Dallas is turning to the courts to secure a key piece of land for its $3.5 billion convention center redevelopment.
City attorneys filed a condemnation lawsuit this week against Charter DMN Holdings, a firm controlled by developer Ray Washburne, after failed negotiations over a 36,000-square-foot parcel near Young and Houston streets, the Dallas Morning News reported. The site sits next to the former Dallas Morning News headquarters at 508 Young Street, which the city purchased from Washburne earlier this summer for $45.1 million.
Washburne told the outlet that he’s willing to sell but noted that a long-term ground lease with broadcaster WFAA complicates matters.Â
The disputed lot is a smaller, adjacent parcel, now a parking lot between the newspaper’s former garage and WFAA’s studio. The city council previously authorized up to $6.5 million to purchase it. That April resolution also cleared the way for eminent domain if a deal couldn’t be reached, laying the groundwork for this week’s lawsuit.
The city’s $3 billion convention center overhaul, slated to open in 2029, requires more land to accommodate the Texas Department of Transportation’s planned widening of Interstate 30, rail line upgrades and design changes to avoid building over active tracks. Officials last year identified the Dallas Morning News property as essential to fitting the project into downtown’s tight footprint.
The city often uses eminent domain for small parcels that don’t make headlines, such as for easements, but it’s less common in high-profile cases.
Washburne, who bought the campus for $28 million in 2019, retained the site’s frontage even after selling the main tract to the city. Earlier this year, he publicly floated a sale to a data firm, citing frustrations with delays in the city’s planning and prompting the city’s $45.1 million purchase of the property. The city took control of it in June.
— Eric Weilbacher
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