Willamette is believed to occupy approximately 17% of the Wells Fargo Building, or 125,000 sf of the buildings approximately 700,000 sf of rentable space. Tom Fellman of CB Richard Ellis, the leasing agent for the space, wouldn't confirm the leasing information or comment on the situation other than to say more information on Willamette's future in the building would likely become available when the merger closes in March.
Weyerhaeuser has said the companies stand to save $300 million by merging resources without widespread layoffs. Most layoffs would occur in administrative units. The companies plan to be fully integrated within the year, but there is believed to be at least a few years left on Willamette's lease agreement. Assuming there's some consolidation, Willamette would either try to sublease the space or cut a deal with the landlord.
Wells Fargo Tower, Portland's tallest office building, is believed to be close to 99% leased at the moment, with no sublease availabilities. For comparison, the US Bancorp Tower, Portland's largest office building at 750,000 sf, currently has 200,000 sf of unoccupied space. Half of it is sublease space being offered by anchor tenant US Bancorp, which found it had excess space following a merger of its own.
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