The Allstate Corp. announced it has reached an agreement to sell the property making up the majority of its campus in Northbrook, Illinois, to Dermody Properties for approximately $232 million.

The sale is expected to close in 2022.

Allstate has said it is selling the property as employees have more choice about where they work and many are choosing to work from home. The company plans to keep a significant presence in the Chicago area, including its existing office space in downtown Chicago.

The insurer said the sale will also reduce real estate expenses and further advance Allstate’s multi-year initiative to increase personal property/liability market share by building a low-cost insurer with broad distribution.

Allstate has nearly 42,000 employees across the country.

Allstate moved into the Northbrook site in 1967 and the campus currently includes 2 million square feet of office space. The buildings and land are located at 2675, 2700, 2755, 2775, and 3075 Sanders Road, Northbrook, Illinois.

The insurer announced its plan to sell the campus last month.

In April 2020, insurer Nationwide began exiting most buildings outside of four main campuses and moving associates in these locations to permanent remote-working status. The insurer’s goal is a hybrid operating model that includes primarily working-from-office in four main corporate campuses and working-from-home in most other locations.

Source: Allstate

*This story ran previously in our sister publication Insurance Journal.