Frost Bank could spend an estimated $22.2 million upgrading its Dallas regional headquarters, with plans to renovate space on three floors of the office tower that carries its name in the city's Harwood District. The San Antonio-based bank expects construction to start in January and wrap by the end of May, according to filings tied to the project.
The renovation covers the 17th, 18th and 19th floors of Harwood No. 7, better known as Frost Tower, as reported by The Dallas Morning News. Filings show the bank plans to spend roughly $7.4 million per floor, with interior improvements including raised floors, new finishes, a new ceiling grid and updated lighting. The project details come from Texas Department of Licensing and Regulation filings, which the newspaper notes are preliminary and subject to change without notice.
Despite that $22.2 million estimate, Frost spokesperson Bill Day said the bank expects the final project cost to land below that figure. The bank will occupy 62,000 square feet in the tower once the work is finished, and the station's report notes Frost is finishing a separate project to triple the number of its financial centers across the Dallas area.
A Bank on a Statewide Growth Run
The Dallas renovation lands as Frost Bank, which is based in San Antonio, continues expanding across North Texas and statewide. Frost's parent company, Cullen/Frost Bankers Inc., earned $178.5 million in third-quarter profit, or $2.84 per diluted share, on about $626.7 million in revenue, up from $172.7 million, or $2.67 per share, on $589.3 million in revenue a year earlier, according to the San Antonio Express-News.
Average loans climbed 9% from a year earlier to $23.4 billion, up 3.3% from the prior quarter, while average deposits rose 3.6% year over year to $43.6 billion, a 2.3% increase from the second quarter. Frost chairman and CEO Phil Green credited the bank's statewide expansion for driving that loan and deposit growth, per the same account. Since launching its expansion strategy in 2018, the bank has opened 81 branches, primarily in Houston, Dallas and Austin, and now operates 211 locations.
Dallas Office Market Finding Its Footing
The timing lines up with a broader rebound in the Dallas-Fort Worth office market. Quarterly leasing activity jumped 30.3% from the prior quarter to 4.4 million square feet in the third quarter of 2026, the highest level since the first quarter of 2019, according to Cushman & Wakefield. Overall vacancy fell for a seventh straight quarter, dropping 20 basis points from the prior quarter and 150 basis points year over year to 23.7%.
Frost Tower itself changed hands in 2025 when private equity firm TPG acquired the building as part of a planned recapitalization of a five-building Harwood District portfolio covering 1.2 million square feet, according to the Dallas Morning News report. TPG is partnering with Dallas-based Harwood International on that recapitalization, with Harwood retaining a minority interest as co-investor. The planned upgrades across the portfolio include new greenspaces, building infrastructure and common spaces, along with tenant clubhouses, fitness centers and food and beverage offerings.
Separately, Frost is also taking additional space in the Uptown Dallas tower that bears its name, according to the Dallas Business Journal. That additional footprint adds another layer to a bank that is now among the nation's 50 largest and ranks in the top 10 in Dallas-Fort Worth as it continues building out its presence in North Texas.
