The lease agreement with 100 Oaks Plaza LLC, the Dallas-basedinvestment group which acquired the 850,000-sfmixed-use property in December, calls for Vanderbilt UniversityMedical Center to occupy the entire second floor of the mall, thethird level of the mall and the entire office tower. "When wepurchased 100 Oaks Mall in December 2006, we recognized theproperty's tremendous potential as a mixed-use retail and officedevelopment," Anthony T. Ruggeri, a partner in 100 Oaks Plaza LLCand M&R Investors LLC, says in a statement. "Its location nearDowntown at the I-65 and Armory Drive interchange is one of itsmany desirable features. Obviously, the presence of Vanderbilt willcreate more day traffic for retailers, resulting in positivebenefits for the community."

Ruggeri declined to reveal the rental rate; however, he tellsGlobeSt.com that the rate for the 12-year deal is consistent withthe Nashville office market. CB Richard Ellis puts the averageoffice rate in Nashville at $17.01 per sf for the secondquarter.

With the deal, Vanderbilt plans to move 20 medical clinics to100 Oaks. Accounting, patient billing and other administrativeoffices will also call the address home. Build out of the space isunder way.The Vanderbilt lease brings the property to approximately95%; however, Ruggeri says they are negotiating several leases toput the property at 100%--and beyond with outparcel space theowners are creating.