Modis is moving out of Downtown....

[fsu813]

...into the 'burbs.

And the beat goes on:




Adecco Group, which completed its acquisition of MPS Group Inc. on Tuesday, is committed to remaining a major employer in Jacksonville. But the international staffing company probably won’t be as visible on Jacksonville’s skyline as MPS has been.

MPS’s information technology subsidiary, Modis, has its name on the signature 35-story building in downtown Jacksonville, where MPS was headquartered. But MPS’s lease in the building expires in March 2011, and Adecco is already considering a move to a less costly building in the suburbs when the lease is up.

“In all likelihood, we’re leaning toward a move outside of downtown,” said Tig Gilliam, CEO of Adecco North America.

Gilliam is visiting Jacksonville this week to meet with the former MPS employees, who are now part of Adecco after the $1.3 billion buyout was finalized. He said in an interview today that no decisions have been made on office space, but Adecco will base its decision on finances.

“We have to make this work for Adecco shareholders,” he said.

MPS employs about 375 people in the Modis building, where it occupies five and a half floors. Gilliam has held meetings with the company’s Jacksonville employees and also held teleconferences for MPS’ other 8,000 workers in other locations.

“As of Wednesday, we really began the education process for everyone about what the two companies bring together,” he said.

Adecco is based in Zurich and has more than 5,700 offices in 60 countries. Its Jacksonville operation will be part of Adecco North America, which is based in Melville, N.Y. But it will be a significant location for Adecco, Gilliam said.

MPS provided staffing services for several professional occupations under different brand names. Gilliam said the Modis information technology business, the Accounting Principals finance and accounting business and the Special Counsel legal business will be merged with existing Adecco businesses. But the major office operations for those businesses will be based in Jacksonville.

“From a business support point of view, this is our specialty staffing support operation,” he said.

Like MPS, Adecco operates its businesses under many brand names, and Gilliam said no decisions have been made about what brands will remain after the merger.

Once the merger was completed Tuesday, MPS Chairman Derek Dewan, CEO Timothy Payne and Chief Financial Officer Robert Crouch left the company. But most of the other Jacksonville employees will remain. Gilliam can’t say that 100 percent of the 375 employees will remain, because of business conditions or other organizational factors. But he said “I expect that number to be at or above” 375 employees in Jacksonville.

It’s also too early to say what will happen with some of MPS’s community sponsorships. The MPS Group Championships women’s tennis tournament in April in Ponte Vedra Beach will continue under that name this year, but the company is not sure about the name for the 2011 tournament.

But Gilliam expects Adecco to continue to have a strong level of community involvement, just as MPS has done.

“I think that is one of those things where our two companies are similar,” he said.



http://jacksonville.com/business/2010-01-21/story/adecco_deal_likely_means_move_out_of_downtown_for_modis

[thelakelander]

that sucks.

[fsu813]

(ha).

that about sums it up.

[vicupstate]

Damn, right after the good news from Peyton, this comes along immediately after.  The DT vacancy rate is already quite high.

The corporate titans of Jax seem to have little commitment to the city beyond charity/event sponsorships.  Maybe I'm wrong, but that is how I perceive it.

[sheclown]

damn

[vicupstate]

Five and a half floors empty, in addition to whatever is already vacant in that building, plus an entirely empty building next door, plus the 20% vacancy throughout DT.  The rents DT are already  low compared to comparable cities.

Ask the Landing if this is insignificant.   

[billy]

overall occupancy rate of building will be?

[reednavy]

So, who gets the naming rights next?

[Keith-N-Jax]

Something that looks better than Modis I hope.

[brainstormer]

I wonder if MPS will keep its sponsorship of the MPS Terrace Suite in the Stadium?  Will it be the "Adecco Terrace Suite" next year?

[Sportmotor]

wouldnt it be slightly costly to change the name on the building? I think it would be easyer and cheeper to leave it up, I just hope it doesnt start a domno effect.
My biggest fear would be 'rent' going up for the rest of the occupients in the building forcing some out. I doubt that would be the case but the chance of it is shuddering.

[tufsu1]

It is hard to justify to shareholders spending $25/sf in downtown if surburban locations are more like $20/sf...plus parking is free....this is a fight every city in America has.

[heights unknown]

Well, I guess that sums that up.  So what will it take to keep them downtown?  If they leave, I wonder if there are any immediate takers to occupy that building and put their signature on it?  Oh well, nothing lasts forever.

"HU"

[vicupstate]

It is hard to justify to shareholders spending $25/sf in downtown if surburban locations are more like $20/sf...plus parking is free....this is a fight every city in America has.

Companies piss away a lot more money than that on BS that serves little or no benefit, except maybe the executives or the board.

[reednavy]

I don't know what executive would want to give up a nice, whatever level of a skyscraper office with a killer view for a 3rd story, parking lot or retention pond w/ fountain view.

I damn sure wouldn't!