Southland Industries Expands by 226,980 SF, Fully Occupying Ackerman & Co.'s Corporate Drive Industrial Complex

Southland Industries has signed a 226,980-square-foot lease expansion at Corporate Drive Industrial Complex in Selma, Texas, bringing the two-building, Class A industrial park owned by Ackerman & Co. to full occupancy, Partners Real Estate announced Oct. 12.

The expansion raises Southland Industries' total footprint at the 511,000-square-foot complex to 289,380 square feet, or about 56.6% of the park. The company originally leased 62,400 square feet at the property in late 2024. The announcement describes Southland Industries as one of the largest MEP construction contractors in the country, and says the expansion further extends its Texas presence.

Partners Real Estate Represented Ackerman & Co. in the Lease

Partners Real Estate, a private, partnership-led, fully integrated commercial real estate firm, represented the landlord, Ackerman & Co., in the transaction. The Industrial Services group team included John Colglazier, SIOR, Partner; Roger Hill, SIOR, Partner; and Kyle Kennan, Vice President. The same team has represented Ackerman & Co. at Corporate Drive since the park broke ground in 2023.

"We developed Corporate Drive because we believe in this corridor and its long-term potential," said Jeff Bryant, President, Ackerman Southwest. "San Antonio's MSA has a strong labor story to support growing manufacturing investment in the region. Southland's decision to grow here is a vote of confidence in the region's workforce and in this Park's location."

Colglazier said, "Watching Corporate Drive fill up over the past two years is proof of what this submarket can do when the location and the building specs are right. It's a great milestone for the park, and we expect it won't be the last we see in this corridor."

Corporate Drive Industrial Complex: Property Details

Corporate Drive Industrial Complex is located at 9388 Corporate Drive in Selma, less than one mile from Interstate 35 and approximately 17 miles northeast of downtown San Antonio. The park sits on a 32-acre site and comprises two buildings of 274,000 square feet and 237,000 square feet. It is zoned I-1, and its flexible configurations accommodate both owner-users and multi-tenant occupancy.

Delivered in 2024, the park features:

• 32- to 36-foot clear heights
• 60 dock doors and two drive-in bays
• ESFR fire protection
• 480/277-volt three-phase power with 4,000-amp capacity
• 647 parking spaces, with the option for 88 more

The park reached full occupancy within two years of completion. Its tenants include KW Automotive, Omega Air and Southland Industries. The Southland Industries expansion represents about 36.3% of the complex.

San Antonio Industrial Market Context

The lease comes as San Antonio industrial demand has strengthened following a period of substantial new supply. Partners' Q2 2026 San Antonio Industrial Market Report recorded 873,488 square feet of net absorption during the quarter, up 48.6% from the prior quarter, while vacancy fell 37 basis points to 11.3%. Partners also reported total availability of 12.1% and direct vacancy of 10.7%.

The Northeast San Antonio submarket, where Corporate Drive is located, had the metro's highest vacancy rate at 17.1%, which places the park's full occupancy against a more competitive local backdrop. CBRE reported a more conservative second-quarter reading of 252,000 square feet of net absorption and a 10.3% vacancy rate, noting that vacancy had risen from 4.8% in the second quarter of 2022 as new deliveries and slower leasing affected the market. The differing figures likely reflect variations in market boundaries, inventory and methodology.

Transportation and warehousing led local job growth, adding 3,800 jobs year over year ending May 2026, and the metro's industrial-linked employment growth was the strongest of the five metros Partners tracks. The San Antonio metro added more than 250,000 residents between 2020 and 2025, ranking ninth among U.S. metros for numeric population growth in 2025, according to U.S. Census Bureau estimates. Texas has also been named the Best State for Business by Chief Executive magazine for 22 consecutive years.

Ackerman & Co.'s Wider Industrial Pipeline

In addition to Corporate Drive, Ackerman & Co. and its investment partner Baltisse developed the fully leased 307,000-square-foot Doerr Lane Logistics Center in Schertz, Texas, located at 9870 Doerr Lane, which the venture subsequently sold. The partners are also developing phase one of TriPoint Logistics Center, a 120-acre industrial park in Seguin, Texas, where Curt Manufacturing signed a 400,000-square-foot build-to-suit lease. The overall TriPoint project can support up to 1.5 million square feet.

Ackerman & Co., founded in 1967, is a privately held, full-service commercial real estate firm focused on investment, brokerage, management and development services across the South. The company has 100 real estate professionals, has developed and acquired 44 million square feet of space, manages 7 million square feet and maintains an investment portfolio valued at $1 billion.

Partners is one of the largest privately held and independently owned commercial real estate firms in the U.S., with operating segments spanning its Occupier & Investor business, Partners Capital and Partners Development.

Outlook

Full occupancy at Corporate Drive within roughly two years of its 2024 delivery stands in contrast to the 17.1% vacancy recorded across the Northeast San Antonio submarket. Southland Industries' decision to grow within the park, rather than enter a new location, adds to a leasing record that Ackerman & Co. is now extending to its Seguin project.

Sources

• Ackerman & Co.: Corporate Drive Industrial Complex is now fully occupied following Southland Industries 226,980 SF lease expansion