Dallas Business Journal

First Look: Major Uptown Office Project Gets First Thumbs Up

A massive new office tower along McKinney Avenue in Uptown Dallas is a step closer to becoming a reality.

Last week, The Oak Lawn Committee gave its full support to the project after asking developer Trammell Crow Co. to make some slight tweaks following an initial presentation in June. The proposed 27-story tower would be located at 2401 McKinney Ave., where Truluck's and a former Gold's Gym sit. Reaching 416 feet tall, according to plans submitted to the Oak Lawn Committee, the project would include six levels of underground parking with an entrance off Fairmount Street.

The developer has come to an agreement with Truluck's and will build a two-story space for the restaurant within the project's ground floor. An additional 6,850 square feet of retail space will occupy the ground floor along with an 1,800-square-foot conference room. The tower will offer 670,000 square feet of office space, according to an earlier report by the Dallas Morning News. It is not clear if the project would break ground as speculative or if the developer is already in talks with an anchor tenant.

Scott Krikorian, Trammell Crow's senior managing director and principal, was not immediately available for comment.

The project has been designed by a team featuring Connecticut-based Pickard Chilton, HKS and OJB Landscape Architecture. Following the support of The Oak Lawn Committee, the project will now need approval from Dallas’ planning commission and city council before it can officially break ground.

The Uptown/Turtle Creek submarket of Dallas is currently home to 13.8 million square feet of office space with a vacancy rate of 15.9 percent as of the end of the second quarter, according to Holt Lunsford Commercial. The area is also home to the highest average office rental rates in North Texas at $40.28 full service gross. Some 656,774 square feet of new office space is under construction in the area, most of which belongs to the 350,000-square-foot Victory Commons and The Link at Uptown.

With 2401 McKinney now in the picture, the Uptown/Turtle Creek submarket has roughly 5.2 million square feet of proposed office space. Besides the numerous projects mentioned in a Business Journal report in May, newly proposed or updated projects include 23Springs, formerly Cedar Maple Plaza, which will have 623,624 square feet of office space, and Harwood No. 14, which will be anchored by Haynes and Boone LLP and will have 360,000 square feet of office space.