Dallas Metro's Biggest Deal
Headquartered in Boston, Liberty Mutual Insurance made a major regional investment with the $325 million purchase of a 1.1-msf campus in Plano, Texas, from developer KDC. Located in the mixed-use development of Legacy West, its new regional operations hub has two 11-story office towers above a four-level, 5,500-space car park, two rooftop gardens, and an on-site medical center, and is expected to attract up to 5,000 workers, according to the Dallas Business Journal.
A $3.2 billion, 250-acre development, Legacy West has 415,000 sf of retail, dining, residential, hotel, and office space. Liberty Mutual expects the location will help it attract the right talent for its business, according to John Cusolito, vice president at Liberty Mutual.
“It's all part of our strategy to attract and retain top talent,” Cusolito says. “We already have a strong and significant presence in Texas and are impressed with the workforce in the state.”
Boston Bucks National Trend in Retail
1.8 msf will be completed
Construction: Development rebounds after a slower 2016 as builders complete 1.8 msf of retail space.
40 basis points
Vacancy: Absorption of new retail space Decrease in vacancy shows that vacancy contracts by 40 basis points to 2.7 percent, surpassing the uptick in new supply.
1.6% increase in asking rent
Rents: Slower rent growth will accompany a higher pace of construction as asking rents push higher to $20.25 psf metrowide.