AT&T is looking at office space in the suburbs, two people with knowledge of the situation have told The Dallas Morning News, even as its CEO remained silent Friday regarding speculation about the Dallas-based telecommunications company reducing its downtown presence.
A move by AT&T could see its more than 2 million-square-foot presence in downtown Dallas shrink in some fashion. AT&T had nearly 6,000 workers assigned to its downtown Dallas offices in 2022.
AT&T has toured multiple large office sites across Dallas-Fort Worth, the people with knowledge of the situation told The News. Notable among them is The Park at Legacy in Plano (6501 Legacy Dr.), a 1.8 million-square-foot corporate campus in Plano that is currently home to JCPenney and NTT Data.
Austin-based Capital Commercial Investments, Inc. owns the Park at Legacy. Multiple attempts to contact founder and president Doug Agarwal were not returned before publication.
D-FW Real Estate News
AT&T chairman and CEO John Stankey spoke Friday at a meeting of the North Texas Commission in Arlington, but didn’t address a potential move.
Stankey’s appearance comes after reports from the Dallas Business Journal that the firm is shopping for new office space in North Texas. The executive spoke for nearly 30 minutes during a question-and-answer session with Ross Perot Jr., founder of real estate firm Hillwood.
Stankey took no questions and left following the segment. An AT&T spokesperson present at Friday’s event refused to answer questions regarding the search, saying the Fortune 500 company doesn’t address rumors or speculation.
Stankey did outline steps that local governments could address to better support the Fortune 500 company, including improvements in housing affordability, education and public safety.
“I’m grateful when you solve those important problems … like ensuring the core infrastructure that is necessary for me to run my business (and) that I can find educated individuals who want to come work at a company like mine when those kinds of things are working well,” he said.
“I get to focus on what I need to do in my job, which is paying attention to what my customers need and what kind of innovation they need,” he added.
“We’re a successful company as a result of that, and that helps this region as well because we give more than our fair share than maybe somebody headquartered say in Seattle or New Jersey.”
Other large sites in D-FW that the firm could use to supplement its operations include the Pioneer Natural Resources office space in Irving and the former American Airlines headquarters at the south end of DFW International Airport, said Steve Triolet, senior vice president of research and market forecasting at commercial real estate firm partners.
Triolet mentioned other downtown sites including Fountain Place and the Epic office tower in Deep Ellum, once partially occupied by Uber. But it’s unlikely either property would be used because of its proximity to its current headquarters in the Discovery District.
Plano, Irving-Las Colinas, Richardson and Frisco were all mentioned as possible landing spots. The firm is looking for 1 million square feet.
“We’re talking about three or four submarkets that they are looking at, and they’re kind of weighing their possibilities,” Triolet said.
Triolet added that even if AT&T leases or purchases additional office space, the firm likely will maintain a presence in downtown Dallas.
“This is an educated guess. They will not abandon all that space downtown. ….They’ll want to have a Dallas city address for their headquarters,” he said.
Dallas leaders have indicated they are working to keep AT&T in the city. City manager Kimberly Bizor Tolbert told the Dallas Economic Development Corp. earlier this month that discussions are ongoing.
“The City of Dallas recognizes and appreciates the importance of our corporate partners, including AT&T, and the role they play in our city,” Tolbert said.
“We are working with AT&T executives to ensure the company’s future is in Dallas. We are currently having positive discussions with the goal of a mutually beneficial outcome. We will provide an update at the appropriate time.”
The real estate talks come as one of Dallas’ largest employers navigates concerns about safety in downtown area, and pushback from its workers over a return-to-office ultimatum Stankey issued earlier this year.
In an internal memo sent to all managers last month, Stankey doubled down on the shift away from a hybrid model.
“If a self-directed, virtual, or hybrid work schedule is essential for you to manage your career aspirations and life challenges, you will have a difficult time aligning your priorities with those of the company and the culture we aim to establish,” he wrote.
The memo came following the results of an employee engagement survey that showed only 79% of respondents said they felt committed and engaged with their work. The survey results represent more than 99,000 employees, which is 73% of the company.
A February 2025 study by Boston Consulting Group conducted for Downtown Dallas Inc. found that AT&T could consider leaving its central business district headquarters if public safety issues were not addressed, citing concerns over crime and homelessness.
Following the report, a coalition of public and private sector leaders rolled out a new ‘Safe in the City’ campaign to address challenges related to Downtown public safety, homelessness, and economic development.
AT&T moved its headquarters to downtown Dallas from San Antonio in 2008. Its lease at Whitacre Tower (One AT&T Plaza) expires in 2030.
AT&T spent $100 million on its Discovery District outside of the Akard Street corporate headquarters, including a massive video screen, a food hall, outdoor seating space, and more. The Discovery District opened in 2021.
Downtown Dallas Inc. estimates AT&T’s relocation could cause a 30% decrease in property values, costing downtown an estimated $2.7 billion in overall value.