finance
KeyBank move set for December
Smaller downtown offices will allow bank to operate more efficiently, president says.
Sunday, September 28, 2008
KeyBank District President Edward Reilly says the bank's anticipated move slated for December will allow the bank to operate more efficiently, while also keeping the regional headquarters in downtown Dayton.
Plans call for KeyBank to occupy 25th through the 27th floors of the former Mead Tower at 10 W. Second St. The Cleveland-based bank also will open a branch banking office in the tower's lobby.
Reilly said crews have begun hanging drywall and the project remains on track for bank operations to be moved during the weekends of Dec. 6 and Dec. 13. Offices are expected to open by Dec. 15 with external signage installed around the same time on the northern and southern faces of the building, he said.
The move will make Key more efficient by putting it into a smaller space, Reilly said. The company currently occupies 130,000 square feet, but the new headquarters will stretch over approximately 60,000 square feet.
The smaller space reflects changes in the company's operations. When KeyBank leased the North Main Street space, Reilly said, the bank still had mainframe computers and proofing departments where it cleared checks.
Additionally, the tighter quarters will put staff members whose specialties overlap within closer proximity of one another, he said. Having the private-banking staff and the trust departments close together, for example, gives the staff members more chance to interact and also heightens referrals, he said.
Occupying a smaller space also will cut costs for the bank, he said.
The move by KeyBank comes as local government and development officials try to reverse the increasing office vacancies in Dayton's central business district. Plans call for the Downtown Dayton Partnership to conclude a study of downtown office space sometime next month, said Sandy Gudorf, president of the organization.
The study examines such issues as the inventory of office space in downtown and looks at best practices employed by other cities for keeping their office market healthy, Gudorf said. It also will include recommendations for improving occupancy rates in downtown, she said.
"There are a lot of questions these studies can answer," Gudorf said.
KeyBank owns the land beneath the 34 N. Main St. office tower, as well as the ground floor and mezzanine levels of that building, Reilly said. Towne Properties owns the remaining nine stories of the building.
Reilly, who also oversees the bank's Cincinnati operation, said KeyBank has been working with the city of Dayton and DDP to see the building used for something else once KeyBank leaves.
Contact this reporter at (937) 225-7317 or
ttresslar@DaytonDailyNews.com.
