Abandoned Dallas Hospital in Receivership Amid Mixed-Use Plans

Rod Burchfield plans to develop a mixed-use project on the site of an abandoned hospital in Southeast Dallas, but its decrepit state landed it in receivership.

The former Tri-City Hospital, at 7525 Scyene Road, is to be demolished following a judge’s decision this week to place the property in receivership, the Dallas Business Journal reported. California Receivership Group was appointed to take control of the property.

The city of Dallas argued in a legal filing that Burchfield and Partners, which took ownership last summer, failed to secure the site or address public safety violations, including unauthorized entry, vandalism and fires.

That should change within the next 12 months, according to CRG President Mark Adams.

“We work fast,” Adams said. “I expect we’ll have it demolished in less than a year.”

Initial steps in the receivership process will focus on securing the property. Adams said his team will reinforce fencing and remove graffiti from the building. “Just taking care of all those nuts and bolts things that make this a not-dangerous site for the community,” he said.

Burchfield said he would work with CRG and the city to bring the site into compliance. He did not provide details on his plans for the site.

South Dallas hasn’t received nearly as much real estate investment as other parts of the city. While megaprojects take shape in the northern suburbs, Southern Dallas is relatively stagnant.

Local developer Hoque Global is pursuing a 270-acre mixed-use project near the University of North Texas at Dallas, which includes plans for 1.5 million square feet of commercial space, a town center, and over 50 acres of green space. The Dallas City Council recently approved amendments to the project, increasing public subsidies to $35.9 million and setting strict deadlines for construction and land acquisition to ensure timely progress.

In the suburb of Wilmer, located about 15 minutes south of Dallas on Interstate 45, Californian Maged Guirguis is planning a 69-acre mixed-use project. The full scope of the development calls for 864 apartments, 18 single-family homes, 70 townhomes, a small hotel, 78,000 square feet of retail and about 142,000 square feet of office and warehouse space.

— Andrew Terrell