One of North Texas’ biggest industrial developers is adding a 1 million-square-foot building to a massive project southwest of Dallas.

Developer Hillwood, best known for the 27,000-acre AllianceTexas project north of Fort Worth, plans to soon add a third building to the Hillwood Crossroads Logistics Park at 1211 N. Ward Road in Midlothian. 

A filing with the Texas Department of Licensing and Regulation shows an estimated construction cost of $40 million. CoStar reported Hillwood broke ground on the project earlier this month. The state filing estimates construction will be completed in September 2027.

Hillwood representatives did not immediately respond to questions about the building.

Hillwood first announced plans for the Midlothian development in 2022, after the City Council approved plans for the development of more 350 acres the previous year. The project was designed by GSR Andrade Architects, and Midlothian officials initially agreed to provide $5 million in incentives to support the project.

Plans call for a six-building development, and the logistics park is in the same area where Google built its 375-acre data center campus off U.S. 67. Retailers Target and QuikTrip have distribution centers nearby. 

Dallas-Fort Worth has the nation’s largest industrial pipeline, with more than 31.2 million square feet under construction, narrowly edging out Phoenix, according to data from Yardi Matrix.

Industrial leasing in Dallas-Fort Worth totaled 21.1 million square feet in the second quarter of 2026 — a 23.4% year-over-year increase. That is the highest second-quarter leasing volume since 2022, according to data from real estate firm Newmark.