Morgan Stanley plans a $684 million expansion in Dallas to establish a U.S. hub expected to support more than 3,800 jobs, Gov. Greg Abbott (R-Texas) announced Monday.
The state has offered Morgan Stanley a $43.85 million Texas Enterprise Fund grant and a $40,000 Veteran Created Job Bonus, according to the governor’s office.
The announcement confirms earlier reports that the firm had chosen Dallas for the project, as previously reported by The Dallas Express.
“Texas is the financial capital of America,” Abbott said in the announcement. “We welcome Morgan Stanley’s expanded investment in Texas, where the depth of talent and access to America’s rapidly expanding financial center attracts the world’s leading brands across industries. Opportunity’s address is now Y’all Street.”
Dallas hub will develop in phases
The city’s project outline describes temporary offices at Fountain Place, 1445 Ross Avenue, followed by a permanent Uptown location centered at 2401 McKinney Avenue. The permanent-location lease would begin in 2031.
The outline projects about 1,500 jobs at the temporary site between 2027 and 2031 and about 3,800 at the permanent site by the end of 2035. Those totals include newly created positions and transfers, including 115 jobs from elsewhere in the Dallas market.
“Morgan Stanley’s expansion in Dallas reflects our commitment to investing in markets that offer exceptional opportunities for growth, innovation, and talent. With a thriving financial services industry in Texas, we are excited to establish Dallas as a strategic hub for our firm to serve clients and attract top talent in the years ahead,” Eric Grossman, Morgan Stanley’s chief legal officer and chief administrative officer, said in the governor’s announcement.
“We greatly appreciate the support of the State of Texas, the City of Dallas, and Dallas County and look forward to deepening our roots and contributing to economic growth in the state.”
State and local incentives
Texas Enterprise Fund grants require recipients to meet job and wage targets before payments. The program also allows the state to seek repayment when companies fail to meet contract requirements.
The Dallas City Council approved up to $18.5 million in grants on June 24, plus business personal property tax abatements. The taxpayer-funded grants depend on project milestones.
The city tax abatements cover 90% of the added taxable value of business personal property for five years in the first phase and 10 years in the second phase.
Officials welcome expansion
Dallas Mayor Eric L. Johnson (R) called the project a “landmark investment in our city and another defining moment in the rise of Y’all Street” in the governor’s announcement.
“It will create thousands of high-quality jobs, expand opportunity for Dallas residents, and further strengthen our position as one of America’s leading centers of finance and business,” Johnson said in a separate statement, CBS News Texas reported.
State Sen. Royce West (D-Dallas) and state Rep. Morgan Meyer (R-Dallas) highlighted the potential workforce impact in the governor’s announcement. West also pointed to Morgan Stanley’s expected partnerships with area universities.
Dallas County Judge Clay Lewis Jenkins (D) said in the announcement that “Morgan Stanley’s investment is a transformative move that further cements Dallas County’s place as an increasingly important and dynamic financial center across the country and around the world.”
Provided by Dallas Express
