State Street Corp. to Become Anchor Tenant at One Congress Tower

BOSTON—Global financial services firm State Street Corp. will relocate its corporate headquarters in 2023 to the One Congress office tower, which will break ground this summer.

State Street Corp. reports it has signed a 15-year lease for approximately 510,000-square-feet at the planned 43-story office tower, part of the Bullfinch Crossing redevelopment project in Downtown Boston. State Street will relocate its headquarters to One Congress once its current headquarters lease at One Lincoln St. expires in 2023.

The company’s building at One Channel Center in Boston’s Seaport, which opened in 2014, is not impacted by this relocation with a long-term lease until 2030.

“State Street has called Boston home for 226 years, and today’s announcement reinforces our continued commitment to this thriving and distinctive city,” says Ron O’Hanley, president and CEO of State Street. “The workforce of the future is pushing us to rethink how and where we operate. Employees in today’s highly digitized world need space to collaborate and access state-of-the-art technology that supports flexible working and connectivity to support our clients. We have seen great success with our Channel Center building in the Seaport that was designed for this purpose, and we are confident that One Congress will deliver an equally productive and successful environment.”

Last week, State Street Corp. announced it was reducing its workforce by 6% or approximately 1,500 employees in high cost locations as the company realizes benefits of automation and standardized global processes.

The Bulfinch Crossing redevelopment, is owned and is being developed through a 50-50 joint venture between Washington, D.C.-based National Real Estate Advisors, LLC on behalf of a client, and Carr Properties.  The HYM Investment Group, based in Boston, will serve as the local developer for the project.

“We are delighted to welcome State Street as the anchor for One Congress and to kick off construction of this phase of Bulfinch Crossing,” says Jeffrey J. Kanne, president and CEO of National Real Estate Advisors. “Having been a part of this redevelopment plan for almost 12 years, we could not be more excited about the transformation that is beginning to take place.”

One Congress is the second phase of Bulfinch Crossing, which is remaking the existing Government Center garage site (4.8 acres in total) into one of the most vibrant developments in downtown Boston.  Upon completion, Bullfinch Crossing will feature more than 2.9 million square feet of first class residential, office, hotel and retail offerings featuring more than 800 residential units, 200 hotel rooms, 1.15 million square feet of office space, and 82,500 square feet of new retail.

“We are thrilled to be part of One Congress and to have an iconic company like State Street choose One Congress as their new home,” adds Oliver Carr, CEO of Carr Properties.  “One Congress offers a unique design and a set of amenities that will contribute to the fabric of downtown Boston.  The project fits perfectly with our strategy of owning, developing and operating differentiated buildings that offer an amazing experience for our customers. We intend to take very good care of State Street as a valued customer for many years to come.”

The 1-million-square-foot One Congress office tower will feature a one-acre, outdoor roof garden on the 11th floor, in addition to more than 30,000 square feet of fitness, shared conferencing, wellness, and upscale food and beverage offerings.

Carr Properties announced last September it had become a 50-50 investor in the One Congress office project. In November, the firm made its second investment in Boston with the purchase of the 200 State St. office building.