- Google is expected to occupy at least 600K SF of the redeveloped 954K SF Thompson Center, leaving the remaining office space available for lease.
- The renovation is slated for completion in September, and Morningstar has reportedly explored leasing roughly 300K SF, though no agreement has been finalized.
- The project arrives as Chicago’s downtown office market records its first vacancy decline in two years, signaling improving leasing momentum.
Google’s long-awaited move into Chicago’s Thompson Center is coming into focus. According to Bisnow, the tech company is expected to occupy at least 600K SF of the landmark’s 954K SF redevelopment when it opens. Google is not expected to relocate until mid-2027, but the project is nearing completion after almost four years of planning. The remaining office space will be marketed to other tenants, giving the Central Loop one of its largest blocks of modern office inventory.
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Thompson Center Redevelopment Nears Completion
A joint venture between The Prime Group and Capri Investment Group has redeveloped the Helmut Jahn-designed Thompson Center. Developers expect to finish construction in September after nearly four years of planning and construction. Market participants have long viewed Google’s commitment as a catalyst for the Central Loop, where office leasing has lagged other downtown districts. Unlike newer West Loop developments, the Thompson Center combines a landmark renovation with a major corporate tenant. That combination makes it one of Chicago’s most closely watched office projects.
The Details
Google plans to occupy more than half of the building, leaving approximately 354K SF for other tenants. According to Bisnow, Morningstar reportedly explored leasing about 300K SF, but the companies have not finalized an agreement. CBRE continues to market the available office space. David Burden, principal and vice chair at Colliers, told Bisnow that few downtown buildings offer contiguous blocks larger than 200K SF. The Thompson Center could attract large occupiers that have limited options elsewhere in Chicago’s CBD.
Downtown Recovery Gains Momentum
Chicago’s office market showed fresh signs of improvement during the second quarter. According to Colliers’ Q2 2026 report, downtown office vacancy fell 30 basis points to 24.3%, marking the first quarterly decline in two years. Class A buildings posted 473K SF of positive net absorption. The West Loop led all downtown submarkets with 37K SF of year-to-date absorption. The Central Loop still recorded roughly 737K SF of negative net absorption. Even so, Google’s commitment could help draw more tenants back to the district.
Why It Matters
Google’s lease gives downtown Chicago more than a headline-grabbing tenant. It validates a large-scale office redevelopment at a time when many landlords continue to reposition aging buildings. According to Colliers, office investment sales have also accelerated as discounted pricing attracts buyers. Many Class B and Class C buildings now trade for roughly $50 to $60 PSF before renovation costs. That pricing creates opportunities for investors willing to modernize older assets. The Thompson Center reflects a different strategy. It pairs premium redevelopment with a blue-chip tenant that can attract additional leasing activity.
What’s Next
The next milestone is leasing the remaining 354K SF before Google moves into the building next year. Landing another major office tenant would strengthen the Central Loop’s recovery and improve confidence across downtown Chicago. Investors will also watch whether stronger leasing translates into higher office values and more redevelopment projects. If vacancy continues to decline through the rest of 2026, the Thompson Center could become a leading example of how large repositioning projects can help revive urban office markets.
