One of Tallest DFW Towers Sells in Large SW Deal

Highland Capital Management has finalized the purchase of the class-A 42-story office Cityplace Tower building from a joint venture partnership between Parmenter Realty Partners and Angelo, Gordon & Co.

Cityplace is one of the largest deals in the southwestern United States in the past decade.

DALLAS—Highland Capital Management has finalized the purchase of the class-A 42-story office Cityplace Tower building located at 2711 N. Haskell Ave. from a joint-venture partnership between Parmenter Realty Partners and Angelo, Gordon & Co. Financial terms of the sale were not disclosed but this is easily one of the largest deals in the southwestern United States in the past decade at 1.35 million square feet.

Cityplace Tower has the only underground DART station in the rail system. The acquisition also includes about 6 acres of surrounding land for Highland to develop. It is located along the North Central Expressway in the Cityplace-West Village neighborhood adjacent to Uptown.

Highland plans to revitalize the property’s common areas and strengthen the existing amenity base with new retail space, restaurants and tenant amenities. This sale adds another significant asset to Highland Capital Management’s growing real estate portfolio.

The red granite office tower was originally built in 1985 specifically for the 7-Eleven company, according to a Costar report. The convenience store chain later moved to the Arts District and then to a new corporate campus in Cypress Waters in 2016.

“The iconic nature of Cityplace Tower drew us to the property,” comments James Dondero, co-founder and president of Highland Capital Management. “We hope to transform the surrounding area with our strategic renovations and improvements. Cityplace was designed to anchor an ambitious urban development and we believe our plans will revitalize that vision.”

At the time Parmenter acquired the office tower, the deal closed at more than $135 million, or about $100 per square foot, according to CoStar data. Colliers International brokers Creighton Stark and Chris Boyd, along with Jihane Boury, brokered the deal.

Effective immediately, NexBank Realty Advisors will serve as the property management group and oversee leasing activity for Cityplace Tower, and Avison Young has been appointed by Highland Capital Management as the exclusive listing agent for the property. Avison Young Principals Grant Sumner, Chuck Sellers and Taylor Lynch have been hired to lease the building on behalf of the new ownership group.

“The building is a Dallas icon. Cityplace was originally designed to be two towers, but only one tower was ever built. It is the tallest office tower in the metroplex outside of the downtown core and the new ownership is looking to bring this landmark building new life with added retail and additional amenities,” Sumner tells GlobeSt.com. “We are looking for tenants needing 15,000 square feet and above. We would to see a large corporation that needs several floors call Cityplace its home.”