The health-care provider is moving out of a smaller building at the Arroyo Parkway address that it owns and has occupied for many years but recently sold. One reason for the move to the leased building, where Health Net expects to relocate by midyear, is to gain more parking. Terms of the lease were not disclosed, but asking rate for the Koll Center Pasadena building is $2.50 per sf per month, gross.

The Health Net lease increases occupancy to about 80% at the 1055 E. Colorado Blvd. building, which is just east of Lake Avenue and south of the 210 freeway. Dallas-based Koll Development Co. developed and owns the building.

Completed last year, 1055 East Colorado is a five-story, 176,200-sf, class A building that is designed around a central courtyard and water feature. Tenants include TD Warehouse, the State of California, Kaiser Permanente and Paracel. Brad Feld and Patrick Nally of Cushman & Wakefield's Downtown Los Angeles office negotiated the lease for Health Net, with Patrick Church and Kevin Duffy with CB Richard Ellis Inc. in Glendale representing Koll.

Health Net Inc. formerly known as Foundation Health Systems Inc., is one of the nation's largest publicly traded managed health-care companies. The company's HMO, insured PPO and government contracts subsidiaries provide health benefits to approximately 5.4 million individuals in 13 states through group, individual, Medicare, Medicaid and other programs.