The ad agency will occupy about half the space it had at 50 South Sixth after losing its largest client and laying off employees.
While downtown Minneapolis' office market waits for a new, large tenant that could kick off a round of construction, some office building occupants are playing a round of musical chairs.
Fallon Minneapolis recently announced plans to move from 50 S. 6th St. to the AT&T Tower at 901 Marquette Av. S.
Deloitte and Touche will move into Fallon's vacated space at 50 South Sixth, relocating about 900 employees from One Financial Plaza at 120 S. 6th St.
Fallon's move will occur in spring and marks a return to the AT&T Tower for the advertising agency, which had offices there from 1991 to 2001.
Fallon will occupy about 62,000 square feet at the AT&T Tower, about half the space it has been leasing at 50 South Sixth. The agency has downsized this year, laying off about 12 percent of its workforce this summer after losing its largest client, Citigroup.
Fallon will be joined at the AT&T Tower by another new tenant, health care consultant Clark Wamberg, which has agreed to lease 52,000 square feet. The firm will be moving from 225 S. 6th St.
The two new tenants at the AT&T building will boost its occupancy from about 73 percent to 92 percent.Macy's warehouse sold
Beer wholesaler J.J. Taylor Distributing Co. last week completed its $24.4 million purchase of the Macy's warehouse in northeast Minneapolis. The 600,000-square-foot facility at 701 Industrial Blvd. NE. was built in 1969 as a distribution center for Dayton's department stores.
Macy's put the warehouse up for sale earlier this year.
J.J. Taylor Distributing is the successor to East Side Beverage, which began operating as a Twin Cities-area beer wholesaler in 1933. East Side was acquired by J.J. Taylor in 1985.Another award for Midtown Exchange
The Midtown Exchange mixed-use development on the site of the former Sears warehouse in Minneapolis recently received a merit award from the Design Build Institute of America. It's the 12th award for the project. The lead developer was Minneapolis-based Ryan Companies.
In order for Midtown Exchange to be considered for the award, Ryan had to demonstrate successful application of design-build principles, including collaboration in the early stages of the project. Ryan also had to document that the project was completed on time and on budget.
Work on Midtown Exchange, which includes a hotel, housing, and retail and office space, was begun in September 2004 and completed in June 2006.
Susan Feyder • 612-673-1723