total occupied housing

unitsOccupied housing units 1,274,303 766,089 2,040,392 5,162,604 2,815,491 7,978,095Household Size1-person household 17.8% 37.4% 25.2% 19.1% 35.0% 24.7%2-person household 34.1% 25.8% 31.0% 34.2% 25.8% 31.2%3-person household 17.4% 15.9% 16.8% 17.2% 16.0% 16.8%4-or-more-person household 30.8% 20.9% 27.1% 29.5% 23.2% 27.3%Race and Hispanic or Latino Origin of Householder One Race

White 78.0% 61.7% 71.9% 79.0% 66.2% 74.5%Black or African American 10.1% 22.7% 14.9% 8.2% 17.9% 11.6%American Indian and Alaska Native 0.6% 0.5% 0.5% 0.5% 0.6% 0.6%Asian 4.1% 4.2% 4.1% 2.9% 3.1% 3.0%Native Hawaiian and Other Pacific Islander 0.0% 0.0% 0.0% 0.0% 0.1% 0.0%Some other race 6.2% 9.5% 7.4% 8.3% 10.8% 9.2%

Two or more races 1.1% 1.4% 1.2% 1.0% 1.4% 1.2%Age of HouseholderUnder 35 years 16.0% 46.9% 27.6% 14.4% 46.3% 25.6%35 to 44 years 24.8% 22.4% 23.9% 21.9% 21.4% 21.7%45 to 54 years 24.7% 15.8% 21.4% 24.1% 15.4% 21.0%55 to 64 years 17.6% 7.8% 13.9% 18.1% 8.3% 14.7%65 to 74 years 10.0% 3.5% 7.6% 11.9% 4.2% 9.2%75 to 84 years 5.5% 2.4% 4.3% 7.6% 3.1% 6.1%85 years and over 1.4% 1.1% 1.3% 2.0% 1.3% 1.8%Units in Structure1, detached 90.6% 20.0% 64.1% 87.5% 28.3% 66.6%1, attached 2.6% 4.0% 3.1% 2.3% 3.6% 2.8%2 apartments 0.3% 3.0% 1.3% 0.3% 4.9% 1.9%3 or 4 apartments 0.6% 9.3% 3.9% 0.4% 8.8% 3.3%5 to 9 apartments 0.3% 18.8% 7.2% 0.3% 13.8% 5.1%10 or more apartments 0.9% 42.1% 16.3% 0.7% 35.1% 12.9%Mobile home or other type of housing 4.8% 2.8% 4.0% 8.5% 5.6% 7.5%Year Structure Built2000 or later 16.5% 12.4% 15.0% 13.7% 10.9% 12.7%1990 to 1999 19.7% 16.3% 18.4% 18.6% 14.8% 17.2%1980 to 1989 19.7% 26.7% 22.3% 18.7% 22.5% 20.1%1960 to 1979 26.2% 31.6% 28.2% 28.7% 35.0% 30.9%1940 to 1959 14.3% 9.7% 12.6% 15.4% 12.4% 14.3%1939 or earlier 3.7% 3.3% 3.5% 4.9% 4.5% 4.8%BedroomsNo bedroom 0.2% 1.4% 0.6% 0.2% 1.5% 0.6%1 bedroom 1.4% 38.2% 15.2% 2.1% 32.6% 12.9%2 or 3 bedrooms 65.5% 57.0% 62.3% 70.8% 61.7% 67.6%4 or more bedrooms 33.0% 3.4% 21.9% 26.8% 4.2% 18.9%Annual Household Income and Housing Costs*Median household income (dollars) $65,595 $31,037 $49,740 $54,610 $26,782 $42,139Annual Median Housing Costs (dollars) $14,340 $8,868 $11,304 $10,536 $8,052 $9,108Housing Costs as a percentage of household income 21.9% 28.6% 22.7% 19.3% 30.1% 21.6%* in 2005 inflation-adjusted dollars

Dallas - Fort Worth - Arlington MSA Texas2005 Occupied Housing Unit Characteristics

Source: U.S. Census Bureau 2005 and Real Estate Center at Texas A&M University

- 32 -


Residential Homes Sales Inventory

0

1

2

3

4

5

6

7

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Mo

nth

s In

ven

tory



Months of Inventory measures the current absorption rate and how long itwould take for current supply to be depleted if no other listings came on the market.

Average Sales Price Plano-Irving Area

$0

$25,000

$50,000

$75,000

$100,000

$125,000

$150,000

$175,000

$200,000

$225,000

$250,000

$275,000

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Dallas Denton Co. Collin Co. Garland Irving


- 33 -


Average Sales Price Fort Worth-Arlington Area

$0

$50,000

$100,000

$150,000

$200,000

$250,000

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006


Source: Real Estate Center at Texas A&M University Single-Family Homes Sales Volume

Dallas-Plano Irving Area, 2006

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Un

its

Dallas Denton Co. Collin Co. Garland Irving


- 34 -


Single-Family Homes Sales VolumeFort Worth-Arlington Area, 2006

0

200

400

600

800

1,000

1,200

1,400

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Un

its


Source: Real Estate Center at Texas A&M University Single-Family Building Permits and Average Value

Dallas

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Un

its

$0

$50,000

$100,000

$150,000

$200,000

$250,000

Avera

ge V

alu

e

Units Average Value


p


- 35 -


Single-Family Building Permits and Average ValueFort Worth-Arlington

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

20,000

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Un

its

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

$140,000

$160,000

$180,000

Avera

ge V

alu

e

Units Average Value


p


- 36 -


Dallas-Fort Worth-Arlington Market Overview 2007 Retail

Statistics Dallas Fort WorthTotal Gross Leasable Area (square feet) 112,979,328 49,571,712Overall Occupancy (percent) 89.7 89.4Total Absorption (square feet) 1,959,672 1,144,437New Construction in 2006 (square feet) 4,148,908 1,460,899Class A - Average Annual Rental Rate (per square foot) $24.57 $22.60Source: The Weitzman Group-Cencor Realty Services

Retail Construction Statistics, Year-End 2006

Retail Market Statistics Dallas Area

90

95

100

105

110

115

2002 2003 2004 2005 2006

Million

Sq

uare

Feet

89.0

89.5

90.0

90.5

91.0

91.5

Perce

nt

Gross Leasable Area Overall Occupancy

Source: The Weitzman Group - Cencor Realty Services

- 37 -


Retail Market Statistics Fort Worth

40

41

42

43

44

45

46

47

48

49

50

51

2002 2003 2004 2005 2006

Million

Sq

uare

Feet

86.5

87.0

87.5

88.0

88.5

89.0

89.5

90.0

90.5

Perce

nt

Gross Leasable Area Overall Occupancy

Source: The Weitzman Group - Cencor Realty Services

Dallas City Retail Building Permits 2005*



- 38 -


Denton City Retail Building Permits 2005*



Flower Mound Retail Building Permits 2005*



- 39 -


Fort Worth City Retail Building Permits 2005*


Garland City Retail Building Permits 2005*



- 40 -


Grapevine City Retail Building Permits 2005*


Hurst City Retail Building Permits 2005*

Hurst City Building Permit Office


- 41 -


Mesquite City Retail Building Permits 2005*

Mesquite City Building Permit Office * 2006 data not available as of April 15, 2007.

North Richland Hills City Retail Building Permits 2005*

North Richland Hills City Building Permit Office


- 42 -


Dallas-Fort Worth-Arlington Market Overview 2007 Hotel

Dallas MD** Texas Dallas MD** Texas# Rooms 000's 65.7 333.6 66.6 341.0Average daily rate 77.53 $74.38 84.32 $80.82Occupancy rate (in percent) 58.6 59.9 60.6 61.1

Hotel* Occupancy and Rates

** MD (Metropolitan Division), a sub-unit of an MSA

2005 2006

Source: Office of the Governor Economic Development and Tourism and Source Strategies, Inc. of San Antonio

*Only properties exceeding $18,000 in the current quarter are included; those units below $18,000 only result in 1.5% of the total state revenues, and have been excluded from this database.

Fort Worth - Texas Fort Worth - TexasArlington MD** Arlington MD**

# Rooms 000's 27.2 333.6 26.7 341.0Average daily rate 75.65 $74.38 83.08 $80.82Occupancy rate (in percent) 61.0 59.9 64.6 61.1

Hotel* Occupancy and Rates

** MD (Metropolitan Division), a sub-unit of an MSASource: Office of the Governor Economic Development and Tourism and Source Strategies, Inc. of San Antonio

*Only properties exceeding $18,000 in the current quarter are included; those units below $18,000

2005 2006

only result in 1.5% of the total state revenues, and have been excluded from this database.

- 43 -


Fort Worth City Hotel Building Permits 2005*


Grapevine City Hotel Building Permits 2005*


- 44 -


Dallas-Fort Worth-Arlington Market Overview 2007 Office

SubmarketTotal Bldgs

Total Rentable SF All Bldgs*

Total Vacant SF All Bldgs

Direct Vacancy Rate (in percent)

SF Under Constr. or

Renovation

Net Absorption

(SF)**

Dallas CBD 113 35,672,909 7,115,769 19.5 1,296,971 357,000 Uptown / Turtle Creek*** 87 9,891,322 841,526 7.7 1,064,139 373,000 White Rock 63 3,701,056 297,789 8.0 - 32,000 Central Expressway 103 12,897,785 2,087,163 15.9 24,000 198,000 Preston Center 58 4,633,816 566,023 8.8 - (65,000)Stemmons Freeway 130 13,625,915 3,807,081 27.2 - (258,000)South Irving 23 1,746,447 300,150 17.2 - (72,000)Las Colinas / Urban Center 59 9,450,859 2,802,740 28.0 - (482,000)Office Center / LBJ Extension*** 99 14,795,832 2,159,813 13.8 100,000 309,000 DFW Freeport / Coppell 77 9,373,663 1,258,662 12.9 285,928 1,157,000 West LBJ Freeway 53 4,926,566 1,641,879 30.2 - (142,000)Denton / Lewisville 119 5,889,909 1,247,115 20.5 261,000 454,000 Frisco / The Colony 32 2,622,247 295,523 11.0 837,692 563,000 Allen / McKinney 44 2,397,293 525,780 21.9 625,873 204,000 Upper Tollway / West Plano 123 16,822,025 2,630,075 14.7 299,339 206,000 Plano 93 6,910,845 1,038,823 13.7 30,000 (132,000)Richardson 145 13,119,610 2,328,996 17.3 - 509,000 North Dallas Tollway*** 191 21,419,950 3,855,996 16.5 - 406,000 East LBJ Freeway 124 17,917,708 4,720,479 25.1 - 316,000 Garland 40 1,914,641 255,972 12.9 - (46,000)Southeast Dallas 16 806,991 41,887 5.2 - 65,000 Mesquite / Rockwall 25 720,621 81,910 11.4 - 91,000 Southwest Dallas 55 2,120,984 306,147 14.3 - 53,000 Grand Prairie 27 3,417,441 231,883 6.8 108,000 435,000 Total - Dallas 1,899 216,796,435 40,439,181 17.8 4,932,942 4,531,000

Fort Worth CBD 79 11,237,812 756,073 5.3 373,584 (97,000)Northwest Fort Worth*** 34 2,753,669 296,526 10.8 75,000 110,000 Alliance Air / Fossil Creek*** 22 2,442,943 210,715 8.4 - 104,000 Westlake / Grapevine 74 5,382,191 434,981 7.7 123,900 536,000 Hurst / Euless / Bedford 78 4,873,520 715,473 14.0 - 385,000 Northeast Fort Worth 37 2,131,218 334,120 15.7 80,000 26,000 Arlington 141 7,985,210 1,178,956 13.9 113,156 (130,000)Southeast Fort Worth 8 911,015 41,961 4.6 72,000 96,000 Southwest Fort Worth*** 98 5,006,001 432,177 8.4 - 16,000 Total - Fort Worth 571 42,723,579 4,400,982 10.3 837,640 1,046,000

Source: Delta Associates

* Includes buildings 15,000 SF Rentable (RBA) and greater. Does not include buildings under construction or buildings owned by the government.** Net change in physical occupancy for direct and sublet space combined.*** Inventory has been amended per CoStar.

Dallas Market

Fort Worth Market

Summary of Office Market Indicators - All SpaceYear-End 2006

- 45 -



Total Rentable SF All Bldgs*


Direct Vacancy Rate** (in percent)

SF Under Constr. or

Renovation***

Net Absorption

(SF)**

Dallas CBD 21 22,955,693 4,109,069 17.4% 1,052,063 341,000 Uptown / Turtle Creek**** 27 6,640,542 471,478 6.1 1,064,139 369,000 White Rock 0 - - - - -Central Expressway 17 6,068,987 1,068,142 17.5 - 153,000 Preston Center 15 2,807,916 429,611 10.6 - (135,000)Stemmons Freeway 7 2,906,026 935,740 31.9 - (6,000)South Irving 0 - - - - 31,000 Las Colinas / Urban Center 23 6,400,725 1,683,391 23.9 - 90,000 Office Center / LBJ Extension 31 7,673,392 368,323 4.4 - 355,000 DFW Freeport / Coppell 11 2,552,388 439,011 16.2 200,028 696,000 West LBJ Freeway 5 1,265,910 443,069 29.2 - (46,000)Denton / Lewisville 3 360,000 - 0.0 227,000 160,000 Frisco / The Colony 16 1,964,858 137,540 6.6 511,441 558,000 Allen / McKinney 3 116,280 60,349 51.9 449,947 87,000 Upper Tollway / West Plano 49 11,005,240 1,386,660 11.8 299,339 17,000 Plano 7 1,215,862 252,899 19.3 - -Richardson 31 5,473,924 547,392 9.3 - 406,000 North Dallas Tollway 39 10,087,593 1,543,402 12.8 - 374,000 East LBJ Freeway 21 7,642,874 1,796,075 21.6 - 382,000 Garland 0 - - - - -Southeast Dallas 0 - - - - -Mesquite / Rockwall 0 - - - - -Southwest Dallas 0 - - - - -Grand Prairie 7 2,025,990 - 0.0 - 38,000 Total - Dallas 333 99,164,200 15,672,151 14.6 3,803,957 3,870,000

Fort Worth CBD 10 5,628,405 95,683 1.1% 330,584 16,000 Northwest Fort Worth**** 1 169,966 30,254 17.8 - -Alliance Air / Fossil Creek 3 426,000 29,394 6.9 - 114,000 Westlake / Grapevine 15 2,982,786 74,570 2.5 101,500 507,000 Hurst / Euless / Bedford 5 596,819 95,491 11.9 - 149,000 Northeast Fort Worth 2 103,938 16,734 16.1 - 21,000 Arlington 11 1,501,698 162,183 8.1 - (121,000)Southeast Fort Worth 1 541,630 - 0.0 - -Southwest Fort Worth 6 878,694 36,026 4.1 - 25,000 Total - Fort Worth 54 12,829,936 540,335 3.4 432,084 711,000

**** Inventory has been amended per CoStar.Source: Delta Associates

* Class A per CoStar and greater than 50,000 SF. Does not include buildings under construction or government-owned.** Net change in physical occupancy for direct and sublet space combined.*** Includes only buildings of 50,000 SF or greater.

Dallas Market

Fort Worth Market

Summary of Office Market Indicators - Class Space A*Year-End 2006

- 46 -



Total Rentable SF

All Bldgs*


Direct Vacancy Rate (in percent)

SF Under Constr. or

Renovation***

Net Absorption

(SF)**

Dallas CBD 31 7,137,537 1,555,983 21.3% 244,908 22,000 Uptown / Turtle Creek 44 2,725,239 354,281 12.5 - 13,000 White Rock 48 3,206,382 266,130 8.3 - 13,000 Central Expressway 67 6,157,959 892,904 14.1 24,000 23,000 Preston Center 27 1,443,041 135,646 7.6 - 71,000 Stemmons Freeway 78 8,131,469 2,431,309 28.7 - (269,000)South Irving 10 1,320,327 192,768 14.6 - (110,000)Las Colinas / Urban Center 31 2,778,174 1,094,601 39.3 - (570,000)Office Center / LBJ Extension**** 61 6,652,043 1,716,227 24.5 100,000 (5,000)DFW Freeport / Coppell 63 6,696,860 810,320 11.7 85,900 450,000 West LBJ Freeway 31 3,305,450 1,080,882 30.7 - (76,000)Denton / Lewisville 87 4,656,607 1,164,152 24.1 34,000 317,000 Frisco / The Colony 15 625,728 156,432 25.0 326,251 2,000 Allen / McKinney 38 1,989,776 366,119 18.4 175,926 138,000 Upper Tollway / West Plano 72 5,730,023 1,243,415 20.4 - 186,000 Plano 67 5,060,450 693,282 12.3 30,000 (82,000)Richardson 90 6,598,764 1,649,691 24.6 - 138,000 North Dallas Tollway**** 131 10,788,037 2,233,124 20.1 - 8,000 East LBJ Freeway 96 9,941,709 2,883,096 28.3 - (41,000)Garland 25 1,322,857 222,240 16.1 - (56,000)Southeast Dallas 8 472,331 15,115 3.2 - 62,000 Mesquite / Rockwall 18 559,521 32,452 5.8 - 89,000 Southwest Dallas 39 1,694,079 206,678 12.0 - 45,000 Grand Prairie 11 1,135,332 213,442 18.8 108,000 399,000 Total - Dallas 1,188 100,129,695 21,610,289 20.8 1,128,985 767,000

Fort Worth CBD 36 3,807,094 590,100 12.1% 43,000 (122,000)Northwest Fort Worth**** 17 2,177,338 256,926 11.8 75,000 98,000 Alliance Air / Fossil Creek**** 17 1,685,562 178,670 10.3 - (8,000)Westlake / Grapevine 55 2,271,094 356,562 14.9 22,400 27,000 Hurst / Euless / Bedford 50 3,354,630 543,450 16.0 - 180,000 Northeast Fort Worth 22 1,634,294 212,458 13.0 80,000 46,000 Arlington 85 5,024,661 859,217 16.6 113,156 (42,000)Southeast Fort Worth 6 289,385 41,961 14.5 72,000 96,000 Southwest Fort Worth**** 61 3,196,881 335,673 10.2 - (54,000)Total - Fort Worth 349 23,440,939 3,375,017 13.6 405,556 221,000

**** Inventory has been amended per CoStar.Source: Delta Associates

* Class B per CoStar. Buildings under 50,000 SF even if CoStar classified them as Class A.Does not include buildings under construction or buildings owned by the government.** Net change in physical occupancy for direct and sublet space combined.*** Includes buildings smaller than 50,000 SF even if CoStar classifies them as Class A.

Dallas Market

Fort Worth Market

Summary of Office Market Indicators - Class Space B*Year-End 2006

- 47 -


Class A Class B Class A Class B Class A Class B

Dallas CBD $23.39 $16.67 $23.80 $16.91 1.80% 1.40%Uptown / Turtle Creek 25.11 18.97 27.15 19.83 8.1 4.5White Rock - 14.59 - 14.80 - 1.4Central Expressway 20.63 17.14 20.98 17.62 1.7 2.8Preston Center 25.60 19.30 26.39 20.18 3.1 4.6Stemmons Freeway 20.35 15.29 20.51 15.45 0.8 1.0South Irving 16.02 13.28 - 13.16 - -0.9Las Colinas / Urban Center 22.55 17.61 23.98 18.15 6.3 3.1Office Center / LBJ Extension 22.63 18.62 23.76 19.25 5.0 3.4DFW Freeport / Coppell 21.44 18.04 21.96 19.20 2.4 6.4West LBJ Freeway 21.50 17.50 21.75 17.95 1.2 2.6Denton / Lewisville - 17.29 - 17.47 - 1.0Frisco / The Colony 23.02 20.30 24.29 20.73 5.5 2.1Allen / McKinney - 18.10 24.50 18.47 - 2.0Upper Tollway / West Plano 23.44 21.56 23.99 22.06 2.3 2.3Plano 20.94 17.62 21.53 18.40 2.8 4.4Richardson 21.36 16.94 22.20 17.56 3.9 3.7North Dallas Tollway 22.57 18.89 23.40 19.25 3.7 1.9East LBJ Freeway 21.54 17.55 21.71 17.36 0.8 -1.1Garland - 12.29 - 12.50 - 1.7Southeast Dallas - 13.91 - 13.70 - -1.5Mesquite / Rockwall - 13.65 - 14.28 - 4.6Southwest Dallas - 12.99 - 13.55 - 4.3Grand Prairie 19.44 17.75 19.44 18.39 0.0 3.6Dallas Average 20.93 16.91 21.68 17.34 3.7 2.5

Fort Worth CBD $21.45 $15.78 $21.75 $16.01 1.40% 1.50%Northwest Fort Worth - 16.18 - 16.15 - -0.2Alliance Air / Fossil Creek - 18.64 - 18.25 - -2.1Westlake / Grapevine 23.83 18.91 24.35 18.90 2.2 -0.1Hurst / Euless / Bedford 17.57 14.72 18.00 15.07 2.4 2.4Northeast Fort Worth 20.08 14.90 20.09 14.85 0.0 -0.3Arlington 20.30 16.73 20.55 16.95 1.2 1.3Southeast Fort Worth - 13.70 - 13.95 - 1.8Southwest Fort Worth 19.86 14.93 20.05 15.00 1.0 0.5Fort Worth Average 20.52 16.05 20.80 16.13 1.4 0.5

Dallas Market

Fort Worth Market

Rent Rate Analysis of Class A & B Office Buildings


SubmarketDec-05 Dec-06

% Change 12/05 - 12/06

- 48 -


Average Office Sale Price per SF Dallas-Fort Worth

$120

$103$108

$114

$129

$0.00

$20.00

$40.00

$60.00

$80.00

$100.00

$120.00

$140.00

2002 2003 2004 2005 2006

Source: Delta Associates Dallas Office Market

Net Absorption, All Space, Year-End 2006

(600,000)

(400,000)

(200,000)

0

200,000

400,000

600,000

800,000

1,000,000

1,200,000

1,400,000

Dallas CB

D

Upto

wn / T

urtle

Cre

ek

White R

ock

Cent

ral E

xpre

ssway

Pres

ton Ce

nter

Stem

mon

s Free

way

Sout

h Irv

ing

Las Co

linas

/ Ur

ban Ce

nter

Office

Cen

ter /

LBJ

Exten

sion

DFW Fre

epor

t / C

oppe

ll

Wes

t LBJ

Fre

eway

Dento

n / L

ewisv

ille

Frisc

o / T

he C

olon

y

Allen

/ McK

inne

y

Uppe

r Tollw

ay /

Wes

t Plano

Plan

o

Rich

ards

on

North

Dallas To

llway

East LBJ

Fre

eway

Garland

Sout

heas

t Dallas

Mesqu

ite /

Rock

wall

Sout

hwes

t Dallas

Grand

Pra

irie

Sq

uare

Feet


- 49 -


Fort Worth Office Market Net Absorption (SF), Year-End 2006

(200,000)

(100,000)

0

100,000

200,000

300,000

400,000

500,000

600,000

Fort WorthCBD

NorthwestFort Worth

Alliance Air/ FossilCreek

Westlake /Grapevine

Hurst /Euless /Bedford

NortheastFort Worth

Arlington SoutheastFort Worth

SouthwestFort Worth

Sq

uare

Feet


Dallas Office Market, All SpaceYear-End 2006

0

5

10

15

20

25

30

35

40

Dallas CB

D

Upto

wn / T

urtle

Cre

ek

White R

ock

Cent

ral E

xpre

ssway

Pres

ton Ce

nter

Stem

mon

s Fr

eeway

Sout

h Irving

Las Co

linas

/ Ur

ban Ce

nter

Office

Cen

ter /

LBJ

Exten

sion

DFW Fre

epor

t / C

oppe

ll

Wes

t LBJ

Fre

eway

Denton / L

ewisv

ille

Frisc

o / T

he C

olon

y

Allen / M

cKinne

y

Uppe

r Tollw

ay /

Wes

t Plano

Plan

o

Rich

ards

on

North

Dallas To

llway

East LBJ

Fre

eway

Garland

Sout

heas

t Dallas

Mes

quite

/ Ro

ckwal

l

Sout

hwes

t Dallas

Grand

Pra

irie

Millio

n S

qu

are

Feet

0.0

5.0

10.0

15.0

20.0

25.0

30.0

35.0

Perce

nt

Total Rentable SF Vacancy Rate


- 50 -


Fort Worth Office Market, All Space Year-End 2006

0

2

4

6

8

10

12

Fort WorthCBD

NorthwestFort Worth


Westlake /Grapevine


NortheastFort Worth


SouthwestFort Worth

Mil

lio

n S

qu

are

Feet

0

2

4

6

8

10

12

14

16

18

Perce

nt



Rent Rate Analysis of Class A & B Office Buildings Dallas Area

$21.58$20.99 $20.60 $20.93

$21.68

$17.42 $17.07 $16.85 $16.91 $17.34

$0.00

$5.00

$10.00

$15.00

$20.00

$25.00

2002 2003 2004 2005 2006

Class A Class B


- 51 -


Rent Rate Analysis of Class A & B Office Buildings Fort Worth Area

$19.82 $19.85 $19.92$20.52 $20.80

$15.77 $15.84 $15.92 $16.05 $16.13

$0.00

$5.00

$10.00

$15.00

$20.00

$25.00

2002 2003 2004 2005 2006

Class A Class B


Average Asking Rent/SF Dallas Submarket, 2006

$0.00

$5.00

$10.00

$15.00

$20.00

$25.00

$30.00

Dalla

s CB

D

Uptow

n /

Turtle

Cre

ek

Whi

te R

ock

Central

Exp

ress

way

Pres

ton

Cent

er

Stem

mon

s Fr

eew

ay

Sout

h Ir

ving

Las Co

linas

/ U

rban

Cen

ter

Office

Cen

ter /

LBJ

Exte

nsio

n

DFW F

reep

ort /

Cop

pell

Wes

t LBJ

Free

way

Dento

n /

Lew

isvi

lle

Frisco

/ T

he C

olon

y

Allen

/ McK

inne

y

Upper

Tol

lway

/ W

est P

lano

Plano

Richa

rdso

n

North

Dal

las To

llway

East

LBJ

Free

way

Garla

nd

Sout

heas

t Dal

las

Mes

quite

/ R

ockw

all

Sout

hwes

t Dal

las

Grand

Pra

irie

Per

Sq

uare

Fo

ot

Class A Class B


- 52 -


Average Asking Rent/SFFort Worth Submarket

$0.00

$5.00

$10.00

$15.00

$20.00

$25.00

$30.00

Fort WorthCBD

NorthwestFort Worth


Westlake /Grapevine


NortheastFort Worth


SouthwestFort Worth

Per

Sq

uare

Foot

Class A Class B


Carrollton Office Building Permits 2005*

Carrollton City Building Permit Office * 2006 data not available as of April 15, 2007.

- 53 -


Dallas City Office Building Permits 2005*



Denton City Office Building Permits 2005*



- 54 -


Flower Mound Office Building Permits 2005*



Fort Worth City Office Building Permits 2005*


- 55 -


Garland City Office Building Permits 2005*



Grapevine City Office Building Permits 2005*


- 56 -


Mesquite City Office Building Permits 2005*

Mesquite City Building Permit Office * 2006 data not available as of April 15, 2007.

North Richland Hills City Office Building Permits 2005*

North Richland Hills City Building Permit Office


- 57 -


Dallas-Fort Worth-Arlington Market Overview 2007 Industrial

SubmarketTotal

VacantDirect

VacancySF All Bldgs

Rate (percent)

Allen / McKinney 8,332,673 861,827 10.3 10.30% 180,000 19,000 Brookhollow 56,010,831 4,550,516 7.9 8.1 - 473,000 Central East Dallas 24,249,707 1,354,029 5.6 5.6 - (28,000)Denton / Lewisville 21,051,954 3,796,550 17.5 18.0 1,847,300 617,000 East Dallas / Mesquite 15,956,540 1,401,417 6.4 8.8 1,047,200 752,000 East DFW Airport / Las Colinas 38,711,216 5,768,595 13.0 14.9 2,082,649 982,000 Hines North 36,000,935 2,671,806 7.3 7.4 - (54,000)Lonestar / Turnpike 27,721,758 3,557,477 12.4 12.8 - 862,000 Metropolitan / Addison 22,550,960 2,987,690 10.4 13.2 - (466,000)North Stemmons / Valwood 48,362,481 5,122,639 9.6 10.6 591,049 1,209,000 North Trinity 16,999,628 1,581,725 9.0 9.3 - (22,000)Northeast Dallas / Garland 45,146,373 4,162,622 8.5 9.2 - 1,778,000 Plano 19,098,614 3,675,850 18.6 19.2 32,400 2,322,000 Redbird Airport 16,073,281 942,830 5.6 5.9 - 370,000 Richardson 19,681,641 3,549,240 17.1 18.0 - 341,000 Rockwall / Forney / Terrell 5,599,777 202,640 3.6 3.6 - (40,000)Southeast Dallas / I-45 10,588,564 801,258 7.6 7.6 792,600 100,000 Southwest Dallas / US 67 10,460,643 1,287,911 11.2 12.3 - 35,000 Total - Dallas 442,597,576 48,276,622 10.1 10.9 6,573,198 9,250,000

Arlington / Mansfield 20,122,435 1,808,223 9.0 9.0 186,947 260,000 East Fort Worth 22,795,504 2,142,801 8.9 9.4 365,000 61,000 Lower Great Southwest 30,401,062 3,445,281 11.3 11.3 - (429,000)Meacham / Fossil Creek 30,324,926 1,986,652 6.2 6.6 396,178 (296,000)North Central Fort Worth 12,056,497 716,864 5.9 5.9 - (286,000)Northeast Tarrant / Alliance 21,518,545 1,012,568 4.7 4.7 - 826,000 South Central Fort Worth 11,120,793 906,525 8.2 8.2 78,014 (607,000)South Tarrant County 21,689,577 1,706,749 7.9 7.9 - 1,240,000 Upper Great Southwest 38,418,363 5,438,385 13.4 14.2 969,400 2,240,000 West DFW Airport / Grapevine 16,129,834 2,213,989 12.1 13.7 113,640 (798,000)West Tarrant County 3,979,595 44,740 1.1 1.1 - 11,000 Total - Fort Worth 228,557,131 21,422,777 9.0 9.4 2,109,179 2,222,000


Dallas

Fort Worth

Summary of Industrial Market Indicators - All SpaceYear-End 2006

* Does not include buildings under construction or buildings owned by the government.** Net change in physical occupancy for direct and sublet space combined.

Total Rentable Sf All Bldgs.*

Vacancy Rate

w/Sublet (percent)

SF Under Constr. or

Renovation

Net Absorption

(SF)**

- 58 -


Dallas Industrial Market Vacancy Rate

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

16.0%

Flex/High-Tech Manufacturing Warehouse/Distribution

2002 2003 2004 2005 2006


Fort Worth Industrial Market Vacancy Rate

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

16.0%

18.0%


2002 2003 2004 2005 2006


- 59 -


Dallas Industrial Market Net Absorption

-2,000,000

-1,000,000

0

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

7,000,000

8,000,000


Sq

uare

Feet

2002 2003 2004 2005 2006


Fort Worth Industrial Market Net Absorption

-2,000,000

-1,000,000

0

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000


Sq

uare

Feet

2002 2003 2004 2005 2006


- 60 -


Dallas Industrial Market Under Construction

0

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

7,000,000


Sq

uare

Feet

2004 2005 2006


Dallas Industrial Market Year-End 2006

0

10

20

30

40

50

60

Allen / M

cKinne

y

Broo

khollow

Cent

ral E

ast D

allas

Dento

n / L

ewisv

ille

East D

allas / M

esqu

ite

East D

FW A

irpor

t / Las

Colinas

Hine

s No

rth

Lone

star

/ Tu

rnpike

Metro

politan

/ Ad

diso

n

North

Stemmon

s / V

alwoo

d

North

Trin

ity

North

east D

allas / G

arland

Plan

o

Redb

ird A

irpor

t

Rich

ards

on

Rock

wall /

For

ney / T

erre

ll

Sout

heas

t Dallas / I

-45

Sout

hwes

t Dallas / U

S 67

Millio

n S

qu

are

Feet

0

2

4

6

8

10

12

14

16

18

20

Perce

nt



- 61 -


Fort Worth Industrial Market Year-End 2006

0

5

10

15

20

25

30

35

40

45

Arlin

gton

/ Man

sfield

East For

t Wor

th

Lower

Gre

at S

outh

west

Meach

am /

Foss

il Cr

eek

North

Cen

tral F

ort W

orth

North

east Tar

rant

/ Allia

nce

Sout

h Ce

ntra

l For

t Wor

th

Sout

h Ta

rran

t Cou

nty

Uppe

r Gre

at S

outh

west

Wes

t DFW

Airp

ort /

Gra

pevine

Wes

t Tar

rant

Cou

nty

Millio

n S

qu

are

Feet

0

2

4

6

8

10

12

14

16

Perce

nt



Dallas Industrial Market Net Absorption, Year-End 2006

(1,000,000)

(500,000)

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

Allen

/ McK

inne

y

Brook

hollo

w

Central

Eas

t Dal

las

Dento

n /

Lew

isvi

lle

East

Dal

las /

Mes

quite

East

DFW

Airp

ort /

Las

Col

inas

Hines

Nor

th

Lone

star

/ T

urnp

ike

Met

ropo

litan

/ A

ddison

North

Ste

mm

ons /

Valw

ood

North

Trin

ity

North

east

Dal

las /

Garla

nd

Plan

o

Redbi

rd A

irpor

t

Richa

rdso

n

Rockw

all /

For

ney

/ Te

rrel

l

Sout

heas

t Dal

las /

I-45

Sout

hwes

t Dal

las /

US 67

Sq

uare

Feet


- 62 -


Fort Worth Industrial Market Net Absorption, Year-End 2006

(1,000,000)

(500,000)

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

Arling

ton

/ Man

sfie

ld

East

For

t Wor

th

Low

er G

reat

Sou

thw

est

Mea

cham

/ F

ossil C

reek

North

Cen

tral

For

t Wor

th

North

east

Tar

rant

/ A

llian

ce

Sout

h Cen

tral

For

t Wor

th

Sout

h Ta

rran

t Cou

nty

Upper

Gre

at S

outh

wes

t

Wes

t DFW

Airp

ort /

Gra

pevi

ne

Wes

t Tar

rant

Cou

nty

Sq

uare

Feet


- 63 -


Carrollton Industrial Building Permits 2005*

Carrollton City Building Permit Office * 2006 data not available as of April 15, 2007.

Dallas Industrial Building Permits 2005*



- 64 -


Denton City Industrial Building Permits 2005*



Fort Worth City Industrial Building Permits 2005*


- 65 -


Garland City Industrial Building Permits 2005*



Grapevine City Industrial Building Permits 2005*


- 66 -

This annual report is created free of charge by the Real Estate Center at Texas A&M University. We strive to provide the most accurate, up-to-date, and insightful data to paint a detailed picture of Texas’ Metropolitan Statistical Areas. However, links contained in this report may change in time and become obsolete. The Real Estate Center advises to contact the original source if any of the links are found to be broken. The Center also provides numerous publications, resources, and data on building permits, employment, population, and home sales at http://recenter.tamu.edu. For the latest daily news visit http://recenter.tamu.edu/mnews/mnsearch.asp?AID=8.

Report compiled by:

Administrative CoordinatorEdith Craig

Real Estate / Market Research Analyst

Dr. Isilay Civan

Database SupportBlake Lacy

Real Estate Center, 2115 TAMU, College Station, TX 77843-2115 Phone: 979.845.2031 | Fax: 979.845.0460

http://recenter.tamu.edu/

http://recenter.tamu.edu/mnews/mnsearch.asp?AID=8