American International Group is moving its global headquarters in 2021 as part of a continued push to modernize its operations, the company disclosed on July 21.
The property/casualty insurance giant will still maintain a Manhattan corporate address, which it has had at one location or another for much of its history.
Specifically, AIG will leave its corporate headquarters at 175 Water Street in Manhattan and move to 1271 Avenue of the Americas – approximately 6 miles away – where it will occupy 8 floors and 325,000 square feet.
That’s not the only corporate move AIG is planning. The company said it expects to consolidate its remaining New York City area footprint into approximately 450,000 square feet divided between two new locations at 28 Liberty Street in Manhattan and 30 Hudson Street in Jersey City, New Jersey. Expectations are that AIG will move into the three buildings in 2021.
AIG described 1271 Avenue of the Americas as “a premier, fully redeveloped 48-story office building located in Rockefeller Center.” The 28 Liberty St. location is “an iconic 60-story landmarked office building” in Lower Manhattan, and 30 Hudson St. is a 40-story office tower on the Jersey City waterfront, AIG said.
AIG’s office relocation plans are not unexpected. The insurer disclosed in an annual regulatory filing at the end of 2019 that it had sold and leased back its corporate headquarters building at 175 Water Street. New York real estate publication The Real Deal reported in August 2019 that the sale netted AIG $270 million, AIG’s lease would expire in 2021 and the new owner wanted to convert the top half of the 684,000-square-foot building into residential space.
AIG President and Global Chief Operating Officer Peter Zaffino said that the office space changes are part of AIG 200, the company’s “global, multi-year effort” to revamp and modernize its operations.
“We are designing offices in these three class A buildings that will allow our teams to work more effectively and collaboratively with high-quality infrastructure,” Zaffino said in prepared remarks.
While Zaffino did not mention the COVID-19 pandemic specifically, he referred to it indirectly, mentioning that work-from-home policies that arose from the pandemic will influence workplace designs in the making.
“Our people are our most important asset,” Zaffino said. “We remain committed to providing a safe and productive work environment while incorporating key learnings that have emerged while working remotely.”
AIG CEO Brian Duperreault said that the headquarters move will help the insurer with its daily busines operations.
“Our new Midtown headquarters building is in close proximity to many of our clients, distribution partners and other stakeholders,” Duperreault said in prepared remarks. “We take pride in our role as a responsible corporate citizen and remain committed to doing our part to help strengthen our New York City and Jersey City communities.”
As of the end of 2019, AIG’s General Insurance arm (its property/casualty divisions), owned offices in 12 foreign countries and regions including Bermuda, Ecuador, Japan, Mexico, the UK and Venezuela, according to AIG’s 2019 regulatory filing. The rest was leased, and AIG said in the filing “our leases and properties are sufficient for our current purposes.”
AIG employs 46,000 people globally.