It was in October of this year that it was first reported that Allstate Corp planned to sell its headquarters building and today Bloomberg has reported that the insurance giant has reached an agreement to sell the bulk of its headquarters campus for $232 million to Dermody Properties. The move comes as the insurer pivots to accommodate the changing workplace behavior brought on by the pandemic.
Bloomberg has published a statement released by Allstate announcing the sale of the Northbrook, Illinois property, which highlighted that the transaction is set to be finalized next year.
“Allstate is selling the property as employees have more choice about where they work and many are choosing to work from home,” the corporation said in the statement. “The company plans to keep a significant presence in the Chicago area, including its existing office space in downtown Chicago.”
Bloomberg noted that in an interview earlier in November, the chief financial officer of Allstate, Mario Rizzo described the sale as one of several cost-saving measures being taken as the insurer wrestles with inflation and continues to embark on a transformation journey engineered by chief executive officer Tom Wilson. Rizzo stated that the decision was largely motivated by employee feedback but would also help the company trim expenses.
Allstate first moved into its Northbrook location in 1967.