Why We’re Building Flex Space While Everyone Else Chases Warehouses

[Forrest Webber]

Industrial real estate has been on a ride. The headlines have followed the big stuff—Amazon-scale warehouses, 100,000+ SF distribution hubs, logistics parks sprawling across the map. Then came the correction.

But beneath that macro swing, one corner of the market hasn’t flinched: small-bay flex space.

This is the niche we’re building into. Not because it’s trendy—but because it’s needed, overlooked, and makes sense.

Flex space is the workhorse of local business. It’s a hybrid: part warehouse, part office, modular enough to serve trades, e-comm storage, HVAC shops, repair crews, last-mile logistics, and firms that need one foot in shipping and one foot in sales. In fast-growing edge cities like New Braunfels—where we’re breaking ground now—it fills a gap that’s widening every year.

Here’s the simple tension: big box supply has exploded. Flex space hasn’t. In Comal County, vacancy on logistics space is pushing 13%. Flex? Still under 5%. And those numbers are tighter in places like Buda and Manor, where functional small-bay space barely makes it to market before getting scooped up.

It’s also faster and cheaper to build. We’re using prefab metal shells—nothing fancy, just clean execution. We can go vertical in 4–6 months, keep costs predictable, and hit price points tenants can live with. In today’s capital environment, that timeline and margin profile is hard to beat.

We’re doing ten bays. Each 12,000 SF. Full HVAC. 18’ clear. Modern storefronts. Outdoor storage. I-35 frontage. In a region full of aging metal boxes with no curb appeal or climate control, that combination stands out. We’re not trying to outspend institutional players—we’re solving a different problem.

Small-bay flex isn’t loud. But it’s real. It’s where actual businesses operate. And it’s where we see the strongest fundamentals—low supply, sticky tenants, steady absorption, and functional utility that doesn’t go out of style.

That’s the thesis.

Happy to connect with others working in this space.