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ALLEN, TX-Looking to corner the market, a local developer is working a 435,000-sf plan for three multi-faceted office projects in a Collin County suburb. The all-in development cost is resting at $70 million.

Within two weeks, the locally based JaRyCo Development LLC will break ground on a 23,000-sf first phase to the 250,000-sf Corporate Center, a 20-acre development ticketed for the junction of Watters Road and Raintree Circle in Allen. Transwestern Commercial Services Inc.’s John Waller and Jeff Anderson have preleased 1,200 sf to a medical billing company although the game plan was to raise the first building as spec. Corporate Center I delivers in September. Bruce R. Heller, JaRyCo’s president, estimates it will take five years to build out the land.

“This is the first of its type and price point in new quality product in Allen,” Heller tells GlobeSt.com. “The biggest challenge is making brokers aware that this product will be available.” The majority of the suburb’s existing inventory was built in the late 1980s and early 1990s.

Anderson says interest is running high from mid-size companies for the Corporate Center space, which is on the market at $14 per sf net. “We expect by the time that building delivers to be over 50% leased,” he says.

About a mile to the south, Heller is working a 15-acre plan for 80,000 sf of office condos at the corner of Bethany and Watters roads. A 16,000-sf, four-building first phase for the Woods at Watters Road will break ground when it reaches the 50% presale mark, according to Heller. With a couple contracts pending, he’s anticipating dirt work will start by the end of summer. Shell space has been tagged at $168 per sf. The project has been designed with four walls of glass to capitalize on the wooded setting and panoramic views on the west side of Watters Creek.

Heller’s already underway on a 105,000-sf medical office development, Twin Creeks Medical Center. A 36,000-sf second building broke ground about three months ago. The spec project’s on track for a September delivery. Several leases are under negotiation.

“There’s a diversity of companies in Allen that we’re trying to cover,” Heller says. “In this business, you’ve got to watch supply and demand. We think there’s a good, steady growth in Allen, but at the same time we have a diversity of product.”

The team says Corporate Center’s development cost is $36.5 million while the condo project is bearing a $14-million tag for the shell construction. The medical office development has a build-out tag of $19.5 million. The key to the investment strategy, Waller explains, is having space for lease, sale and medical use. “Our goal is to be the single point of contact in Allen,” he says.

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