A law firm’s planned relocate to a 50-story Loop office tower continues an industry trend of lowered workplace sizes.
Arnstein & Lehr prepares to move next year to about 65,000 square feet at 161 N. Clark St., stated Managing Partner Michael Gesas. Arnstein & Lehr presently rents about 100,000 square feet at 120 S. Riverside Plaza in the West Loop, the firm’s house considering that 1990, Gesas stated.
Most of the area Arnstein is taking at 161 N. Clark will be subleased from Polsinelli. That law practice plans to move in February to a 53-story workplace tower in the late phases of construction at 150 N. Riverside Plaza along the Chicago River.
Arnstein & Lehr is following a law market pattern of cutting costs by minimizing real estate. Numerous firms are moving toward smaller sized specific workplaces and removing libraries and records that can now be saved electronically.
” We decided to make the move since we’re in space that, for the functions of our firm, is antiquated,” Gesas stated. “The plus is we won’t have the extra-large equity partner offices that we have here (at 120 S. Riverside).
” My office is like a castle. It’s outrageous.”
About 60,000 square feet will be subleased from Polsinelli on the 42nd, 43rd and 46th floors. Arnstein & Lehr likewise will lease about 5,000 square feet straight from the landlord on the 13th floor for the firm’s management firms, Gesas stated.
161 N. Clark is owned by an endeavor of CBRE Global Investors, which bought it in on behalf of a group of South Korean financiers for about $331.3 million in October 2013. The tower is about 96 percent leased, according to real estate data company CoStar Group.
The Polsinelli lease that Arnstein & Lehr is assuming runs until October 2027, Gesas said.
Arnstein & Lehr was represented in the deal by Bill Rogers, a handling director at Jones Lang LaSalle.
Polsinelli is among several companies moving their Chicago workplaces to smaller spaces in towers now under construction. Others consist of McDermott Will & Emery, DLA Piper and Hinshaw & Culbertson.
Other firms are switching from one existing structure to another to redesign their workplaces in less total space, such as Seyfarth Shaw’s thing to move to Willis Tower from the Castle.
Overall downtown firm job reached a 15-year low during the 2nd quarter, however pending relocations by occupants from existing structures to brand-new building are expected to increase job in the next few years.
Founded in 1893, Arnstein & Lehr has about 90 lawyers in the Chicago firm and about 60 in Florida, where it has workplaces in Miami, Fort Lauderdale, West Palm Beach and Boca Raton, Gesas said. The company likewise has a small Springfield firm that its Chicago attorneys utilize when traveling to the state capital.
Arnstein & Lehr plans to complete the relocation from the West Loop by next April, Gesas stated.
Aside from some minor cosmetic changes such as brand-new carpet and paint, the Polsinelli space is supplied and move-in prepared, Gesas said. Firms are 225 square feet for partners and 150 for associates.
Its current space has partner offices from 235 to 310 square feet and associate offices of 150 feet, the firm stated. Regardless of the overall decrease in space, the brand-new workplace includes space for new hires, Gesas said.