Rendering of planned HQ facility
Last year CEDIA sold its largest property. Now it is creating a new one.
The association plans to build a new global headquarters in Fishers, IN, a suburb just northeast of Indianapolis, less than a year after selling its annual trade show to Emerald Expositions. The new building, CEDIA says, will allow CEDIA to switch from a renter to a landlord, and aid in its transition from its prior focus on trade show management to becoming the thought leader for industry education and workforce development.
After more than 18 months of research, financial analyses, and due diligence, the CEDIA Board determined that a new built-to-suit global headquarters would provide the best solution for the current and future needs of the association and its members. The building will be 40,000 square feet total on three floors and is expected to cost $13.7 million dollars. CEDIA plans to occupy 30,000 square feet, which will include staff office space, as well as a “world-class training facility,” an experience center, and an auditorium, all of which will be available for member use. Ten thousand square feet will be made available for tenants, ostensibly to offset mortgage payments. The association recently received approval from the U.S. Department of Labor to create an industry-wide apprenticeship program. The new facility will serve as the launch pad of that endeavor.
Since 2003, CEDIA has leased a space on the northwest side of Indianapolis; by the end of 2017, the organization says, it will have spent more than $4 million in rent and upkeep. The association’s lease expires in October 2017. Early building estimates project that the new CEDIA headquarters will be ready for occupancy in early fall 2018. Until that time, CEDIA has negotiated to stay in its current location with a month-to-month lease.
“Building a new headquarters in a desirable, high-growth area gives the CEDIA membership an asset with appreciating value, as well as opportunity for monthly revenue from tenants,” said Dennis Erskine, CEDIA chairman. “We came to this decision only after 18 months of careful consideration of all options, including renovating the current space, finding new lease space, buying an existing structure and finally, building. We had three separate financial firms vet the build-to-suit alternative, and all concluded that real estate in this booming area was a sound investment, and a solid strategy to diversify CEDIA’s overall investment portfolio.”
CEDIA is working with Indianapolis-based architect American Structurepoint and Meyer Najem Construction to determine the design and space requirements for the future global headquarters.
During its research, CEDIA “building committee” learned that although Fishers has a million square feet available for rent, almost all it is for 2,000-3,000 square-foot office space. CEDIA, on the other hand, will be able to offer 10,000 square feet on a concrete slab for rent (or that can be divided into two separate 5,000-square-foot areas.)
“We are incredibly excited to create a space that reflects CEDIA— we represent the very best in technology and yet we have struggled to accurately represent that in our current headquarters. The new global headquarters will be a space that CEDIA members can not only be proud of, but can utilize for training, client tours, after-hours events, and much more,” said Tabatha O’Connor, CEDIA COO and acting president/CEO.
CEDIA has a signed a purchase agreement for a plot of land along the booming I-69 corridor in Fishers, with closing scheduled in the coming weeks. Fishers has become a popular area for tech-focused companies to put down roots, and has been named as one of the Best Places to Live by both Time (2016) and Niche (2017) and was honored as Indiana’s 2016 Community of the Year. Already under construction in the area are a Topgolf facility, the state’s first IKEA store, and a seven-story hotel that should be within walking distance to the new CEDIA headquarters.
CEDIA members interested in providing products and technical expertise to fully integrate the new global headquarters should contact email@example.com.