The Jacksonville Sheriff’s Office would move almost all of its operations into the Florida Blue building in Downtown’s Northbank under a revised lease agreement on its way to the Jacksonville City Council.
On Jan. 13, the Mayor’s Budget Review Committee voted unanimously to allow the introduction of legislation for JSO to lease an additional 283,000 square feet of office space in the 20-story building at 532 Riverside Ave.
That would bring the total JSO square footage leased in the building to 341,959 square feet, meaning the office would occupy almost 60% of the tower.
Scott Dingee, assistant chief of JSO’s general support division, told committee members that the new space would allow the department to consolidate staff from the Police Memorial Building and other rented office space.
JSO moved its Homeland Security department and some crime labs to the tower after Council approved legislation in September 2023 to allow JSO to lease 58,959 square feet in the building.
Under terms of an amended and restated lease presented in a memo to the committee, the city would pay $20 per square foot for 239,646 square feet in the tower, North and Center buildings, plus $6 per square foot for 19,247 square feet of warehouse space and $35 per square foot for retail space in the Forest Street parking garage.
The rates would be subject to a 3% annual escalation. The term of the lease is 195 months after completion of the build-out, with options for two five-year renewals.
The lease also provides JSO with five parking spaces per 1,000 square feet of leased space, plus three designated spaces in front of the building. Public parking for JSO would be provided in the garage space.
The landlord, Blue Cross and Blue Shield of Florida Inc., is providing a tenant improvement allowance of $19.84 million and is supplying office furniture from its Deerwood campus offices, where it is headquartered.
JSO also received 15 months of abated rent, which is being converted to an additional improvement allowance of $7.27 million.
Dingee said that JSO anticipates the build-out to occur over three phases, with the final employees being moved in near the beginning of 2027.
He said that except for a fueling station, JSO would vacate the Police Memorial Building. Doing so would save $6 million in maintenance and upgrades to the building, he said, such as work on the rooftop helicopter landing pad, air handling units and flooring.
The memo said the Police Memorial Building, at 501 E. Bay St., provides 165,466 square feet of usable office space, with 215 parking spaces for 739 employees. Dingee said the department has used a grass lot across Bay Street but would lose access to the site under plans by the city to build the Shipyards West park on the property.
Having outgrown the building, JSO stations 184 of its employees in 73,880 square feet of off-site office space.
Mike Weinstein, Mayor Donna Deegan’s chief of staff, recommended that JSO structure the move so that the 184 off-site employees are among the first to transfer to the Florida Blue building. He reasoned that by doing so, JSO could end leases for space for those employees and reduce its costs.
Dingee said JSO officials scouted out more than 25 properties before zeroing in on the Florida Blue building.
“This was, by far, not only the best deal but had the best infrastructure for our operations,” he said, citing an example as the availability of backup power and emergency generators to allow for uninterrupted operation of the communications center.
Under terms of the original 2023 lease, the city was obligated to pay $20 per square foot for office space and another $6 per square foot for 3,567 square feet of parking garage space.
A 3% annual escalation rate and two five-year renewal options also were part of the original agreement.
The Florida Blue building, built in 1950, is 571,459 square feet, according to the Duval County Property Appraiser. There is a four-level parking garage built in 1973.
Florida Blue is based at 4800 Deerwood Campus Parkway in Deerwood Park North.