5 things to know about the Texas Research Quarter, the life sciences center planned for Plano

The Texas Research Quarter is committed to making Plano and North Texas a life sciences hub.

The project, from Dallas-based investment strategy firm NexPoint, is a four-million-square-foot project that will house laboratories and manufacturing space for life sciences companies in Plano’s Legacy District.

The 135-acre, multi-site district is designed to contribute to the local and regional economy by attracting the life sciences industry to North Texas.

Here’s what you should know about the plans for the project and what it could mean for Plano.

How did we get here?

NexPoint purchased the property in 2018. The site is home to the former Electronic Data Systems Campus, the information technology company founded by H. Ross Perot Sr. in the 1960s.

The Plano government supports the plans for the district. In August, the Plano City Council approved a development agreement to support the project with funds from a tax increment reinvestment zone. The council approved up to $15 million to compensate NexPoint for the redevelopment.

Plano Economic Development Director Doug McDonald called the campus a “game-changer” for the city. “Life sciences and biotechnology are the next generation we want to be part of,” he said.

Related:Plano is offering incentives for a multi-billion dollar life sciences campus at the former EDS site

What is planned for the website?

NexPoint plans to renovate the former EDS building and develop production facilities in the area.

The $4 billion redevelopment will occur in phases.

The project includes a 300-room hotel, 775 apartments and a 9-hectare park, according to previous reports.

Related:What’s planned for Plano’s former JCPenney campus? High-rise apartments, offices in limbo

Why do some say it is necessary?

The work being done at Texas institutions like UT Southwestern Medical Center “is in dire need of this place opening,” said Kristen Doyle, CEO of the Cancer Prevention and Research Institute of Texas. “There will be more North Texas companies coming into the market. They need a place to land.”

Kelly Cloud, vice president of life sciences economic development for the Dallas Regional Chamber, works with companies looking to relocate or expand in North Texas.

Cloud said the large space and production facility infrastructure that the Texas Research Quarter seeks to provide is currently missing in the region. Companies could leave North Texas to manufacture elsewhere. For example, Plano-based Reata Pharmaceuticals no longer has a physical presence in Texas following its acquisition by BioGen.

“We need to have more of these facilities [companies] can land and grow into it,” Cloud said. “Plano is a great opportunity to do that.”

What could it do for the region?

Some see it as a chance to create a hub for an emerging industry in Plano, a change that could create jobs and transform the city’s identity in the region. While the coasts have historically hosted the country’s life sciences centers with San Francisco and Boston, North Texas could be the next frontier and Plano could be its anchor, advocates say.

The project is also expected to boost the local economy. NexPoint said it expects to spend nearly $136 million on work at the site, which is expected to create more than 2,000 jobs in the first phase, according to previous reports. The completed development could create more than 30,000 jobs.

Currently, Cloud sees the emerging life sciences industry more broadly tied to Dallas-Fort Worth. But over time, she said, the Texas Research Quarter could focus more on Plano as a hub for the sector.

“As we become a central hub for life sciences,” Cloud said, “you will increasingly associate Plano with life sciences.”

Related:Plano is offering incentives for a multi-billion dollar life sciences campus at the former EDS site

What does it take to get there?

The project still has a long way to go. In the first phase, renovation and new construction will be carried out with the support of city reimbursement. The final development will include mixed-use components.

Making the dream a reality requires more than a real estate deal. Lauren Tyra, CEO of Gregor Diagnostics, said the region needs more big checks to fund health care and life sciences.

“As this industry develops in our region, we need more funding and we need to do a better job of attracting investor capital from the coasts,” Tyra said.

Eric Danielson, managing director and director of real estate development at NexPoint, said the Texas Research Quarter also needs tenants and the right workforce to be successful. Companies want to ensure that there are skilled workers in the region who are familiar with organic production.

Another important need for life sciences companies is the support services that help a company succeed, Doyle said. It can’t all fall to the Texas Research Quarter.

“Life sciences … is very ecosystem-oriented,” Cloud said. “It takes a lot of different people, a lot of different skills, different perceptions, different visions to really have an impact on health care for everyone. If we want to do it right, it has to be a community effort.”