Alliant Bucks Office Consolidation Trend With Chicago Move

One of the world’s largest insurance brokerages is zigging while much of corporate America zags, opting to split its Chicago office between two downtown sites rather than consolidating into a single hub.

Alliant Insurance Services signed a lease for just under 27,000 square feet — a full floor — at 360 North Green Street in Fulton Market, Crain’s reported, according to people familiar with the deal. At the same time, the Irvine, California-based firm is in late-stage talks to lease roughly 18,000 square feet closer to the Loop. Space on or near Wacker Drive is said to be under consideration.

The move would break up Alliant’s current Chicago space of about 52,000 square feet, which it subleases from Mesirow Financial at 353 North Clark Street in River North. Once the new leases are finalized, Alliant plans to divide its local workforce between the two offices.

That strategy runs counter to a dominant post-pandemic theme in the office market. As remote and hybrid work hollowed out demand, many companies have sought to centralize operations into a single location to cut costs and encourage in-person collaboration.

A spokesperson for Alliant did not respond to requests for comment from the outlet, but sources said one of the firm’s business units will be based in the Fulton Market office, where rents typically command a premium. Another segment, targeting a different client base, is expected to land in less expensive space near the Loop.

The Fulton Market lease is a win for Sterling Bay, the developer of the 24-story, roughly 500,000-square-foot building at 360 North Green. Completed last year, the tower has quickly become a magnet for professional services firms migrating from more traditional downtown addresses. Boston Consulting Group and law firm Greenberg Traurig are among the building’s tenants, marking an early wave of white collar firms following tech companies into the former meatpacking district.

Alliant appears to be the first major insurance brokerage to establish a foothold in the Fulton Market corridor. Prior to the deal, the Green Street building was about 79 percent leased, according to CoStar.

Alliant’s Chicago presence dates back to its 2016 acquisition of Mesirow’s insurance business. It also maintains offices in Bannockburn and Oak Brook.— Eric Weilbacher