Tenet Healthcare will be moving its 500 downtown employees to a 372,000 square-foot office along the Dallas North Tollway. The healthcare services company, which owns hospitals and other practices all over the country, will be leasing the entire 13-story International Plaza I building after being housed in Fountain Place downtown.
A potential move was discussed earlier this year in an investment call, with Tenet looking for ways to save $200 million and improve its bottom line for shareholders. Over the past few years, Tenet has been saddled with litigation costs resulting from numerous kickback schemes at its hospitals.
Taconic Capital Advisors purchased the International Plaza in Farmers Branch just over a year ago, and are in the midst of a multi-million-dollar capital improvement plan with renovations finishing up in December, when the move will begin. Tenet has been selling off its less profitable hospital properties in an attempt to cut costs, and this move away from downtown is part of that plan.
Ronald A. Rittenmeyer, Executive Chairman and CEO of Tenet Healthcare, said via release, “We are so pleased to be moving to International Plaza to support our efforts to bring more of our teams together and deepen integration and collaboration. International Plaza is a great new home for our corporate headquarters and provides us with the opportunity to further enhance our working environment for the benefit of our colleagues.”
“We are excited to welcome Tenet Healthcare to International Plaza. We commend their leadership’s vision and confidence in our transformation of the campus,” said Andrew Lam of Taconic Capital via release.
“Having Tenet move their corporate headquarters to International Plaza One is a spectacular addition to our east side corporate corridor,” said Farmers Branch Mayor Robert Dye via release. “We know our central location in the Dallas area, access to transportation and varied housing options will serve Tenet’s employees well.”
Chris Taylor, Trey Smith, Matt Schendle and Lauren Napper of Cushman & Wakefield represent Taconic in marketing the property. Moody Younger and Kathy Permenter of Younger Partners represented Tenet Healthcare on the lease transaction.
