The information technology company's Midwest arm in Detroit has a large contract with GM, and moving near the automaker is beneficial, says Mark Gilman, deputy director of the company's Midwest public relations. Gilman would not say what the terms of the lease of the 21-floor officetower would be, or how much it will cost to renovate the tower for use by the company.

He says the Plano, TX-based company is consolidating leases nationwide. The company has many offices in the Detroit area, and has a regional headquarters in Troy. However, many employees who work at the Travelers Building in Southfield already work on a GM account.

"Those employees will be moved to be closer to GM," Gilman says.

Gilman tells GlobeSt.com the company owns four buildings in Southeast Michigan, and leases space in 25 buildings.

About 300 of EDS Southfield employees will move to the RenCen to temporary offices, joined by about 1,200 other company employees, until permanent, renovated offices are ready in about a year, he says.

Another 100 employees will spread out to different offices in the area, leaving the Travelers space vacant. The company's lease at the Travelers Building ends Jan. 31, Gilman adds.

He reports the company is still negotiating the lease rate at the RenCen. However, the move makes sense for three reasons, he says.

"First, it helps us be a part of something Downtown. We like what Mayor Kwame Kilpatrick is doing there," Gilman said. "Also, it's a cost-effective move to one of our largest clients, and it moves our employees to a state-of-the-art center."

About 18 floors of Tower 500 are being considered by the state for Renaissance Zone tax-free status for 12 to 15 years.

About 500 of the 9,000 EDS employees in the area already work with GM at the RenCen. GM is the company's largest client in Detroit, but only represents 13% of the company's business.

The automobile maker bought the building in 1996 for a new headquarters, and has been working on a $500-million redevelopment of the 1-million-sf landmark on the Detroit River.

The building had been used by many tenants prior to 1996, and had actually been constructed with Ford Motor Co. assistance. After GM bought the building, it took over many floors of the five towers.

The RenCen has four 39-story office buildings and the 73-story Detroit Marriott Renaissance Center Hotel. The retail portion in the lower levels have been configured to create clusters for retail and service firms, and include a five-story atrium mall overlooking the Detroit River.

The GM headquarters portion has offices for more than 5,500 GM employees and 2,500 non-tenant GM employees.

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