KDC SELLS INTEREST IN THE CAMPUS AT LEGACY IN PLANO, TEXAS
DALLAS – KDC, one of America’s leading commercial real estate development and investment firms, has sold its remaining interest in The Campus at Legacy to its current equity partner, Spear Street Capital.
Since KDC first purchased The Campus in 2005, more than 1 million square feet has been leased, and The Campus is currently 98 percent leased.
“We are proud that our re-development efforts have been so well received by the market and of the lasting value that has been created,” said Steve Van Amburgh, CEO, KDC. “With The Campus at Legacy well-positioned for the future, now is the right time to sell our investment and redeploy our resources to other value-add opportunities.”
In 2005, KDC and other investors purchased 2.75 million square feet of assets from EDS throughout the U.S. Included in the transaction were three buildings containing 1.1 million square feet, which were part of the former EDS headquarters campus in Legacy Business Park in Plano, Texas.
KDC rebranded the project The Campus at Legacy and embarked on an extensive renovation and re-tenanting plan to redevelop the property into a 107-acre, multi-tenant corporate campus with amenities that would attract the most sought-after tenants. The first phase of the two-year renovation was completed in 2008.
“We really appreciate the support of the brokerage community and the confidence the tenants placed in KDC that our vision for The Campus would be realized,” said John Brownlee, executive vice president, KDC. “We are extremely proud of the re-development effort at the The Campus. It is well-positioned for the long-term.”
When KDC purchased the former EDS complex, the grounds, buildings and interior finishes had not been updated since the late 1980’s. Due to EDS’ security requirements, the three buildings were locked behind barbed wire fences, bunker-like entrances and featured inward facing, symmetrical buildings. The single-tenant buildings, previously known as “The Clusters” during the EDS days, had a dated, institutional look that did not compete well in the upscale Legacy market.
KDC saw these challenges as an opportunity to redevelop the property into a unique, multi-tenant corporate campus. The goal was to capitalize on the outstanding location and redevelop the project into a world-class facility with amenities that would attract the most sought-after tenants.
By December 2010, just over two years after EDS vacated the project, the project achieved 95 percent occupancy with major leases to Denbury Resources (375,000 SF), PepsiCo (93,888 SF), St. Jude Medical (83,000 SF), Bear Transportation (81,000 SF), Futurewei Technologies (50,000 SF), Dr Pepper Snapple Group Inc. (42,000 SF), Lifecare (36,000 SF), North American Coal Corporation (38,000 SF), World Ventures (38,000 SF) and Rent-a-Center (24,000 SF). Denbury then expanded its lease in 2012 to a total of 500,000 square feet.
In October 2012, the 375,000 SF 5320 Legacy building, which is100 percent leased to Denbury Resources on a long-term basis, was sold to State Farm.
KDC, one of America’s leading commercial real estate and investment companies, provides a full range of commercial real estate services including corporate build-to-suit development, acquisitions, corporate facility project/construction management, project financing, asset and land management, and marketing and leasing. KDC is headquartered in Dallas and has offices in Austin, Texas; Charlotte, N.C.; and Detroit. For more information, visit kdc.com