TN: Two HQs, $200M+ Private Investment, 2,000 Jobs Announced in Nashville
1 Oct, 2012
Mayor Karl Dean, joined by Gov. Bill Haslam and HCA Chairman and CEO Richard Bracken, announced one of the largest commercial office developments in city history: the location of two corporate headquarters in Midtown at the West End Summit property. The expansion of two HCA business units will employ nearly 2,000 workers within five years. The development represents a private investment in excess of $200 million in Davidson County.
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 (SCRI). The project will position the two corporate headquarters in a premier, new upscale setting on a prime business site and in a space that allows for future growth at the two companies.
“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,” 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.”
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. This is believed to be the largest number of new permanent jobs created by one economic development project in Davidson County since the relocation of Dell’s facilities to Nashville in the 1990s and one of the largest in the region’s history.
“HCA is a Tennessee success story, and the company’s continued growth here is great news,” Haslam said. “As we continue our work to make Tennessee the No. 1 state in the Southeast for high–quality jobs, this announcement is a significant step toward that goal.”
The two–tower office complex is being developed by Alex S. Palmer & Co. 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.
“This premier new location will position both Parallon Business Solutions and Sarah Cannon Research Institute very well for future expansion,” 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 West End Summit is expected to include a total of about 900,000 square feet. 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. 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 Class A office space will be available either to attract other new companies or for expansion by these two entities.
To make Nashville competitive for these headquarters, Metro has offered an economic development package, which requires the approval of the Metro Council.
It is expected that due to the size and scope of the project that the companies will be eligible for certain state incentives, such as FastTrack funds for infrastructure or training, and TVA energy credits.
HCA is one of the nation’s leading providers of healthcare services, comprising 162 hospitals and 112 freestanding surgery centers in 20 states and England.
About Parallon Business Solutions
Parallon Business Solutions offers healthcare providers a complete range of industry-leading business solutions, including group-purchasing through HealthTrust Purchasing Group, staffing management, supply chain services, project management, revenue cycle management and technology solutions.
About Sarah Cannon Research Institute
Sarah Cannon Research Institute (SCRI) is one of the largest global strategic research organizations focused on advancing therapies and accelerating drug development in oncology and cardiology through affiliations with a network of more than 700 physicians in the United States and United Kingdom.