(PROJECT) One Place Tower

[Jeff P]

Agreed.

One thing that it did do was get rid of a surface parking lot.

There was a huge one right where that building currently sits.

[SXSW]

Well to be fair to my ex-colleagues, the Williams Communication/WilTel business did just fine once it got out of bankruptcy in 2002.  In fact, we had 3+ years of very solid growth and were arguably the best run 2nd-tier telecom carrier out there.

That's why we were such an obvious merger target for Level 3.  There are still several hundred former WilTel (now Level 3) employees in that building.

But to the point, I don't think OTC could have had this kind of "ripple effect" because there was no other development around it to speak of.  It didn't have the momentum of a new big downtown arena, baseball stadium and burgeoning entertainment districts.  People's collective attitude about downtown were totally different.

And - it wasn't built to spur development, per se... it was built out of necessity, really.  

The BOK Tower was near capacity around 2000, as Williams was huge, and Williams Communications was rapidly growing.  At the time, we had WCG people spread around about 6 or 7 different buildings downtown, because (IIRC) we only had like 1 or 2 floors in the tower.  

With Williams growing again, and BOK growing (now one of the largest regional banks) as well as BOK Tower tenants like Newfield Exploration and Magellan Midstream, any possibility that one leaves and eithers moves to another tower or builds a new one?  What is the current vacancy rate?  Seems like First Place could be a potential location for one of those (or better another company all together) once Cimarex moves several hundred employees to 2nd & Cheyenne..

[TheArtist]

  I think Class A vacancy rates are remarkably low, about 7%  hence the new tower.  The vacancy rates for Class B and C are much higher though.

[Jeff P]

With Williams growing again, and BOK growing (now one of the largest regional banks) as well as BOK Tower tenants like Newfield Exploration and Magellan Midstream, any possibility that one leaves and eithers moves to another tower or builds a new one?  What is the current vacancy rate?  Seems like First Place could be a potential location for one of those (or better another company all together) once Cimarex moves several hundred employees to 2nd & Cheyenne..

I don't know the exact vacancy rate, but my unscientific anecdotal observations tell me that the building doesn't feel near as full as it did back in, say, early 2001 before Williams Communications moved into the OTC.  The tower really felt like it was bursting at the seams back then.  (For one thing, I had to park about 5 blocks away because all of the other lots and garages were full.)

But it has certainly picked up in the past few years.  I know that Williams alone has added 300+ employees in Tulsa over the last 5-6 years.  Our total employment in Tulsa is now a shade over 1,300.

In terms of tenants moving, I don't know.  I doubt Williams would ever move since... hey... we own the building.    And BOK isn't probably going to leave the building that bears their name.

So for those other guys... I suppose it's possible if they significantly grow.  Plus, if Williams and BOK continue to grow, those people have to go somewhere.  So down the line I could see maybe some tenants moving if it gets to the point where Williams and BOK take up so much space in the tower that the other tenants don't have room to grow.

[SXSW]

I don't know the exact vacancy rate, but my unscientific anecdotal observations tell me that the building doesn't feel near as full as it did back in, say, early 2001 before Williams Communications moved into the OTC.  The tower really felt like it was bursting at the seams back then.  (For one thing, I had to park about 5 blocks away because all of the other lots and garages were full.)

But it has certainly picked up in the past few years.  I know that Williams alone has added 300+ employees in Tulsa over the last 5-6 years.  Our total employment in Tulsa is now a shade over 1,300.

In terms of tenants moving, I don't know.  I doubt Williams would ever move since... hey... we own the building.    And BOK isn't probably going to leave the building that bears their name.

So for those other guys... I suppose it's possible if they significantly grow.  Plus, if Williams and BOK continue to grow, those people have to go somewhere.  So down the line I could see maybe some tenants moving if it gets to the point where Williams and BOK take up so much space in the tower that the other tenants don't have room to grow.

I could see BOK building a new tower.  Banks, especially ones the size of BOK, have the resources.  Look at most new office tower construction in mid-sized cities, all built by banks.  Not saying we'll see a new tower anytime soon but it's definitely a possibility with BOK as they don't own One Williams Center but rather just lease the naming rights..  

[Conan71]

I could see BOK building a new tower.  Banks, especially ones the size of BOK, have the resources.  Look at most new office tower construction in mid-sized cities, all built by banks.  Not saying we'll see a new tower anytime soon but it's definitely a possibility with BOK as they don't own One Williams Center but rather just lease the naming rights..  

That's been an odd relationship for years.  At one point, I believe BOK had the mortgage on the tower, then wound up foreclosing on it.

Someone refresh my memory please, but seems like all that went down back in the early '00's when they were having all sorts of financial difficulties with Williams and WilTel.

[Jeff P]

That's been an odd relationship for years.

What's odd about it?

BOK and Williams have been the two constants in the tower since it was built.  In fact, BOK actually moved into the tower before Williams did, as the bank and lower floors were completed in late 1976.  Williams moved in during the first part of 1977.

At one point, I believe BOK had the mortgage on the tower, then wound up foreclosing on it.

Not that I know of... you may be thinking of some of Williams' other real estate... like the two black "Williams towers" west of the Hyatt? 

Those were built by Williams real estate in the early 1980s, but then divested around the mid-1990s when Williams decided it didn't want to be a real estate company.   

But either way, I don't think it had anything to do with the liquidity crisis the company faced in mid-2002.

[Conan71]

What's odd about it?

BOK and Williams have been the two constants in the tower since it was built.  In fact, BOK actually moved into the tower before Williams did, as the bank and lower floors were completed in late 1976.  Williams moved in during the first part of 1977.

Not that I know of... you may be thinking of some of Williams' other real estate... like the two black "Williams towers" west of the Hyatt? 

Those were built by Williams real estate in the early 1980s, but then divested around the mid-1990s when Williams decided it didn't want to be a real estate company.   

But either way, I don't think it had anything to do with the liquidity crisis the company faced in mid-2002.

Thanks for the refresh on that, Jeff. 

[carltonplace]

Are they moving dirt yet?

[Jeff P]

Are they moving dirt yet?

I don't think so.

I drive past that lot on my way to work every day, and I haven't noticed any movement since the "ground breaking."  (Although I noticed the other day that the dirt from the ground breaking is still there..)

[TTownHomeboy]

With the delays in "actually" breaking ground and release of final elevations, talk of two more substantial tennants, wouldn't it be awesome if this somehow turns out to be a major tower. (Putting T-Town back on top as tallest, not only in Ok but in several states.)  Maybe they're waiting on Devon tower to top off, so they can't add a floor or spire or something. It's fun to dream about that happening though. 

[we vs us]

With the delays in "actually" breaking ground and release of final elevations, talk of two more substantial tennants, wouldn't it be awesome if this somehow turns out to be a major tower. (Putting T-Town back on top as tallest, not only in Ok but in several states.)  Maybe they're waiting on Devon tower to top off, so they can't add a floor or spire or something. It's fun to dream about that happening though. 

Who are the new substantial tenants?

[ZYX]

Who are the new substantial tenants?

The developers have not said who yet, only that they will exist within the development.

[SXSW]

There will be a lot of demolition and site utility work before you start seeing the base foundation poured and the structure start to rise.  The existing buildings on the site facing Cheyenne (where Flintco/Manhattan had their BOK Center field offices) will be torn down soon and then other activities can start.

[TTownHomeboy]

Who are the new substantial tenants?

I have no clue.  But I have seen it mentioned in articles posted in this very thread once or twice, that other tennants are lined up.

The development group is busy fielding queries from other possible tenants, Eggleston said.

Two more major office tenants will be announced within the next few months, he said. Waiting lists have been started for the planned apartments, and retail and restaurants are clamoring to be part of the project.

Read more from this Tulsa World article at http://www.tulsaworld.com/news/article.aspx?subjectid=334&articleid=20110624_334_0_Thhmrm63775