Nationwide sells large West Side office campus to Dallas-based fund as it shifts to hybrid work model

A Dallas investment fund bought National mutual insurance company.of the large West Side campus, which the company put up for sale this summer as it transitioned to a hybrid work model spurred by the pandemic.

Reserve Capital Partners on Tuesday purchased the approximately 270,000 square foot facility at 9903 Nationwide Drive in Westover Hills.

The sale price was not available, but the 30.2-acre property was valued at $ 54.4 million by the Bexar Appraisal District. Nationwide will lease approximately 55,000 square feet there.

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This is Reserve Capital’s first acquisition in San Antonio, although it has made unsuccessful attempts to purchase other large office buildings in the city, said co-founder and partner Brant Landry. Southlake’s Trinity Private Equity Group is its financial partner in the transaction.

“We liked it right away,” Landry said of the Nationwide site. “We’re one of the buyers who still believe in the office and keep trying to buy an office, and we just felt like it was kind of a once in a lifetime opportunity. “

The resort has a full-service cafeteria and a large conference center, among other amenities, Landry said. Reserve Capital plans to make some cosmetic upgrades and add outdoor games.

The vast space could be attractive to cybersecurity and healthcare companies or government operations, he said, and discussions are underway with a few potential tenants.

Nationwide employees began working remotely in March 2020 amid the coronavirus pandemic. The following month, the insurance and financial services company announced it would be switching to a hybrid workplace model.

At least half of its company-wide employees will be permanently working remotely, which is why Nationwide is downsizing. San Antonio is one of the company’s top four locations where the company announced last year it would keep employees working remotely.

The West Side complex was built to accommodate 2,000 employees but had not been full for some time, the company said in June when it announced its intention to sell the property. Nationwide employs over 900 people locally.

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“A small number of security installations and jobs have been affected by the plans,” spokesman Joe Case said. “San Antonio continues to be a primary employment center for our company. “

It first expressed interest in 2006 in opening a “third headquarters” in San Antonio.

Nationwide then had 932 employees here and the city made the final list as the company searched for the new location, which was expected to bring more than 800 new jobs. But then the process stopped and local officials wondered what was going on until 2008 when he took over and San Antonio was ultimately selected.

The City of San Antonio and Bexar County each provided $ 500,000 and 100% property tax rebates over 10 years and the Texas Enterprise Fund launched incentives worth $ 2.5 million. The campus opened in 2013.

Nationwide terminated its agreement with the state in 2011 and paid back what was owed with interest, Case said in June. The company is also ending its agreements with the city and county and plans to repay around $ 1.2 million.

madison.iszler@express-news.net

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