Estimated $100M Office Plan Gets Under Way

COPPELL, TX-Gateway Corporate Center, a planned 700,000-sf, 58-acre class A development about 18 miles northeast of the Dallas-Fort Worth International Airport, has broken ground at the northeast and northwest corners of Interstate 635 and Freeport Parkway. The first two buildings, a 225,370-sf phase, are slated for delivery in the third quarter.

The developer, Transwestern Dallas, a 30-year-old, privately held firm, declines to disclose the development cost of the project which has been on the drawing board for the past year. However, area construction sources familiar with comparable projects in the greater Dallas market, tell GlobeSt.com that the hard construction cost will probably be in the $150 per sf to $200 per sf range or about $105 million total at the minimum. Sources close to the developer insist their cost will be south of $200 per sf. But industry sources tell GlobeSt.com few class A projects planned for over 500,000 sf today anywhere in the US can be built for less than $150 per sf to $200 per sf because of rising prices for material and labor.

Reid Caldwell, Kim Butler and Ric Nelson head the development, marketing and leasing. Butler calls the site, just in front of the Coppell business district, “a prime location with strong visibility for a corporate user looking for high-density, value-plus office space.” The developer is offering tenants signage and six parking spaces for every 1,000 sf of leased space at the two-story structures.