Private equity giant Blackstone has agreed to acquire a 6-million-square-foot industrial portfolio from Crow Holdings for $718 million. The deal covers 25 Class A properties concentrated in the Dallas and Houston metros. Crow Holdings, which developed the assets, will retain a 5% stake.

The acquisition expands Blackstone’s already massive warehouse footprint: The firm now owns $170 billion in warehouse real estate globally — including $90 billion in the U.S. — and sees this latest move as a long-term bet on the sector, despite near-term uncertainty tied to tariffs.

“This is another example of Blackstone Real Estate deploying capital during this period of market volatility,” said David Levine, co-head of Americas acquisitions for Blackstone. “With limited vacancy and new construction starts down more than 80% from the 2022 peak, logistics remains a high-conviction theme for us.”

Meanwhile, Crow Holdings has been one of the most active industrial developers in Texas and holds one of the largest portfolios in the state.

“We’re extremely proud of our team for developing such a high-quality portfolio that attracted Blackstone, and we look forward to the possibilities of this partnership,” said CEO, Michael Levy.

The transaction is expected to close by the end of the quarter and comes on the heels of another major deal in the sector: Starwood Capital Group’s $685 million purchase of a warehouse portfolio from Goldman Sachs and Dalan Industrial, which included properties in Dallas; Austin, Texas; Atlanta; and Nashville, Tenn.

Dallas Tops U.S. in Sales & Supply, Vacancy Climbs to 9.6%

According to CommercialEdge’s latest industrial report, Dallas continues to lead both the South and the nation in industrial sales volume. Specifically, year-to-date transactions reached $415 million through February 2025 — well ahead of all other markets.

But, even with strong deal volume, average sales prices in Dallas have remained flat so far this year at $112 per square foot — well below the national average of $127. In fact, pricing has seen only modest growth in recent years (up just 2% from 2022 to 2024), as compared to a 5% national increase in the same period. That’s largely due to the level of new supply with more than 206 million square feet delivered since 2020 to add roughly 20% to the market’s total inventory.

Construction activity in Dallas remains the most active of any U.S. market with 23.7 million square feet underway as of February. Granted, that’s down from 28.6 million at the same point last year, which is in line with a broader national slowdown. In contrast, Houston has picked up steam with 13.8 million square feet under construction — up from 9.55 million a year ago — to now rank as the South’s second-most active pipeline.

Meanwhile, at the end of February, vacancy in Dallas hit 9.6%, which was one of the highest rates in the region and 520 basis points above where it was a year ago. That also puts Dallas above the national average of 8.2%.