A high-profile office tower in Dallas’ financial district just hit the market.
Courtesy of Hillwood Urban
Victory Commons One
Hillwood Urban hired JLL to advise on monetization options for the Victory Commons One tower at 2601 Victory Ave. The companies are considering options such as selling the 364K SF building, refinancing, restructuring its finances or bringing on a partner, according to the Dallas Business Journal.
Canadian financial institution Scotiabank signed a 100K SF lease in the 4-year-old building late last year to establish a regional hub on Y’all Street. Scotiabank, the operating name of the Bank of Nova Scotia, plans to invest $60M over the next three years for its 1,000-employee hub.
Insurance brokerage Lockton also occupies three floors of the 15-story building in the city’s Victory Park neighborhood. JLL’s listing for the Victory Commons One tower says the building is 93% leased with a 12.2-year weighted average lease term.
Hillwood Urban developed the trophy office tower in partnership with Affinius Capital. The property features a 1-acre landscaped park and a 5K SF sky garden with views of the Dallas skyline.
Hillwood Urban did not immediately respond to Bisnow’s request for comment on the monetization efforts.
Victory Commons One is adjacent to the American Airlines Center, which was hit with the impending losses of Dallas’ NBA and NHL franchises earlier this month.
The tower is also in the heart of Y’all Street, which has attracted a wave of major financial players to the region with the planned launch of the Texas Stock Exchange as an alternative to the New York Stock Exchange and the Nasdaq Stock Market.
TXSE will have an office in the under-construction Bank of America Tower at Parkside at 1919 Woodall Rodgers Freeway. That Uptown Dallas building will also feature a new 238K SF office for Bank of America.
The existing securities exchanges have also set up shop in Dallas. The NYSE reincorporated its Chicago branch in Dallas, and Nasdaq soon followed, announcing plans for a regional headquarters in the metro area to serve the entire Southeast.
Goldman Sachs is building a $500M office campus just south of Uptown, expected to open in 2028. That 800K SF property at 2323 N. Field St. will eventually house more than 5,000 employees.
Morgan Stanley is also considering a $684M investment in a new high-rise at 2401 McKinney Ave. to consolidate its local operations.
The Dallas City Council approved an $18.5M incentive package for the proposed tower this week. However, the financial services firm is also considering Alpharetta, Georgia, for the project.
Just down the road from that project, Stonelake Capital Partners plans to break ground on a 17-story speculative office tower at 2626 McKinney Ave. next month. The 2626 McKinney building will feature almost 174K SF of trophy office space and around 7K SF of ground-floor retail.
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