Property Lines - Scott Olson

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Real Estate & Retail

Downtown tower bracing for exits of big tenants

April 12, 2017

A large chunk of office space in downtown’s Landmark Center—more than half of what’s available at the 12-story building—is poised to become available after its two biggest tenants leave the building.

Centene Corp., which specializes in insuring low-income Medicaid patients, will give back 60,000 square feet in July. But that amount pales in comparison to the four floors and the 100,000 square feet Angie’s List Inc. will vacate when its lease expires next spring.

All told, 160,000 square feet could be on the market. That’s more than half of what’s available in the 312,740-square-foot structure at 1099 N. Meridian St., which ranks as the seventh-largest downtown office complex.

Angie’s List spokeswoman Cheryl Reed told Property Lines that the company gave a year’s notice to the building’s owner that it will be terminating its lease and searching for other space for employees.

IBJ reported in November that Angie's List officials informed employees at The Landmark Center about job losses, which the firm never publicly enumerated. Angie's List began leasing space in the building in 2014, and also maintains a sprawling campus on the near-east side of downtown.

The center is owned by Princeton, New Jersey-based Fairbridge Properties, which paid $23 million in June 2015 to acquire the building from locally based Ambrose Property Group. Ambrose bought the building out of receivership in December 2013 for about $8 million.

The complex was built in 1984 and counted Emmis Communications Corp. among its first tenants.

It’s currently 97 percent occupied, said Rich Forslund of Colliers International, who along with colleague Matt Langfeldt is leasing the building on behalf of Fairbridge.

News of the impending departures at Landmark comes as the overall downtown office market is strengthening. Vacancy in the central business district is hovering around 17 percent, down from 20 percent in 2014.  

Meantime, Fairbridge is embarking on a building renovation that will include a new lobby, improvements to the common area, new outdoor seating, upgraded landscaping, parking lot enhancements and new programs for tenants.

Landmark offers tenants a fitness center, conference facility, indoor bike storage, full-service deli, sundry shop and free parking.

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