OFFICIAL - Waddell & Reed - 14th & Baltimore

[Riverite]

Any leasing updates with this building, I know commercial is taking a real hit

[mister816]

I'm surprised that they don't just say screw it and turn it into the new city hall

[AlkaliAxel]

Any leasing updates with this building, I know commercial is taking a real hit

Been waiting for the right moment to say it- but this seems to me to be "The Year of Public Projects".

Unlike the last few years, I don't think the private housing/commercial projects are gonna be what makes the waves this year. It'll be about the big stuff.

The big stories this year include:
-south loop cap
-streetcar groundbreaking
-World Cup bid
-Royals stadium announcement (?)
-Plaza restructuring
-Chiefs (?)

Who knows what more is coming. But I think these types of items will be the primary focus of 2022. Sort of a reset year in a way.

[earthling]

Any leasing updates with this building, I know commercial is taking a real hit

I haven't found recent stats on local flex space leasing (like WeWork and PlexPod) but it is back to growing again in some markets. State Street just downsized into LightWell WeWork.

If 1400KC cant' score a tenant, wonder if WeWork or other flex operator would consider expanding there. Co-working space took a big hit at first year of pandemic but those that survived are picking up steam in some markets. Not sure about KC market.

edit: This is the most recent report I could find on KC market flex space but it's a couple years old, 2020. KC metro had near 1M sqft of flex space then, compared to just over 1M in STL and 1.2M in MSP area.
https://www.cbre.com/-/media/files/the- ... 2020-1.pdf

[FangKC]

Kevin Collison is reporting that Blue Cross/Blue Shield is considering 1400 Baltimore for their headquarters.

...
For Blue KC,
...
The firm also is exploring other options including the 1400KC building at 14th and Baltimore, according to downtown real estate sources. That 18-story building was erected for Waddell & Reed, but the deal fell through after the investment firm was bought.
...

viewtopic.php?p=642728#p642728

[AlkaliAxel]

Kevin Collison is reporting that Blue Cross/Blue Shield is considering 1400 Baltimore for their headquarters.

...
For Blue KC,
...
The firm also is exploring other options including the 1400KC building at 14th and Baltimore, according to downtown real estate sources. That 18-story building was erected for Waddell & Reed, but the deal fell through after the investment firm was bought.
...

viewtopic.php?p=642728#p642728

I remember there was some speculation on Blue Cross doing this for that potential Grand office next to T-Mobile a couple years ago. So makes sense they switch over to 1400 KC.

[earthling]

Would be surprising if BCBS would be willing to pay those rates... unless they've negotiated rates down quite a bit.

[KCPowercat]

Would it be a move or expansion? Doesn't seem big enough for their only location

[DColeKC]

Any leasing updates with this building, I know commercial is taking a real hit

I haven't found recent stats on local flex space leasing (like WeWork and PlexPod) but it is back to growing again in some markets. State Street just downsized into LightWell WeWork.

If 1400KC cant' score a tenant, wonder if WeWork or other flex operator would consider expanding there. Co-working space took a big hit at first year of pandemic but those that survived are picking up steam in some markets. Not sure about KC market.

edit: This is the most recent report I could find on KC market flex space but it's a couple years old, 2020. KC metro had near 1M sqft of flex space then, compared to just over 1M in STL and 1.2M in MSP area.
https://www.cbre.com/-/media/files/the- ... 2020-1.pdf

Spark is 94% leased.

[beautyfromashes]

Awhile ago I heard there were a few tenants interested but trying to low-ball the rent. I think they have a number they’ll get to and pull the trigger. Just trying to push everyone up. First one to target rent wins!!!

[earthling]

Ideally it would be a company from outside KCMO. A shift from an existing downtown or KCMO company is no gain unless an expansion.

[DaveKCMO]

Hufft is proud of their feature wall: https://www.instagram.com/p/CfXTSbcgUmb/

The feature wall measures 20 feet tall by 34 feet wide, and is made of 596 individual pieces of thick, solid ash. It was a labor of repetitive traditional craft; unlike most projects that come through our shop, this one never utilized the CNC. Each piece was cut, shaped and sanded by hand, then sent to the spray booth for a bone white stain and clear water-based finish. The wall is a major statement to building visitors as they enter the lobby, and to passersby at the street level.

[Highlander]

Kevin Collison is reporting that Blue Cross/Blue Shield is considering 1400 Baltimore for their headquarters.

...
For Blue KC,
...
The firm also is exploring other options including the 1400KC building at 14th and Baltimore, according to downtown real estate sources. That 18-story building was erected for Waddell & Reed, but the deal fell through after the investment firm was bought.
...

viewtopic.php?p=642728#p642728

If they are buying the parking lot next to Union Station, it would seem that Waddell Reed is not the preferred location?

[earthling]

^I wondered that too but (assuming they own existing BCSBS building?) they may have a hard time selling that building w/out owning the parking. And isn't clear if 1400KC is considered for expansion or a full move. An expansion would be curious as insurance industry is pretty conducive to remote work for many roles so would be surprising if they need much more space, or maybe hybrid is not their direction. If BCBS stays in existing location, they may want control of what happens to that lot (for better/worse) if Wash Sq Park is re-purposed into something else. Like they said, setting themselves up for options where they have the most control.

[FangKC]

I think it's also about having options. They may move into 1400 Baltimore, but they don't have to. That will allow them to negotiate rents. If they don't get the rent they want, they control the land if they want to build. It's also possible they might buy 1400 Baltimore.

[normalthings]

I think it's also about having options. They may move into 1400 Baltimore, but they don't have to. That will allow them to negotiate rents. If they don't get the rent they want, they control the land if they want to build. It's also possible they might buy 1400 Baltimore.

If they build, they will pay the same or more rents

[taxi]

Would be surprising if BCBS would be willing to pay those rates... unless they've negotiated rates down quite a bit.

This year's increase in my premium should help them cover any rate.

[FangKC]

I think it's also about having options. They may move into 1400 Baltimore, but they don't have to. That will allow them to negotiate rents. If they don't get the rent they want, they control the land if they want to build. It's also possible they might buy 1400 Baltimore.

If they build, they will pay the same or more rents

It would save them the hassle of having to deal with constructing a building and all the potential unknowns in that process. What will material prices be in a year, etc.?

[TheLastGentleman]

[earthling]

Still rather baffling the architects thought it a good idea to use windowless panels. Something you'd see in cold war era telcom buildings or when security a priority.