Morgan Stanley has officially chosen Texas for a new expansion of its business, with plans to bring thousands of jobs to Dallas and anchor a $1.3 billion skyscraper – the latest sign that Wall Street is diversifying away from New York City.
The investment bank landed on the decision to establish a permanent regional headquarters in Dallas over Alpharetta, Georgia, after city officials approved an $18.5 million incentive package for the firm in June.
By 2031, the company plans to have about 1,500 workers in Dallas, eventually growing to 3,800 by 2035 – potentially reaching 4,800 by the end of the decade – according to municipal filings reviewed by the New York Post.
The jobs will span wealth management, compliance, risk, legal, technology and operations, with an average salary of about $128,000 before benefits, according to the filings.
And when it is completed, Morgan Stanley's $1.3 billion, 709,000sq ft building will be nestled right in 'Y'all Street' – the nickname investors have given the fast-growing Texas metropolis.
Morgan Stanley began exploring its options outside the Big Apple earlier this year following the election of New York City's socialist Mayor Zohran Mamdani, who has proposed stricter regulations and higher taxes that have unsettled some corporate leaders.
Dallas Mayor Eric Johnson also used the city's pro-business climate to strengthen his pitch, saying: 'American capitalism, free market competition, and even economic success itself have all been vilified by New York's top elected leaders.'
Now, with the incentive package approved by the Dallas City Council, Morgan Stanley is moving ahead despite already having roughly 3,000 employees in Alpharetta.
Morgan Stanley is doubling down on Texas with plans to bring thousands of jobs to Dallas and anchor a $1.3 billion skyscraper - the latest sign that Wall Street's footprint is spreading far beyond New York City
Morgan Stanley began exploring its options outside the Big Apple earlier this year following the election of New York City's socialist Mayor Zohran Mamdani
The $18.5 million grant is tied to the firm achieving hiring benchmarks, while the city is also offering a 10-year, 90 percent property tax abatement, according to the Post.
The city's 15-member Plan Commission quietly gave its final approval on August 6 for the bank to mount 366.3sq ft illuminated exterior signs on the Fountain Place tower downtown, following a preliminary sign committee vote in July, filings show.
The signs will bear the Morgan Stanley name and clearly identify the bank as a tenant of the building, according to the filings.
The move will happen in two phases.
Morgan Stanley will first take over roughly 255,000sq ft at Fountain Place on Ross Avenue, where contractors are carrying out a roughly $97 million interior renovation.
The bank will eventually move those operations into its new permanent skyscraper at 2401 McKinney Avenue.
Demolition crews have already begun clearing a former Gold's Gym at the site, according to the Post.
The permanent tower is expected to open in 2031 and will represent one of the biggest new additions to Dallas' rapidly expanding financial district.
Dallas Mayor Eric Johnson has repeatedly positioned the city as the antithesis of Mamdani's New York and successfully passed an $18.5 million incentive package for Morgan Stanley
New York City will remain Morgan Stanley's global headquarters, but the Dallas project marks a major regional expansion for the bank - and another potentially painful sign for the city where the financial giant was founded
New York City will remain Morgan Stanley's global headquarters, but the Dallas project marks a major regional expansion for the bank – and another potentially painful sign for the city where the financial giant was founded.
Morgan Stanley is far from alone.
Just a mile from the planned Morgan Stanley tower, Goldman Sachs is building an 800,000sq ft campus that will eventually house around 5,000 employees, according to the Post.
JPMorgan Chase has also expanded aggressively in Texas and now employs more workers in the state than it does in New York, while Apollo has highlighted Texas as a major hub for its operations.
The trend predates Mamdani, with Wall Street firms increasingly drawn to Texas because of its lack of a state individual income tax, lower costs and business-friendly policies.
But the political divide between the two cities has given Dallas an additional selling point.
Johnson has repeatedly positioned Dallas as the antithesis of Mamdani's New York, where the mayor has pushed a more interventionist economic agenda and promised to raise taxes on the wealthy.
