At a glance
- The building opened in 2022 and is 93% leased, with Lockton, the insurance brokerage, running a large regional office there alongside Scotiabank.
- The Dallas Business Journal reported that before the sale Hillwood Urban and JLL weighed options for the tower, including refinancing or restructuring its finances, or bringing in a new owner or partner, an account Connect CRE carried.
- For allocators underwriting Dallas office, the deal turns on the occupier's own capital: before buying, Scotiabank had planned to invest $60 million at the building over three years, and it now intends to occupy 100,000 square feet and employ more than 1,000 people there.
Scotiabank bought Victory Commons One, the 15-story Dallas tower it leases, from Hillwood Urban, the Ross Perot Jr. company that developed the 364,000-square-foot building with Affinius Capital. Terms were not disclosed.
The building opened in 2022 and is 93% leased, with Lockton, the insurance brokerage, running a large regional office there alongside Scotiabank. The Dallas Business Journal reported that before the sale Hillwood Urban and JLL weighed options for the tower, including refinancing or restructuring its finances, or bringing in a new owner or partner, an account Connect CRE carried.
For allocators underwriting Dallas office, the deal turns on the occupier's own capital: before buying, Scotiabank had planned to invest $60 million at the building over three years, and it now intends to occupy 100,000 square feet and employ more than 1,000 people there. A tenant that moves from lessee to owner while enlarging its footprint likely changes how the asset is priced for the next buyer, since the credit behind roughly a quarter of the building's space is no longer a lease obligation.
Reported by the Deals desk from Connect CRE and Dallas Business Journal. Published . Corrections