2013: The Year Records Were Broken

02/10/2014

REDP ended the year with 36 corporate relocations and expansions that are expected to create or retain 11,278 Richardson jobs and involve the occupancy of 3,095,938 square feet of non-retail commercial space. Those totals are all-time records for Richardson and approximately 300% higher than historical averages.

 

State Farm’s Richardson developments had much to do with the record-breaking totals. With a 1,520,000 SF under construction, the Bloomington, Illinois-based company has made temporary leases in four other Richardson office spaces comprising nearly that total. As State Farm begins to occupy its new campus in November of this year through mid-year 2015, a major question for the commercial real estate team is how much, if any, of its short-term leases will the company convert to longer tenancies.

 

Another Richardson phenomenon in 2013 was the rise of the Medicare supplemental insurance companies. In June, Extend Health leased the balance of 116,843 SF in Peloton’s wildly successful remake of 250 East Arapaho, announcing that it would be adding 800 employees to its previous 450 Richardson headcount. Then, later that month, United HealthCare brought its Connections Medicare supplement business and another 800 employees to 77,181 SF at Granite’s 2220 Campbell Creek Blvd. Almost out of nowhere, Richardson is host to a thriving 2,000-worker financial services cluster built around Medicare insurance.

 

Rounding out the users of financial services technology were IQor, a business process management company, that opened a projected 700-employee service center near the Arapaho DART station at 1122 Alma, Safeguard Properties, doing what its name says for local financial institutions like BoA, Liberty Mutual , which ended a long search by nabbing 42,534 SF at JP Realty’s 2400 Lakeside. Interestingly, a key deciding factor for all of the above companies was the landlord’s ability to provide much more than the standard four parking spaces per 1,000 SF of leased space. In IQor’s case, proximity to the DART rail line was also of paramount importance. The company estimates that 20% of its workforce arrives via DART rail.

 

Late in the year, Associa, America’s largest property owner association management company founded 34 years ago by now State Senator John Carona, took 62,500 SF in Fobare Commercial’s spectacularly remodeled 1225 Alma for a new Shared Services center. The new center will enable the company to take full advantage of powerful new technologies to support its business model.    

 

The creators of technology were also a major part of Richardson’s 2013 growth. Samsung’s telecom arm continued to expand beyond its 155,000 local HQ at 1301 Lookout Drive and into pockets of available space in nearby office buildings. Software developers Trade Station Technologies, Iphotonix, Metaswitch, Edmentum and Interlegis moved or expanded within the city.

 

And as if Richardson wasn’t healthy enough, AdvoCare, the vitamin and nutritional supplement company with Drew Brees as it national spokesperson, took advantage of some of the city’s remaining premier light industrial land at Shiloh Business Park, and is working with KDC to build a 260,000-square-foot office/warehouse. The project is split 235,000 SF of warehouse and 25,000 SF of office and is scheduled for completion in July.

 

As 2014 begins to unfold, the forward momentum is Richardson evident all over town, from the State Farm complex that is beginning to dominate the northern skyline, to the new educational and residence additions at UT Dallas, to the recently unveiled CityLine mixed-use development, to the resurgence of the Heights area with Alamo Drafthouse serving as the beacon. At the Richardson Economic Development Partnership, while we are looking forward to another banner year, we are also grateful to all who made 2013 one for the record books.


 
 
2013 Richardson Expansions, Relocations, Start-Ups
 CompanyBusinessTypeFromOcc. Address Square Feet Type Space Jobs Broker 
1American SW Insurance ManagersProperty & casualty insurance companyRelocationRichardsonLease 2600 NCX 35,000Office 125 Mike McCartan
Mark V
2Genpact LLCIT and business process outsourcing servicesRelocationChicagoLease 3101 E. PGBT #10030,000 Office 330 Byron McCoy
Holt Lunsford 
America Contractors Insurance GroupInsurance policies for the construction industry RelocationDallas Lease 2600 NCX 40,000 Office 130 John Beach
Jackson Cooksey
Aerotek Technical staffingRelocation RichardsonLease 2600 NCX 12,000 Office 40 Lauren Napper
Cassidy Turley 
State Farm Property & casualty insurance companyRelocationBloomington, IL Lease Galatyn A&B 311,000Office 1200* R. Cooper, C. Wilson
Cassidy Turley 
6TradeStation TechnologiesStock trading software platform RelocationRichardsonLease2600 NCX18,300Office60Greg Langston
Cresa
7IphotonixCommunications software and hardware RelocationRichardsonLease2600 NCX8,464Office30
Bret Hefton
Cresa
8Bland Garvey CPA firmRelocationRichardsonLease2600 NCX 15,000Office 35 Ken Boyd
Jackson Cooksey 
9Safeguard PropertiesProperty management of foreclosed homesRelocationValley View, OHLease2400 Lakeside22,000Office150
Kent Smith
Robert Lynn/NAI
10SamsungProducts for mobile communicationsExpansionRichardsonLease2301 N. Greenville10,607 Office40Pat O'Keefe
CBRE
11iQorFinancial asset recoveryRelocationNew YorkLease1122 Alma40,000Office700Jarrett Dunaway
Mohr Partners
12123eWirelessWireless component hardwareRelocationRancho Santa Margarita, CALease1680 N. Glenville16,250Flex60Byron McCoy
Holt Lunsford
13ProdeaHome digital entertainment platformRelocationPlanoLease2435 NCX #50013,000Office70None
14Tom Thumb Regional HQAdministrative officeRelocationDallasLease930 E. Campbell Rd.16,000Office40None
15Texas Capital BankBank back office operation Expansion Relocation Lease2350 Lakeside50,000 Office200T. Quinn @ E. Tillman
Cresa
16Infinity Pharmacy SolutionsPharmacy providers to healthcare facilitiesStart-up_Lease3313 Essex #1008,900Flex30Bill Gannon
C&W
17Metaswitch Softswitches for the telecom carrier marketRelocationRichardsonLease3313 Essex #2008,400Flex30Brett McMillan
Vantage
18Equita FinancialLife insurance productsRelocationDallasLease1651 N. Collins 25,000 Office 80 Paul Huang
Richland Real Estate 
19Extend HealthMedicare supplemental insuranceExpansionRichardsonLease250 E. Arapaho116,843Office600Mike Kay
CBRE
20 Electronic Transaction Consultants (ETC)Software and hardware for toll road managementRenewalRichardsonLease1705 N. Plano Rd.45,000Flex300Scott Jessen
Citadel Partners
21United HealthcareMedicare supplemental by Connextions unitExpansionFloridaLease2220 Campbell Creek77,181Flex800Andy Leatherman
JLL
22CircuitCo ElectronicsPrinted circuit board manufacturerExpansionRichardsonLease1380 Presidential13,005Flex35Scott Jessen
Citadel Partners
23Richardson International Business CenterIncubator for international companiesStart-UpRichardsonLease1100 W. Executive36,300Flex30Mark Aston
Maverick Commercial
24Eligibility ConsultantsHealthcare management servicesRelocationRichardsonLease1111 Digital13,000Flex40Tommy Nelson
Stream Realty
25State FarmAuto and homeowner insuranceExpansionBloomington, ILLeaseBush & Plano Rd.1,520,000Office7,000 R. Cooper, C. Wilson
Cassidy Turley
26Liberty MutualProperty & casualty insurance companyRelocationRichardsonLease2400 Lakeside42,534Office200R. Kanatzer
Studley
27 AdvoCareNutritional and health supplementsRelocationPlanoBuildTelecom Pkwy258,000Flex200Kacy Jones
CBRE
28CienaFiber optic communications technologyRelocationRichardsonLeaseCreekview II5,000Office25Deborah Borum
Beltway
29EdmentumOnline learning programsRelocationDallas & PlanoLease2435 NCX37,402Office135Andrew Marcus
Transwestern
30Apcon Switches & network security equipmentRelocationPlanoLease501 W. PGBT10,451Office35Cribb Altman
C&W
31Doctors Reporting ServiceDebt collection for medical providersRenewal RichardsonLease800 E. Campbell Rd.16,101Office65Cribb Altman
C&W
32InterlegisData analysis software developerRelocationDallasLease275 W. Campbell4,000Office20Cribb Altman
C&W
33SamsungCommunications devicesExpansionRichardsonLeaseCreekview I and II31,500 Office125Pat O'Keefe
CBRE
34AssociaShared services center for management companyRelocationDallasLease1225 Alma62,500Office700Al Paniagua, Jr.
Swearingen
35Undisclosed Internet companyProviding an online service globallyRelocationCaliforniaLease950 E. Collins122,000Flex10None
36 Lintec of AmericaAdhesive materialsRichardson Japan Lease990 E. Bowser #80052,000Flex  8Greg Fail
McNeff

* 1200 State Farm jobs not included in total since lease is temporary until campus is built
Totals3,095,938 11,278 
 
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