STRATEGIC PRIORITY: Economic Development
AGENDA DATE: May 25, 2022
COUNCIL DISTRICT(S): 14
DEPARTMENT: Office of Economic Development
EXECUTIVE: Majed Al-Ghafry
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SUBJECT
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Authorize a Chapter 380 Economic Development Grant Agreement (Agreement) for up to $5,250,000.00 as follows (1) in an amount not to exceed $5,000,000.00 for job retention and creation; and (2) in an amount up to exceed $250,000.00 for expedited permitting and soft cost expenditures; with NMG Holding Company, Inc. dba The Neiman Marcus Group LLC or an affiliate thereof for jobs created and retained related to a new office headquarters in accordance with the City's Public/Private Partnership Program - Not to exceed $5,250,000.00 - Financing: Public/Private Partnership Fund (subject to current and annual appropriations)
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BACKGROUND
The Neiman Marcus Group LLC, the iconic American department store and Dallas retail institution, has been headquartered in downtown Dallas since its 1907 founding over 114 years ago. The Neiman Marcus LLC and its affiliates ("Neiman Marcus") operates a total of 45 stores, and owns four brands: Neiman Marcus, Bergdorf Goodman, Last Call, and Horchow.
Recently, Neiman Marcus approached the City about plans to relocate its headquarters from 1201 South Elm Street in downtown Dallas ("downtown facility") to a new location in north Texas. Neiman Marcus is considering locations in Dallas, Plano, and Irving.
If Neiman Marcus chooses to remain in Dallas, it would relocate its headquarters to an approximately 85,000 square feet office in Cityplace Tower at 2711 North Haskell. The estimated capital investment associated with the new leased space is approximately $17,000,000.00, of which $9,000,000.00 will be spent for real estate improvements and approximately $8,000,000.00 will be spent on furniture, fixtures, and equipment. Neiman Marcus anticipates that construction at the Cityplace Tower locat...
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