Throughout North Texas, large-scale developments such as Toyota’s North America Headquarters campus, State Farm’s CityLine presence and Wells Fargo’s new campus are generating a larger cycle of investment, development and business attraction. But what makes an anchor corporation truly transformative?

In this first installment of a two-part series, leaders from Plano, Richardson and Irving shared their thoughts with KDC about how major projects have impacted surrounding development, attracted complementary businesses, strengthened talent pipelines and changed the way their communities are viewed by companies considering their next move.

Michael Talley, Director of Economic Development, City of Plano: When KDC finished the Liberty Mutual campus and the company opened its doors in 2017, we were already in a growth stage at that point. What we also experienced was that the new campus drew much more attention from other corporations in the Plano area. Also, as a Japanese company, Toyota has brought in additional Asian-owned companies. Not all of these businesses are suppliers, but they want to be close to Toyota. In terms of impact, when corporations see businesses making these types of decisions and the activity being generated, they start to ask why. Why Plano?

Don Magner, City Manager, City of Richardson: The CityLine development and the strong presence of State Farm showed that Richardson is a viable place to do business. We had not experienced a lot of growth leading up to that project; it was a quiet time for us. CityLine signaled to North Texas that Richardson is still relevant. That resulted in the Raytheon Campus at CityLine, which KDC completed in late 2015. It also encouraged Texas Instruments to double down by building its second wafer fab facility, adjacent to the first location.

Beth Bowman, President and CEO, City of Irving: We’ve seen that too, in Irving-Las Colinas, and we’re proud of our long history of being recognized as a home for significant investments that range from major corporate campuses to headquarters operations. A large project such as the new Wells Fargo office campus in Las Colinas sends a broader signal to the market and other companies take notice. It reinforces the confidence businesses already have in this community as a place to locate and grow. We find we often start getting queries from vendors and suppliers supporting that anchor because they want to be close to that company or campus.

Don Manger: There’s a direct connection between the CityLine project and the Galatyn Commons. That’s the 800,000-square-foot Class A office building, and its home to great names including CBRE, Halff and 1Finity Americas. State Farm and CityLine brought that confidence to Richardson and sent the signal that resulted in Galatyn.

Beth Bowman: Another visible impact is the creation of high-quality jobs that support families, attract talent and strengthen the overall economy. There’s also an increase in capital investment. Major corporate projects, such as Wells Fargo, are generating billions in private investment, thereby strengthening the local community tax base. Those funds mean local government can invest in essential services, amenities, roads, public safety, libraries and more that benefit our workforce, residents and visitors. We also continue to see the way that anchors like Wells Fargo can support the growth and success of other nearby developments in Irving-Las Colinas, like Water Street and Toyota Music Factory. Activity generated from investments like Wells Fargo creates demand for restaurants, retail, entertainment, housing and other amenities, which helps surrounding developments succeed and makes the community even more attractive to future employers and their workforce.

Don Magner: Also, outside of corporations, we saw new retail development in CityLine, which was the first we had in the city for quite a while. Indirectly, it also led to the buildout of the northwest Campbell Road and US 75. For years, there’d been a tired, old shopping center there. But before the property could be renovated, the developers wanted to see that Richardson could support the per-square-foot rents they wanted. CityLine proved that those rents could be achieved, so now that corner has been revitalized.

Michael Talley: This goes beyond anchor corporations and campuses. The Toyota development has attracted many Asian retailers to Plano, including H Mart and 99 Ranch Market. Then there’s Mitsuwa Marketplace, which is a well-known Japanese store. I’ve talked with people who have driven for hours to shop at Mitsuwa in Plano. Also, it’s important to understand that corporations like Toyota do talk with one another. They pay attention to their competitors and what they’re doing.

Beth Bowman: The tax dollars generated from corporate anchors like Wells Fargo help support our local schools and educate the future workforce. Irving-Las Colinas is diverse in terms of its workforce, which means companies have access to a broad talent pool. That access to a skilled workforce is essential to Corporate America. Irving-Las Colinas’ central location also gives employers access to talent from across North Texas. That connectivity, along with our proximity to DFW International Airport, is especially important for large companies recruiting locally, nationally and internationally.

Michael Talley: You know, the media likes to cover incentives as a reason for corporations moving here. But if I give you a blank check and there’s no skilled workforce to support the corporations, it doesn’t matter how much that investment is. So, you’ve got to have that workforce, number one, to get those companies to consider your region.

Dan Magner: I can speak to that specifically. I know that State Farm was attracted by the talent provided by the University of Texas-Dallas (in Richardson). These days, the university offers degrees in engineering and computer science. One of the largest areas State Farm is partnering with UTD on is data science. In fact, State Farm has a physical presence on the UTD campus. Texas Instruments also has a great partnership with UTD.

Beth Bowman: Authentic engagement is critical to the work we do in Irving-Las Colinas. I think that’s really significant today, especially with so many different developers that have their eyes on North Texas. Authenticity means leaving the community you build better than you found it. It also means that the developer doesn’t go in, build and then leave. Companies like KDC are absolutely authentic; they recognize that their responsibility extends beyond project delivery. They remain engaged in the communities where they develop and encourage their clients to do the same.

We’re fortunate to have a longstanding relationship with KDC in Irving-Las Colinas. We know they truly understand our community and our commitment to bringing in the kinds of development that support its long-term growth and success.

Michael Talley: I also think an important part of that is communication. It’s something we stress early on. I’ll use KDC as an example. We joke that even in the middle of the night, we can call someone on the KDC team to make sure a project is moving along or to ask questions. But that communication also involves an entire team to pull those deals together, including brokers and consultants.

Dan Magner: All of these answers are spot on. I’d like to add that we like to work with developers who value relationships, rather than just the transaction or the build. Let’s put it this way: no matter how well you plan or execute, there’ll be obstacles, especially unanticipated ones. So, when we lock arms with a development partner, especially on the scale of a CityLine, we want to know that the relationship is in place when something goes wrong. That relationship means we can work through the issues and come out of it successfully.