Several state agencies that are part of the Department of Consumer Affairs plan to relocate to 1000 Washington St., which has remained vacant since 2007 when the last of Teradyne’s employees moved to the semiconductor-test manufacturing firm’s North Reading campus.
The owner of the former Teradyne headquarters in the South End has found a new anchor tenant for the 11-story tower: the state of Massachusetts.
Several state agencies that are part of the Department of Consumer Affairs plan to relocate to the building at 1000 Washington St., which has remained vacant since 2007 when the last of Teradyne’s employees moved to the high-tech manufacturer’s North Reading campus.
About 450 employees from the Department of Telecommunications and Cable, the Division of Banks, the Division of Insurance and the Division of Professional Licensure will move over the course of several months to the building, starting in December.
The four agencies together leased about 138,000 square feet at the old Teradyne tower for 10 years, according to building owner Nordic Properties. All of them are moving from South Station, except the professional licensure agency, which is based on Causeway Street. Meanwhile, the state Department of Public Utilities will stay at South Station.
The departure from South Station will save the state nearly $1 million a year in lease costs for the three agencies that are moving, said Kevin Flanigan, a spokesman for the state Division of Capital Asset Management.
He said the state agencies will occupy floors six through 10 in the Washington Street building, as well as parts of the ground floor and parts of the basement.
Og Hunnewell, president of Nordic Properties, said the company began extensive renovations after Teradyne left the site in 2007. He said Nordic acquired the 242,000-square-foot building and adjacent 310-car garage from Teradyne in 2006 for $35.5 million in anticipation of Teradyne’s departure.
Hunnewell said Nordic completed the renovations a year ago and began marketing the building both as a single-tenant location and as a multiple-tenant location. “We consciously did a two-pronged approach, knowing that it works for both,” Hunnewell said.
Hunnewell said Nordic plans to reopen the top-floor cafeteria and basement fitness center by December, and is considering a street-level restaurant.
He said Nordic signed the leases with the state agencies on June 19, and expects other tenants will line up now that it’s clear most of the space will be occupied.
“The key piece was to be able to tell everyone (that) this deal is finally done,” Hunnewell said.
Jon Chesto may be reached at firstname.lastname@example.org.