Two well-known real estate players—Jack Matthews of Matthews Southwest and Mitch Paradise of Paradise Development Partners—are joining forces to pursue office development opportunities. Their new company, Matthews Paradise, will focus specifically on local projects.
“We’ve put together a team that is going to change the way office development is done in North Texas,” Paradise said.
An architect for Corgan for nearly 14 years, Paradise left the firm about 18 months ago to launch his own development concern. At Corgan, he was involved with many large office projects, including Blue Cross Blue Shield, Encana, and State farm.
Matthews, a native of Canada, has been in Dallas for about 20 years. He’s known locally as the developer of the Omni Dallas Convention Center Hotel, South Side on Lamar, NYLO Dallas Southside, and The Tribute, among other projects. Few realize that Matthews Southwest has also developed nearly 4 million square feet of Class A office space, because the projects have all been in Canada. (They include The Bow, a 58-story stunner in Calgary, Alberta, that serves as a global headquarters for Encana.)
“As we saw the next wave of development coming locally, we both saw a need for each other,” Paradise said. “Jack has this great machine built, great debt and equity relationships, and a phenomenal reputation in this town. I know the local players, what’s important to tenants, and the hot areas where we need to be buying land. We sat down and said, maybe together we can be an alternative.”
Matthews said he deliberately stayed away from office projects when he first came to Dallas, as “the amount of office developers per square foot here was crazy.” Lately, though, he began wondering why he was getting on a plane so frequently, when there were plenty of opportunities in his own backyard. “At the same time, I hadn’t paid my dues locally,” Matthews said. “So this was just a really good match, in that sense. It brings all of the pieces together.”
He and Paradise plan to target build-to-suit projects or kick off multitenant projects with a large tenant in tow. They aim to differentiate themselves in a competitive developer field by offering upside to office clients, something Matthews has done with his three most recent projects in Canada.
“We want to bring a better value proposition to the tenant,” Matthews said. “Sometimes when a developer signs a lease, the developer is happy and the tenant is scared. I don’t like that outcome. Along with doing a quality job, we want to share some of the upside with the people who create a lot of the value, without sharing the risk. In that way, we are fundamentally different.”
Matthews and Paradise are trumpeting the news of their new company by signing on as the title fight sponsor of Fight Night, The Real Estate Council’s signature fundraising event. Paradise said it was his involvement with the organization that led to his connection with Matthews. So when the chance came up to support its foundation through the Fight Night sponsorship, he and Matthews decided to funnel their new firm’s advertising and marketing dollars to that opportunity.
“We’re both looking forward to doing office development together,” Paradise said. “We’re ready to go and do deals.”
Note: This post has been updated to clarify the level of Matthews Paradise’s Fight Night sponsorship.