859-907-2006
7940 Preston Rd, Plano, TX for Sale
Office - FOR SALE
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7940 Preston Rd
Plano, TX 75024


HIGHLIGHTS

  • Federal Credit Tenant
  • Long-Term Tenancy
  • Significant Discount to Replacement Cost
  • Exceptional Asset Scarcity
  • Prime Legacy Corridor Location
  • Specialized Infrastructure Buildout

OVERVIEW

The Ficke Team of Colliers is pleased to present to qualified investors the opportunity to acquire the U.S. District Courthouse and U.S. Marshals Service Building located at 7940 Preston Rd in Plano, Texas. This offering represents a rare opportunity to acquire a trophy-quality, mission-critical federal facility purpose-built to the rigorous specifications of the U.S. District Court for the Eastern District of Texas, one of the busiest federal dockets in the nation. The property is offered for the first time by its original developer after nearly 18 years of ownership. The 36,755 RSF facility was constructed in 2008 and features a highly specialized buildout including a District Judge courtroom, a Magistrate Judge courtroom, dedicated judicial chambers, secure holding and prisoner processing areas, and a dedicated U.S. Marshals Service operational suite complete with a fitness facility. In 2022, total project replacement cost was estimated at $50.3 million, representing an extraordinary margin of safety for acquiring investors. Construction costs have risen materially since 2022, meaning the true cost to replicate this asset today exceeds $55 million. This depth of mission-critical improvement renders the facility effectively irreplaceable for its federal occupants and creates one of the highest re-tenanting barriers available in the institutional net lease market. The lease is backed by the full faith and credit of the U.S. Government (S&P: AA+) under a modified gross lease with a 10-year firm term commencing July 21, 2023, and extending through a total term of 17 years to July 20, 2040. The soft term carries a two-year termination notice requirement, and with senior and magistrate level judges operating in a purpose-built facility situated in one of the most desirable lifestyle corridors in North Texas, the practical authority these officials hold over occupancy decisions to GSA means the probability of long-term tenancy extends well beyond the lease’s contractual obligations. The Plano courthouse serves as the Sherman Division of the U.S. District Court for the Eastern District of Texas, one of the most consequential federal jurisdictions in the country. The court adjudicates federal, civil, and criminal matters across eight counties in the greater Dallas-Fort Worth region, including complex commercial litigation, patent disputes, drug trafficking, and federal criminal prosecutions. The Eastern District has long been recognized as the premier venue for patent infringement litigation in the United States, drawing cases from major technology and pharmaceutical companies nationwide and cementing this courthouse as a critical and permanent node in the federal judicial system. Plano, Texas is one of the most economically dynamic cities in the United States, home to more than 500 corporate and regional company headquarters including JPMorgan Chase, Capital One, Toyota Motor North America, Samsung Electronics America, PepsiCo, and Frito-Lay, supporting over 210,000 jobs within the city. AT&T’s new global headquarters and the Texas Research Quarter signal that Plano’s business landscape will continue evolving, further cementing its position as the corporate capital of North Texas. Continuous multifamily and mixed-use development surrounding the property reinforces sustained demand and long-term stability in one of the most affluent and supply-constrained submarkets in the Dallas-Fort Worth metroplex.

FOR SALE DETAILS

PRICE

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CAP RATE

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% LEASED

-

TENANCY

Single

SALE TYPE

Investment

BUILDING DETAILS

PROPERTY TYPE

Office

TOTAL BUILDING SIZE

-

STORIES

1

BUILDING CLASS

B

YEAR BUILT

2008

SPRINKLERS

-

PARKING SPACES

-

LAND DETAILS

LAND ACRES

6.02 AC

LAND SF

262,231 SF

ZONING

F3

APN/PARCEL ID

R-8663-00A-002R-1

ASK ABOUT THIS PROPERTY

Geoff FickeColliersMore Info
859-907-2006

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Geoff FickeColliersMore Info
859-907-2006

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