Owners of the Fields West development in Frisco have tapped one of Dallas’ real estate heavyweights to spearhead much of the office portion, signaling confidence in an asset class that’s been in a slump since the pandemic.
Trammell Crow Company will develop 2.8 million square feet of build-to-suit and speculative office space across 47 acres in the 160-acre Fields West mixed-use hub, owned by a venture of Karahan Companies, Hunt Realty Investments, Chief Partners and Crosstie Capital, the Dallas Morning News reported.
Fields West is part of the 2,500-acre Fields master-planned community.
An office development of such magnitude is risky given the beleaguered state of Dallas-Fort Worth’s office sector, which is grappling with high vacancies and distress amid the remote-work movement and high interest rates. DFW’s office vacancy rate stood at 22 percent after the first quarter, while net absorption fell to negative 2.1 million square feet, according to Cushman & Wakefield.
Yet, Trammell Crow’s project shows there’s still demand in some submarkets, particularly in high-growth areas such as Frisco and other parts of Collin County. While vacancies were still high in the Legacy/Frisco submarket last quarter — 23 percent — nearly 387,000 square feet of new supply was added, possibly inflating numbers. Another 1.2 million square feet of office space is under construction in the Frisco area.
Construction of Fields West, situated at the intersection of Dallas North Tollway and Panther Creek Parkway, is set to begin this summer. This first phase will include 365,000 square feet of retail, dining and entertainment space, along with 1,200 residences, 375 hotel rooms and 325,000 square feet of office space.
The $10 billion Fields development is slated for 14,000 homes and apartments, along with a boatload of commercial space and amenities. Fields is home to PGA of America’s headquarters and the $520 million Omni PGA Resort.
—Quinn Donoghue
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