KDC seeks $3.5B in debt to finance AT&T's Plano headquarters

KDC is reportedly seeking about $3.5 billion in credit tenant lease debt for AT&T’s new global headquarters campus in Plano, CRE Daily reports, citing unnamed sources. No loan has closed.

In a credit tenant lease deal, the loan is repaid from the tenant’s rent rather than secured mainly by the property. CGA Capital and CBRE are reportedly arranging the debt. AT&T, KDC and CBRE declined to comment, per the report.

Why it matters

The reported ask is far above the floor Plano set in its incentive deals. Under a Feb. 23, 2026 tax agreement (NovusAgenda ItemID 10626), AT&T must add at least $1.35 billion in real property improvements at 5400 Legacy Drive. The $3.5 billion figure is about 2.6 times that floor. The city record does not show the campus’s full budget, so the financing search is the first public signal of how large it may be. For DFW lenders and contractors, it shows how much capital the Legacy West build could draw if the debt closes.

The numbers

Both agreements require AT&T to build and occupy at least 2 million sq ft of office, amenity and retail space. The grant agreement (ItemID 10625) pays $20 million for transferring, retaining or creating up to 10,000 full-time job equivalents by Dec. 31, 2039. The grant comes from the city’s 2025-26 Economic Development Fund, leaving a $36,763,255 unencumbered balance. CRE Daily reports the debt would carry an 18.7-year weighted average life. PGIM data cited in that coverage puts a typical credit tenant lease financing at $25 million to $100 million.

What’s next

Construction is moving on a parallel track. KDC registered 11 Project Eagle TABS filings on Oct. 14, 2026 for buildings, garages and a utility plant on Legacy Drive. The largest building’s work runs Dec. 1, 2026 through March 31, 2029 (more: KDC’s Project Eagle filings →). Watch for a named lender group or a recorded deed of trust in Collin County to confirm the final loan size. More on the metro: Dallas-Fort Worth →