Granite Properties’ 23Springs is filling up.
The 26-story Uptown Dallas office building is now 74 percent leased after signing three new tenants, including Stonelake Capital Partners and UBS Group AG, which will take the entire 20th floor for one of its four national UBS Wealth Advice Center hubs, the Dallas Morning News reported.
UBS is set to move about 170 employees this summer into 26,000 square feet of the 626,215-square-feet Class AA building at 2323 Cedar Springs Road, as previously reported in The Real Deal. A filing with the Texas Department of Licensing and Regulation pegs the cost of its buildout at $5.6 million, with construction slated to run from January through June. TDLR filings are preliminary, but offer an early look at tenant investment.
UBS manages roughly $6.6 trillion in assets globally and already has a presence in Dallas-Fort Worth, including offices at The Crescent, Plano and Fort Worth.
Private equity firm Stonelake Capital Partners is also relocating from The Crescent to 23Springs, leasing about 16,000 square feet on the ninth floor. A confidential tenant signed for 22,099 square feet on the 10th floor, with occupancy expected in the third quarter, according to the publication.
The leases are notable in an office market still grappling with elevated vacancy. Paul Bennett, Granite’s senior managing director, told the outlet that the tower’s momentum reflects demand for top-tier buildings in prime locations. He added that several additional leases are in negotiations.
Last year, Deloitte began building out its 112,000-square-foot office in 23Springs for a cost of $32 million. It is set to be completed this month.
Granite broke ground after buying the Cedar Springs and Maple Avenue site in 2012 and demolishing existing structures in 2022. Bank OZK provided a $265 million construction loan for the project. The building is jointly owned with Highwoods Properties, the North Carolina-based real estate investment trust that holds a 50 percent stake in 23Springs and Granite Park Six in Plano.
On the retail front, Australian-born restaurant Little Ruby’s opened a freestanding restaurant at the project Feb. 2, joining Élephante and Torchy’s Tacos.— Eric Weilbacher
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