Zurich North America is putting about 360,000 square feet of its iconic 783,800-square-foot headquarters in Schaumburg up for lease in another sign of the post-pandemic evolution of the suburban office market.
Jones Lang LaSalle Senior Managing Director Andrea Van Gelder said the current trend is of companies gravitating to smaller but higher-quality space for their office needs. Zurich’s will be the highest-end leasable space available in the region, she added.
Zurich North America certainly will remain the building’s anchor tenant, its media and public relations manager, Clare Fitzgerald, said.
She said the building’s transition to a multitenant facility will have a greater economic impact on the region, “drawing additional businesses and more jobs.”
“With this decision, other businesses will be able to share in the building’s innovative design and functionality,” she said.
The insurance industry giant moved 3,000 employees from its two previous 20-story towers near Woodfield Mall to the new building along the Jane Addams tollway at the southeast corner of the former Motorola campus in October 2016.
But since the pandemic, there has been legal action between the village and Zurich regarding incentives included in the company’s redevelopment agreement, based on there being more business traffic generated by the building.
Schaumburg Economic Development Director Matt Frank said the village’s interpretation of the agreement is those workers would be on site five days a week, not just based there.
The company issued a statement in May saying it’s endeavored to maintain its intended role in Schaumburg’s business community while offering some work flexibility for its employees.
Frank said Friday the new leasing plan may have the potential to resolve the village’s concerns.
“It’s an opportunity to bring another quality business to the 90-North area,” he said.
About 10,000 people worked on the Motorola campus during its heyday. While the property is well on the way to being transformed into the Veridian mixed-use development, the opposite side of Meacham Road is planned to be an entertainment district.
But a continued strong daytime population in the area provides support to the businesses and services the village has envisioned there, Frank said.