Conroe Moves to Buy Long-Abandoned Dailey Oil Tool Building for Future City Hall

Conroe officials plan to buy the deteriorated former Dailey Oil Tool building for $5.6 million and replace it with a new city hall, citing safety hazards and the need to consolidate city staff.

Fabian Medhurst

By 

Fabian Medhurst

Published 

Nov 19, 2025

Conroe Moves to Buy Long-Abandoned Dailey Oil Tool Building for Future City Hall

Conroe is set to acquire the former Dailey Oil Tool building on Plantation Drive for $5.6 million, with plans to demolish it and construct a new city hall on the previously neglected site, according to city officials.

City officials have verified that the 12-acre location, featuring a 60,000-square-foot building from the 1980s, has remained vacant for years, drawing significant interest from social media users and urban adventurers. 

Deputy City Administrator Nancy Mikeska stated that the building is beyond repair and presents serious safety risks.

“The structure raises numerous environmental issues,” Mikeska stated. “The condition of the structure has declined to such an extent that it is no longer listed on the tax rolls.” It must be removed to ensure the safety of our community.

The city is looking into the site as officials contend that Conroe has surpassed the capacity of the Conroe Tower at 300 West Davis, which currently accommodates numerous city services. Employees are spread across various sites, including the Conroe Municipal Complex on FM 2854, creating accessibility and parking challenges for the community.

“Our goal is to reunite our city staff,” Mikeska stated. “The existing city hall is clearly failing to address our requirements.”

The proposal outlines replacing the current structure with a new city hall that will include public meeting rooms and a ballroom, both retained on the upper level. The project, though in its early stages, will require voter endorsement. 

Authorities indicated that the city might balance expenses by divesting from current properties, such as the municipal complex—previously the Conroe Police Department—and land adjacent to the old Sam Houston School.

Councilwoman Marsha Porter stated that the acquisition positions future leaders to sustain a commitment to city services. “I’m not sure any of us will witness the construction of this city hall,” Porter remarked, “but it certainly provides the future city council and residents a chance to take that step.”

The Dailey property boasts an extensive corporate background. Founded in 1945, Dailey began as a supplier of downhole drilling equipment and made its public debut in 1996. The company faced delisting from Nasdaq in February 1999 due to its inability to satisfy minimum price standards. Later that year, Dailey filed for bankruptcy and was acquired by Houston-based Weatherford International for $195 million in stock, as reported by the Houston Business Journal. The ownership of the building shifted multiple times before its most recent sale in 2019 to TAD Conroe Partners.

The Houston Chronicle was the first to report on the city’s recent move.

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