M2G, Pennybacker to Redevelop Tuesday Morning Distribution Campus

A team of real estate players aims to redevelop Tuesday Morning’s huge distribution complex just north of Dallas.

Developers Pennybacker Capital Management and M2G Ventures are working with Lee and Associates and Rich Young Company to make “significant capital improvements” at the 1.2 million-square-foot office and industrial campus on Inwood Road, north of LBJ Freeway in Farmers Branch, the Dallas Morning News reported.

Off-price retailer Tuesday Morning is closing all of its stores after filing for bankruptcy in February. The 47-acre campus comprises about six warehouse buildings. Lee and Associates and Rich Young have begun seeking tenants to fill up the space.

“The size of this portfolio offers multi-tenant optionality and serves as one of the largest infill urban industrial plays in recent news,” Lee and Associates principal Adam Graham told the outlet, adding that the redevelopment creates “optimal value for future occupants.”

The property will be rebranded as Inbound on Inwood. It’s located in an area that’s seen an uptick in new development in recent years.

Pennybacker and M2G Ventures, which bought the Tuesday Morning campus in 2021, have worked together on other industrial redevelopments in Dallas. They converted a 9-acre office and showroom complex in the Brookhollow district, northwest of downtown, into an urban industrial complex called Proto Park. M2G also bought the six-building Commonwealth Business Park near Stemmons Freeway last year, with plans to redevelop it.

—Quinn Donoghue