Three major buildings in downtown Dallas—Neiman Marcus, Dallas City Hall, and American Airlines Arena—are facing uncertain futures as city officials consider changes to keep the area competitive with newer developments in Uptown.
Concerns about crime, homelessness, and aging office buildings have contributed to a shift of business activity away from the central business district. The original Neiman Marcus store on Commerce Street is struggling, and AT&T may soon leave its downtown headquarters for suburban office space. This move would follow a $100 million investment just seven years ago by AT&T to create its Discovery District campus. If AT&T departs, it could signal that downtown’s challenges are becoming critical.
City leaders are also negotiating to keep the NBA’s Dallas Mavericks in the city center. One proposal could require demolishing the I.M. Pei-designed Dallas City Hall, which cost $100 million to build in 1978. “Purchasing or leasing an office building could be in the cards for Dallas’ next City Hall if Mavs owners Miriam Adelson and Patrick Dumont get a deal they like.” Officials face pressure not to lose major sports teams to surrounding suburbs; similar concerns exist if Stars owner Tom Gagliardi moves his team out of American Airlines Center.
The American Airlines Center was built at a cost of $420 million with significant city bond financing in 1996.
These issues come as developers push forward with large-scale projects aimed at revitalizing downtown. The city has planned more than $3 billion for convention center redevelopment, while Hunt Realty is working on a $5 billion project near Reunion Tower that would add thousands of apartments around Union Station. Other proposals include Ray Washburne’s plans for the former Greyhound Station and Mike Ablon and Mike Hoque’s vision for Bank of America Plaza.
However, persistent crime hotspots threaten these ambitions, along with uncertainty over what incentives Dallas might offer companies like Saks Global, AT&T, or professional sports franchises to stay downtown.
Signs of economic stress remain visible: Harwood Center at 1999 Bryan Street—a 36-story office tower—is being auctioned online after changing hands through foreclosure. CW Capital took over after bidding $80 million in 2021; Fortis Property Group had previously invested $10 million in renovations after acquiring it in 2006.
Despite some positive signs—such as Burk Interests and Greenway Investment Company planning two high-rises at Preston Road and Royal Lane—the overall outlook is mixed. These developers are seeking zoning changes for new offices, retail spaces, condos, and a hotel on seven acres across from Central Market.
Elsewhere in real estate finance, John Venetos faces legal action after personally guaranteeing nearly $400 million in debt tied to his firm Lurin Capital; Acore Capital sued him for over $80 million following foreclosures on several Florida properties earlier this year.
