Local developer considers residential conversion for LBJ office buildings

Nearly nine acres along Lyndon B. Johnson Freeway with three office buildings and a parking garage could be Dallas’ next multifamily conversion project.

Dallas-based commercial real estate developer Trammell Crow Company is exploring the potential of adding apartments by transforming an existing 10-story office building and demolishing two six-story buildings to build two five-story buildings in their place.

While the parking garage at 5550 LBJ would remain under the new vision, the currently nearly obsolete office space with a taxable value of approximately $10.75 million could receive an investment of more than $300 million. That’s according to a presentation by the developer, a wholly owned subsidiary of commercial real estate services and investment firm CBRE Group Inc., that went before the Dallas City Plan Commission.

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The adaptive reuse site, located between Noel Road and Monfort Drive and east of the Dallas North Tollway, would be redesigned to improve pedestrian walkability with improved landscaping and a barrier for the garage.

The redevelopment, which is in its early stages, will go before the Dallas City Council for a zoning change this week.

Converting offices into homes is seen as a lifeline for buildings struggling with occupancy problems.

Downtown Dallas has seen a handful of similar projects, such as Todd Interests’ recently opened Sinclair development.

Several announcements have also been made in the region’s suburbs.