Developer Alex S. Palmer and Company is investing more than $200 million to develop two office towers that will allow HCA to relocate two of its business divisions into to the West End Summit complex in midtown Nashville, Tennessee, with estimates of employing 2,000 Davidson County workers within five years.
The two-tower office complex is being developed by Alex S. Palmer & Company. Palmer's company has been marketing the West End Summit property for many years, and HCA's commitment brings large enough initial tenants to make the development a reality. A 15-year lease will begin in March, 2015, Nashville economic development officials said.
The proposed development would consist of two towers of approximately 20 stories each, with one tower anchored by the corporate headquarters of Parallon Business Solutions and the other anchored by Sarah Cannon Research Institute.
The West End Summit is expected to include a total of about 900,000 square feet off office space. HCA will lease a total of approximately 500,000 square feet. Parallon is expected to occupy approximately 350,000 square feet in one tower and SCRI about 150,000 square feet in the other tower.
Parallon Business Solutions will relocate 750 jobs to Nashville from Williamson County with plans to add approximately 800 to its workforce by 2017. SCRI will consolidate 200 Nashville-area employees into one office with plans to double in size by 2017.
The office complex will include a parking facility with approximately 2,500 parking spaces. As an additional benefit of the development, an estimated 300,000 square feet of new office space will be available either to attract other new companies or for expansion by these two entities.
"This premier new location will position both Parallon Business Solutions and Sarah Cannon Research Institute very well for future expansion," HCA Chairman and CEO Richard Bracken said. "In addition, the development presents a great opportunity to bring positive growth to the city's Midtown area. The Mayor's significant development efforts, with help from the state and TVA, made the choice of this site the right decision for us, and we're pleased to help bring the project to fruition."
"The expansion of Parallon and SCRI is another chapter in the long history of HCA's innovation and growth leading to new economic development for Nashville," Mayor Karl Dean said. "HCA could have gone out of state for these headquarters but instead chose to grow jobs here in Nashville. This project speaks volumes about the vitality of our West End corridor, the talent of our workforce and the vibrancy of our city."
Nashville city officials are expected to provide package of tax incentives. The companies will also be eligible for state tax incentives, such as; FastTrack funds for infrastructure improvements, hiring incentives, job training grants, and TVA energy credits.