A futuristic office highrise planned in Port San Antonio has a massive price tag.
Despite a beleaguered office sector that’s been plagued by remote-work trends, port CEO Jim Perschbach is confident that the $300 million building will have no problem attracting tenants, the San Antonio Express-News reported.
The wing-shaped, 11-story building, spanning 295,000 square feet, will serve as a beacon of innovation, showcasing the port’s focus on cybersecurity, aerospace, defense and advanced manufacturing. The construction cost comes out to almost $1,017 per square foot, and rents are expected to go for $50 per square foot.
Perschbach said the project could position San Antonio as a premier tech and research hub.
“It’s probably going to be harder than I think it is, and we’re going to do it one way or the other, because I want people to realize that San Antonio already is capable of competing on the world stage with everybody, but we’ve got to start showing it,” Perschbach told the outlet. “If all we build are these regular pedestrian buildings, the story we’re telling is our work is pedestrian.”
While the broader San Antonio area grapples with an office vacancy rate of nearly 20 percent, Port San Antonio’s vacancy rate stands at just 4 percent across its 8.2 million square feet of space. With over 80 tenants currently calling the 1,900-acre campus home, and a workforce of 18,000 employees expected to double within the next decade, demand remains robust.
Originally conceptualized in 2022, the tower’s design has evolved to feature floor-to-ceiling windows, terraces on every floor and upscale amenities such as spa-quality locker rooms and health and wellness centers. Perschbach envisions a workplace environment tailored for productivity and comfort, complemented by private areas and LED lighting.
While DeLorean Motor Co. was initially set to become the anchor tenant, uncertainties surrounding the automaker’s viability have prompted a shift in tenant expectations. Perschbach is now targeting existing port occupants seeking expansion opportunities and newcomers attracted to the area’s burgeoning tech and research scene.
Funding for the project will stem from debt and the port’s capital, with construction slated to commence in early 2025 and conclude within four years, the outlet said. Future plans for Port San Antonio call for additional office space, schools, restaurants, hotels and retail.
—Quinn Donoghue
