The owners of the Magnolia Building, one of Dallas' most treasured landmarks, are preparing a major renovation of the historic downtown building.
The 100-year-old Magnolia Building, topped with the Pegasus Flying Horse sign, is an icon of the Dallas skyline.
Since 2021, the building that houses the Magnolia Hotel is owned by Grapevine-based NewcrestImage, one of the area's largest hotel companies.
NewcrestImage is in the final planning stages of a complete renovation of the Magnolia Building, which includes significant additions to the historic property on Commerce Street. Renovation plans were recently submitted to the Dallas Landmarks Commission.
The redevelopment is expected to cost more than $200 million and will add a three-story wing to the east of the 29-story skyscraper. A new glass entrance canopy will be constructed over the main entrance on Commerce Street. The entire exterior of the Beaux-Arts building will be updated based on plans submitted by architect Gensler to the client.
The Texas Historical Commission and the National Park Service have approved plans for this landmark building.
The expansion will include a street-level loading dock and kitchen, with meeting space above. A new restaurant will be built on his ground floor adjacent to the addition.
NewcrestImage officials could not be reached for project details.
The renovated hotel will include about 270 rooms, according to a previous filing with the state. This project will take almost two years to complete. The current Magnolia Hotel has 325 guest rooms, dating back to the late 1990s when the building was converted from offices.
Newcrest Image is in talks with five-star hotel operators, including Hilton's Waldorf Astoria, to operate the renovated Magnolia.
The owners intend to seek historic tax credits and other financial incentives to support Magnolia's redevelopment, according to information submitted to the Landmarks Commission.
The Magnolia Building renovation will add to downtown Dallas' inventory of luxury hotels. This year, the city's first JW Marriott hotel opened on Ross Avenue. And the 16-year-old Ritz-Carlton Hotel in Uptown just completed a more than $20 million redo.
When the Magnolia Building opened in 1922, it was the tallest “skyscraper” west of the Mississippi River. The skyscraper was designed by British architect Sir Alfred Bossam, who also designed Uptown's landmark Maple Terrace Apartments.
The Pegasus sign on the roof was a symbol of the Magnolia Oil Company, which had been in the building for decades and was added in 1934.
The Dallas City Council recently approved repairs to a red neon flying horse that could fall from the top of a building on Commerce Street. The sign is owned by the city.
Newcrest Image has a proven track record of restoring historic downtown buildings. In 2017, he converted the former Mercantile Commerce Building into his 128-room AC Hotel and 121-room Residence Inn. It also converted the 100-year-old Allen Building in Commerce into a Hampton Inn.
NewcrestImage recently sought zoning to build a hotel on the Dallas North Tollway in Plano's Legacy Business Park.
NewcrestImage was founded in 2013 by the three Patel brothers and owns approximately 70 hotels in 26 states. Earlier this year, the hotel company entered into a partnership with Cooley Hospitality to build and operate more properties.
Newcrest Image also partnered with local investor Dove Group to acquire the Marriott Dallas/Fort Worth Westlake. This 294-room hotel is located on State Route 114 in the Solana development.
In 2021, Newcrest Image sold 27 of its hotels in an $822 million deal with Austin-based Summit Hotel Properties.
