RICHARDSON, TX-Just a few years ago, companies embarked on consolidations because they were shrinking their operations and downsizing their workforces. Today, there’s a new consolidation trend – companies are positioning themselves for future growth and bringing people together under one roof to enhance productivity, according to John Brownlee, a senior vice president of KDC.
For example, Fossil Inc. plans to consolidate its two local corporate offices into 535,000 square feet at 901 Central, the former headquarters for Blue Cross and Blue Shield of Texas.
“Fossil is a great example of a company that is consolidating offices because business is good,” Brownlee tells GlobeSt.com. “They’re planning for future growth.”
As GlobeSt.com previously reported, the company signed a long-term lease for the facility, which became available when BCBSTX moved into its new 1.1 million-square-foot headquarters in March 2010.
KDC developed the insurance company’s new home, also in Richardson. As part of its KDC developed BCBSTX’s headquarters and assumed responsibility for its former headquarters, which is owned by The Swig Co.
KDC began negotiating with Fossil in mid-2010, Brownlee notes. Fossil, which designs and distributes fashion accessories, currently occupies 190,000 square feet of office space at 2280 N. Greenville Ave. and another 130,000 square feet at 2323 N. Central Ave. As part the deal, KDC will purchase Fossil’s two office facilities, along with a 139,000-square-foot industrial facility located at 2155 Campbell Creek.
Brownlee notes that Fossil is just one of several companies that KDC has worked with that have consolidated offices with an eye toward productivity. Last year, for example, Denbury Resources Inc. leased 325,000 square feet at The Campus at Legacy, a 1-million-square-foot complex that formerly housed EDS’ operations. The new facility allowed Denbury to consolidate employees from both Richardson and Fort Worth under one roof.
“Most of our clients think it’s better for people to be able to walk across the hall than having to drive across town to [collaborate],” Brownlee explains.
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