Dallas officials are working to keep AT&T from moving its global headquarters out of downtown. City Manager Kimberly Tolbert told the Dallas Economic Development board that efforts are underway to ensure the company stays in Dallas, according to the Dallas Business Journal.
AT&T has reportedly toured sites in Plano, Richardson, and Irving as possible new locations for its headquarters. These include the Park at Legacy campus, which is currently home to JCPenney’s headquarters. The company has not commented publicly on the potential move, but sources have pointed to concerns about safety and a desire to reduce employee commute times after implementing a five-day office workweek.
AT&T is one of North Texas’ largest public companies, with $122 billion in revenue and nearly 142,000 employees. The company has been based at Whitacre Tower in downtown Dallas since 2008 and holds a lease there until 2030. A February report by Boston Consulting Group estimated that if AT&T leaves downtown, property values could drop by 30 percent and annual property tax revenue could decrease by $62 million.
Tolbert and Linda McMahon, CEO of the Dallas Economic Development Corporation (EDC), said they have met with AT&T CEO John Stankey and other executives as part of a broader effort to retain the company. EDC board chair Gilbert Gerst stated during a recent meeting that “AT&T should be swayed to stay put in Dallas ‘at all costs.’” Gerst also noted that while keeping the headquarters downtown is preferred, city leaders would accept any location within Dallas’ boundaries.
Downtown Dallas has faced ongoing challenges related to public safety and commuter convenience. If AT&T moves northward, it would follow other major corporations that have relocated to suburban areas in recent years, such as Toyota’s move to Plano in 2017. For city officials, retaining AT&T is important for both economic reasons and civic identity. McMahon said, “the company is ‘part of Dallas; they are integral to the city’s very identity.’”
The outcome will depend on how much the city is willing to do to address AT&T’s concerns and persuade them to remain within Dallas.
