X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

(Carl Cronan is editor of Real Estate Florida.)

ST. PETERSBURG, FL-Universal Health Care Group Inc., an insurance plan management firm, has signed a lease for 31,000 sf at 100 Bay Central and will move from the nearby Wachovia Plaza office tower in November. It will be the first new tenant to occupy 100 Bay Central since Lutz Real Estate Investments bought the 135,000-sf space in 2006.

Universal Health, which occupies several spaces in its current location, will be able to consolidate its operations in Downtown St. Petersburg within half of a floor at 100 Bay Central, according to Adam Lutz, principal of Lutz Real Estate Investments. The Farmington Hills, MI-based firm bought the building’s two-floor office segment for $15 million.

“They are exactly the type of quality tenant we were looking for,” Lutz tells GlobeSt.com. “It sets a new identity for the building.”

The 18-year-old building, formerly known as 100 Central Station, was previously home to Progress Energy Corp., which moved to a new 16-story headquarters in Downtown St. Petersburg starting in 2006 and finally vacated the last of its space in May. Lutz says that left the last four months to complete renovations to 100 Bay Central, which allows additional prospects to examine space there without an existing tenant being in the way.

Office vacancy in Downtown St. Petersburg, which was previously in the single-digit range, has increased to 16.6% through the first half of this year, with class A space reaching at least 22%, according to GVA Advantis. A high renewal rate and lack of new buildings is helping to stabilize both vacancy and rents, which currently average $24.53 per sf.

Lutz says he remains bullish on the St. Pete CBD, noting that city officials are strong supporters of revitalization. “The core is getting better. It’s not receding like some areas,” he says.

Chad Rupp of Jones Lang LaSalle represented Universal Health in the 100 Bay Central lease, while Claire Calzon and Jeff Tolrud of Colliers Arnold represented Lutz Real Estate.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.