Chateau Plaza, Uptown Dallas Office Highrise, Gets Revamp

An Uptown Dallas office highrise is getting a new look and a new name.

Owners of the 179,000-square-foot, 18-story building known as Chateau Plaza plan to add a series of upgrades to the property and will rename it to 2515 McKinney, the Dallas Morning News reported. A group of investors advised by J.P. Morgan Global Alternatives have owned the building since 2005.

Renovations include a new lobby, tenant lounge, public hallways, boardroom, fitness center and outdoor patio. Entos Design is at the helm of interior work and construction, set to be completed later this year, and Stream Realty Partners is overseeing the project as a whole. Costs were not reported.

“Office demand is migrating to quality, and we plan to deliver just that,” J.P. Morgan’s Dan Minkoff said in a statement.

Chateau Plaza was built in 1985 and last renovated in 2011. With more than $500 million of developments coming to the Uptown area, owners of older buildings feel prompted to upgrade in order to compete with new products coming online, especially as demand for office space remains low.

The net absorption rate in the Dallas-Fort Worth region dropped by nearly 680,000 square feet in the first quarter of this year. DFW had an 18 percent vacancy rate over the same period, while downtown Dallas’ was 27 percent, the outlet reported.

As new office buildings continue to pop up, some older ones are undergoing office-to-residential conversions, which is expected to produce about 1,500 units over the next two years.

—Quinn Donoghue