Devon Plans Downtown Skyscraper

[soonerkev]

Devon plans downtown skyscraperBy Steve Lackmeyer
Business Writer
Copyright by The Oklahoman, 2008

Devon Energy Corp. is pursuing plans to build a new "iconic" downtown corporate headquarters — one that would be the tallest building in Oklahoma City


In an exclusive interview with The Oklahoman, Devon Chief Executive Officer Larry Nichols also confirmed he resigned from the board of the Oklahoma City Urban Renewal Authority because the city agency owns the proposed tower site.

In response to interest expressed by Devon Energy, Urban Renewal is set to issue a request for development proposals at next week's meeting for the old Galleria parking deck just north of the Myriad Gardens.

"In talking with experts and engineers, we're looking at something in excess of $350 million," Nichols said. "We're talking about something that matches MAPS I."

With 1,350 employees based downtown, Nichols said the company needs to move forward with construction of a new headquarters that he hopes can be completed within four years. He expects 2,000 people will move into the new tower when it is completed.

"Devon has recognized for some time that we need to consolidate into one building," he said. "We now have employees in five different buildings. There are obviously inefficiencies in that."

Nichols said Devon has yet to hire an architectural firm, though there have been "extensive conversations" with a potential candidate.

He estimates the building will span more than 1 million square feet. But when asked the potential height of the building, he could only cite the size of the floor plans. By dividing 1 million square feet by the proposed floor size, the height will be at least 37 stories.

Currently, the tallest building in Oklahoma City is downtown's 36-story Chase Tower.

"To have 1 million square feet, it will probably be the tallest building downtown," Nichols said. "That's not the goal — I don't care about having the tallest building or not. I do care that it be an iconic building, that it be distinctive building. It will change the skyline downtown, and we want to build a building that everyone will be proud to have in Oklahoma City."

While he has toured buildings in major metropolitan areas including New York and Washington, Nichols could not single out a particular skyscraper as a personal favorite.

"I wish there were a building I could say, 'Go build that,'" Nichols said.

But Nichols does have some basic ideas as to what he does and does not want in a new corporate headquarters. He doesn't want the sort of windswept plazas that often are desolate around some of the downtown Oklahoma City towers built in the 1970s.

But he does want a large public space — a large enclosed atrium with cafes, a large conference center, and an enclosed garden.

"We want a fairly large distinctive atrium that would be unlike anything that exists in Oklahoma at the moment," Nichols said.

He also wants to explore opening a never-completed tunnel that connects the Galleria parking deck to the gardens, and he hopes to somehow connect to The Underground pedestrian tunnels.

But before any of this can become reality, Devon must first respond to Urban Renewal's request for development proposals. Nichols isn't legally required to resign from his board seat, which he had held since he was first appointed by former Mayor Ron Norick. Nichols said he insisted on resigning to avoid any appearance of impropriety.

If selected as the developer for the site, Devon must still negotiate parking arrangements with the city for the City Center Garage. Nichols said the discussion would likely include adding floors to the west City Center garage, which opened two years ago. The tower would also have underground parking.

Urban Renewal Executive Director JoeVan Bullard called the proposed tower the largest single development in the agency's history.

"What a great, great day this is," Bullard said. "But there are always two sides to this story, and Larry not being an Urban Renewal commissioner any longer is really saddening. He has served admirably for 20 years. He's absolutely the best example of a corporate citizen willing to take on the responsibility to serve on this voluntary board, and he has been wonderful."

[oumoodman85]

YES! I can't believe its finally happening. I have complained for so long that the skyline downtown doesn't reflect the renaissance that is occurring throughout OKC. I can complain no longer! Can't wait to see a preliminary design sometime in the near future.

[Steve]

We've got more coverage at NewsOK, and my blog at OKC Central — All about downtown OKC.
-Steve

[soonerfever]

I really hope this goes through. This will be a huge leap into the future for OKC. This can really make OKC stand out. I hope they make sure it is the tallest and most iconic. We were all hoping for big news from FNC and we get this too. Nothing bad against FNC but this news blows it out of the water. THIS IS GREAT NEWS!!!!!!!

[AFCM]

Rock on!!! I'm glad they're not just building a tower, but making it iconic.

[Steve]

In our interview Larry Nichols was very insistent that this be no ordinary office tower.

[mheaton76]

YES! Okay - NBA, C2S, and a new skyscraper for Devon?! Gazing into my crystal ball, the benefits of all of these developments and their importance cannot be understated for Oklahoma City - each will support, be symbiotic, and cause even further growth in the CBD that will please and surprise us all .



www.unitedstatesofmichael.com

[Pete]

YESSSSS!!!!

In order to get 1 million square feet (which is exactly what I predicted in other threads!) a building is more likely to be around 50 stories, as a typical floorplate would be around 20,000 sq. ft. each -- and that's a good size. Chase Tower, for example, has less than 15,000 per floor. Oklahoma Tower is about 18,300. So, I would be very surprised if this thing ended up being much less than 50 floors.

Boy, is OKC on a roll! It's seems like the momentum is growing every single day.

[Pete]

Devon's tower, called a catalyst for Core to Shore
By Steve Lackmeyer
Business Writer

ABOUT 25 YEARS AFTER the last high rise was built downtown, Oklahoma City's skyline is set to change significantly with construction of a new Devon Energy headquarters.


Designed to climb at least 37 stories high, the tower will top downtown's Chase Tower, Oklahoma Tower, First National and City Place — all currently the tallest skyscrapers in Oklahoma City.

"This is another booster shot,” Mayor Mick Cornett said when told of the company's announcement. "As good as things have been, this gives us every reason to believe things will get even better. It shows there is a lot of investment going into the city's future.”

Cornett said Devon's tower shows a confidence in not just its work force, but also the city's momentum.

But a new Devon Tower will be more than symbolic for downtown. Devon Energy Chief Executive Larry Nichols said he never considered building anywhere but downtown and said the new site is only two blocks west of Devon's current headquarters.

Even so, the new site is going to bring 2,000 people within walking distance of the west fringe of downtown, where development has lagged, compared with the rest of the city's core. Empty storefronts can be found just across the street from where the tower will be built.

Nichols and Cornett agree the tower also will serve as a gateway to the "Core to Shore” area — blighted land south of the central business district that the city is hoping to develop in conjunction with relocation of the Interstate 40 Crosstown0 Expressway.

"This will be a real catalyst for Core to Shore,” Cornett said. "With Core to Shore involving a lot of housing, all these people who will work there will need a place to live.”

The project also will affect The Underground, downtown's pedestrian tunnel system, and the Myriad Gardens.

Nichols said he wants to tie the tower to the tunnel system, even if by skywalk, and also wants a connection to the Myriad Gardens across from the site being pursued for the tower.

Devon Energy last contributed $250,000 to overhaul the gardens' water stage so that it could become the new home to Shakespeare in the Park. With the new tower, Nichols wants to step up that support.

"The Myriad Gardens is a greatly under-utilized facility in Oklahoma City that most people don't see and don't use,” Nichols said. "By putting this building there, we would like to figure out a way to enhance the Myriad Gardens ... I see us and the city and the Myriad Gardens working together to significantly upgrade the public usage of the Myriad Gardens and to help our building be a bridge between Oklahoma City and the Myriad Gardens.”

The Devon Tower announcement follows weeks of successful campaigning by Cornett to convince voters to support a sales tax to raise $120 million to renovate Ford Center, build a practice arena for an NBA team, and step up his hometown's profile as a world class city.

"This is exactly what we're trying to create,” Cornett said. "This hits on every measure.”

[Pete]

Momentum best describes downtown, energy industry
By Jack Money
Business Writer

Momentum.

There's a good word to describe Oklahoma's oil and natural gas industry.

It also works as a way to describe what is happening downtown, especially with Devon Energy Corp.'s announcement Wednesday of a downtown headquarters that will add to Oklahoma City's skyline.


The uniqueness of the word isn't lost on Brett Hamm, president of Downtown Oklahoma City Inc. "What better to reflect the energy and momentum of downtown besides energy companies in Oklahoma City?” he asked.

Devon Energy, of course, has been part of downtown Oklahoma City for decades — indeed, oil and natural gas companies have been part of downtown's fabric since the beginning. Some companies such as Devon stuck it out downtown through the bad times and are flourishing now in the strong energy climate.

Today, there are perhaps as many as 100 or more such businesses — most small, but some medium-size and some huge — in offices downtown.

Devon Energy isn't the only company experiencing phenomenal growth because of the bustling oil and natural gas business.

Quest Resource Corp. moved its 60 employees downtown in November after running out of room in an office building near Britton Road and May Avenue.

Quest is growing, so, "We needed more office space,” said Jack Collins, Quest's executive vice president of investor relations.

Today, Quest is in the Oklahoma Tower, and occupies offices on its 25th, 26th and 27th floors.

Simons Petroleum brought its 150 employees downtown in December.

"We looked at a lot of different places,” said Roger Simons, chairman of the company and vice chairman of Maxum Petroleum.

"We wanted to make sure it was the right deal, the right location, and the best environment for our employees,” Simons said. The company chose the 17th and 18th floors in Oklahoma Tower.

Another rapidly-growing company making downtown its new home is SandRidge Energy Inc. About 400 of its employees are either already in or on their way to the former Kerr-McGee tower, another landmark building downtown.

Tom Ward, chairman and chief executive, said a growing enthusiasm about downtown convinced him to make the move instead of building an office campus in north Oklahoma City.

"Downtown has changed dramatically,” he said, explaining the move. "It's much more vibrant, and there are so many things to do.”

[Midtowner]

Excellent.

[SouthsideSooner]

News just doesn't get much better than this.

Truly historic....

[Pete]

Nichols said Devon has yet to hire an architectural firm, though there have been "extensive conversations" with a potential candidate.

Any guesses as to who this might be?

Do any OKC firms even have experience with skyscrapers?

[CCOKC]

This is exciting on so many levels. Hurray for Larry Nichols and his vision for OKC.
I think he truly has the citizens of OKC in mind when making his decisions for his company. If I ever had this much money I would hope to be as good of a citizen as he has seemed to be. I know the other Oil and Gas Companies around the country will notice this move as well. Look for more companies to move not just downtown but from other cities to OKC.

[Steve]

Pete, FSB partnered with a national firm to design Kerr McGee Tower way back when. Don't be surprised if a similar arrangement is made for Devon Tower, where a local and a national are picked.

[Pete]

Good point, Steve.

And Nichols being so civic-minded, you know a local firm will be in the mix.

But which one??

[soonerguru]

This is outstanding news.

Interestingly, this was rumored here on this site months ago. Of course, what an amazing fact that is considering we're such conspiracy theorists who don't know anything that's really happening downtown. Right Steve? *snark*

[Pete]

When the Sonics relocation is finalized (just a matter of time now, IMO) I wonder if some of the big players there like Jeff Records (MidFirst) and Bill Cameron (American Fidelity) might move their operations downtown.

Certainly, Devon will be vacating a good chunk of space plus perhaps First National Center will be up to snuff soon, too.

I have the feeling a downtown address will soon be fashionable again.

[OKCisOK4me]

I can rest well now...

This is frickin awesome. Downtown Ford will be gone by the time this is built so they shant have to worry about altering their logo!

[okctvnewsguy]

I'm really excited about the new tower, I'm across the street from the construction site, but I'm willing to deal with some noise in the name of progress! Plus it will be cool to watch the entire phase of the building. I should setup a webcam when construction starts.

[BoulderSooner]

what great news for okc .. what a good few months this has been.

[Doug Loudenback]

I don't know how this might relate to the number of stories in Devon's new structure, but Tulsa's One Williams Center at 52 stories is either 770,000 square feet ... see Trizec Exits Tulsa with Sale of 770,000-Square-Foot Williams Center; Trizec Continues to Execute Investment Strategy to Recycle Capital from Non-Core Markets. | Banking & Finance > Financial Markets & Investing from AllBusiness.com ... or 1,373,733 square feet ... Williams Center Tower, Tulsa, OK. Office Leasing by the McKoy Company ... I don't know which (if either) is true ... probably the latter since LoopNet - Williams Center, Office Building, Tulsa, OK also shows it at 1,373,730 square feet. However, the larger number may include both Williams Center I and II, I don't know.

By comparison in Okc, Downtown Now, Commercial shows Okc's Chase Tower as 514,642 square feet. According to Downtown Now, Commercial , Okc's Oklahoma Tower is 568,960 square feet.

It sure as heck will be exciting to see Devon's 1,000,000 square foot tower rise to the sky!

[BFizzy]

Any guesses as to who this might be?

Do any OKC firms even have experience with skyscrapers?

I know the Benham Group has been involved with this.

[metro]

This is excellent news and glad to hear this is actually and finally happening!!!!!! I'm ecstatic. Any architecture/design/building experts in here know how long it might take before we see any dirt moving? I think it will be vital for OKC to get this project rolling before some larger conglomerate eats Devon out in a buyup and moves it to Houston. I know Nichols won't move Devon, but Luke Corbett of Kerr McGee said the same thing. A new tower will shoe them in OKC for the long-term.

I am kind of boggled that Larry Nichols would make such a huge announcement and not be further along in his plans or have some sort of rendering though.

[bombermwc]

You know what I can't wait for....to see the crane on the worksite edging it's way up the tower as everyone that drives by sees it. I'll get to watch it everyday on my way to work!