Texas Credit Union Buys Allen HQ From Landlord Pillar Commercial

The Credit Union of Texas further entrenched itself in Collin County’s financial landscape after buying its headquarters building in Allen.

The credit union acquired the 120,000-square-foot One Bethany East, in One Bethany at Watters Creek, from a joint venture of Dallas-based Pillar Commercial and Oklahoma City-based Hall Capital, the Dallas Business Journal reported. Terms of the deal were not disclosed.

Dallas-based Kaizen Development Partners developed the five-building business complex, at 900 West Bethany Drive near the Watters Creek Village shopping center, and sold One Bethany East to the Pillar-Hall venture in 2021. The property has a taxable value of $35 million, with tenants including Thrivent, Allen Economic Development Corporation and Netflix.

The credit union has steadily upped its presence in Allen since moving its headquarters from Dallas to One Bethany East in 2019. Two years later, the company bought a nearby building, at 415 Century Parkway, as it relocated its mortgage loan organization, Texas Mortgage Lending, and its auto-leasing company, FairLease, to the north suburb, bringing its local employee headcount to 375 at the time.

Why did the credit union decide to buy its headquarters? Maybe it was just a good deal.

High interest rates continue to depress property values across much of the nation, potentially opening the door for a steep discount, said Steve Triolet, senior vice president of research and market forecasting for Partners Real Estate in Dallas.

Owning the building offers other advantages too, as the company expands its local footprint, Triolet said.

“They’ll be able to build equity over time, customize the space to meet their specific needs and enjoy greater control over occupancy and future costs,” he told the outlet.

The credit union isn’t the only company with big eyes for the Allen submarket. In February, Mexican supplement company Omnilife purchased 5.75 acres within the Prodigy Park business hub, with plans to build an 80,000-square-foot building to serve as its U.S. headquarters.

—Quinn Donoghue