Dallas has filed a condemnation lawsuit against Charter DMN Holdings, a company controlled by developer Ray Washburne, to acquire a 36,000-square-foot parcel needed for the city’s $3.5 billion convention center redevelopment. The land is located near Young and Houston streets, adjacent to the former Dallas Morning News headquarters at 508 Young Street. The city bought that property from Washburne earlier this summer for $45.1 million.
Washburne told the Dallas Morning News that he is willing to sell but explained that an existing long-term ground lease with broadcaster WFAA complicates the process. The parcel in dispute is currently used as a parking lot and sits between the old newspaper garage and WFAA’s studio.
The Dallas City Council previously authorized up to $6.5 million for the purchase of this smaller parcel. In April, officials also approved using eminent domain if negotiations failed, leading to this week’s legal action.
The redevelopment of the convention center is expected to open in 2029 and requires additional land due to plans by the Texas Department of Transportation to widen Interstate 30, upgrade rail lines, and redesign parts of the project to avoid building over active tracks. Last year, officials identified acquiring properties like the Dallas Morning News site as critical for fitting these changes into downtown’s limited space.
While Dallas frequently uses eminent domain for minor parcels such as easements, it rarely does so in high-profile real estate cases.
Washburne acquired the entire campus for $28 million in 2019 but kept ownership of its frontage after selling most of it to the city. Earlier this year, he considered selling part of his remaining property to a data firm because of delays in city planning. This move prompted Dallas’s $45.1 million purchase of the main tract, which it took control of in June.
“Washburne told the outlet that he’s willing to sell but noted that a long-term ground lease with broadcaster WFAA complicates matters.”
