Key Corp. Finishes 1,000-Worker Move-In

CLEVELAND-KeyCorp is finalizing its move into 221,000 square feet at the 14-story Higbee Building, the former home of Higbee and Dillard’s department stores. Key is moving in about 1,000 office workers into three floors, and will likely share the building with a temporary casino.

Built in 1931, the 887,000-square-foot building was formerly the home of Higbee and Dillard’s department stores. The building is now owned by Forest City Enterprises, which has spent about $50 million in upgrading building systems and amenities.

Key is now showing off its refurbished spaces, which include architecturally restored offices, but also boast high-tech additions such as secured wireless access and “work bars” where small groups can gather and plug in for collaboration. The company has a 15-year lease on the sixth, eighth and ninth floors.

“Our Higbee Building investment demonstrates our commitment to our headquarters city,” said Key CEO Henry L. Meyer III in a statement. “It maintains hundreds of jobs in the heart of our city. At the same time, the project capitalizes on new technology, contemporary space planning and anticipates changes in the way we work and employee preferences. “We needed space that was readily adaptable to our changing functional needs, as well as changes in the way many of our staff work and their preference for more work-life balance.”

Two years ago, the company announced it would move the employees, about 20% of the company’s local workforce, from four floors at the May building. Another 5,500 employees work at the firm’s corporate headquarters at Key Tower downtown.

Detroit-based Rock Gaming recently announced that it plans to obtain a gaming license this year and move a temporary casino into the lower floors of the building by next year. The company is looking to build a $600 million new casino along the Cuyahoga River, near Huron Street, by 2013. Other tenants in the Higbee include the Cleveland Visitors Center, the Greater Cleveland Partnership, the Silver Grille, Verizon and XO Communications. The two public entities may be required to move out to make way for the temporary casino.