PHOENIX-After a lengthy review of the market, EMCOR Group Inc. has decided to stay in its existing space at Koll Cotton Center.
The new five-year lease for 30,603 square feet of office space will save the firm 25% to 30% in occupancy costs, according to according to Todd Noel, a senior vice president with Colliers International. He and Keith Lambeth, also a senior vice president with Colliers, represented the Fortune 500 company in lease negotiations. The landlord, ING Real Estate, was represented by Mike Goldwater of Commercial Properties Inc.
EMCOR Group, which provides mechanical and electrical construction and energy infrastructure services, uses the space as a call center. It has been a tenant at Cotton Center for 10 years, and its lease was set to expire later this year.
“EMCOR’s objective was to reduce occupancy costs,” Noel tells GlobeSt., adding that the company had eight to 10 quality options in addition to Cotton Center. After six months of market evaluation and negotiation, EMCOR and ING were able to come to terms.
“Factoring in the location, the cost to move and the new economics including concessions, EMCOR decided to renew,” Noel says. The new lease includes free rent and additional tenant improvement money for some retrofitting and refurbishment of the existing space, he adds.
Located at 4050 East Cotton Center Blvd., the property offers easy access to the SR-143 and I-10 freeways. It is close to downtown Phoenix and Sky Harbor International Airport. The project was built in 2000 and acquired by ING in 2005.
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