More than 700 IEPA workers will move to White Oaks Mall; here's an update on construction

The planned move of the Illinois Environmental Protection Agency's headquarters to White Oaks Mall continues as rising materials costs and supply chain shortages lengthen the time needed to complete the project.

Lauren Grenlund, a spokesperson for the Capital Development Board – the agency responsible for the construction of new state facilities – said that about 40% of the work had been finished and the project completion was set for spring.

It's a slight delay for a project that has been in the works since 2020 when the state purchased the 14-acre lot on the north side of the mall for $3.5 million. The site was formerly home to Sears, one of the original anchor tenants.

The new headquarters – being built at a cost of $77 million, including purchasing the site and demolition work – is necessary as the IEPA's headquarters along North Grand Avenue sits in the path of planned improvements to Springfield's 9th Street rail corridor.

The mall project is in the second construction phase with CDB turning much of the former retail space into an office for more than 700 workers.

Upgrades to electrical, HVAC, plumbing, fire protection, and security systems are underway along with installation of new flooring, lighting, windows, restrooms, and sewer. But workers also have had to navigate a series of change orders – nearly $6 million worth – caused by the aging condition of the building.

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The change orders have upped the construction cost to $62.1 million. Grenlund said Phase 2 costs were initially estimated at $56.2 million.

She noted that the state had to adjust to increases in the cost of materials, along with supply chain and labor issues, in order to keep the project moving.

"The Capital Development Board faces many of the same challenges other business sectors are encountering," Grenlund said. "We have become more adept at responding to the rising cost of materials and supply chain and labor shortages through careful project management and planning (but) this project is not exempt from these challenges. However, we remain flexible so we can ensure projects are delivered at the best value for the state."

Grenlund said that CDB's relationship with White Oaks' owner, the Simon Property Group, was a positive one, with the property firm providing assistance as needed.

"The Capital Development Board perceives our relationship with Simon to be positive," Grenlund said. "We address all concerns quickly and their representatives have been patient with the construction process, providing support and assistance when necessary."

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Nicole Kennon, a spokesperson for Indianapolis-based Simon, said in a statement that they were happy to welcome IEPA to the mall, combining the shopping and entertainment experience people come to expect from White Oaks with a workplace set up for the next generation.

"The Sol-EPA will bring 700 professional office staff to our property throughout the week which provides an excellent opportunity for our current tenants to expand their businesses and services to a new audience," Kennon said. "We constantly pursue the best options for the surrounding community. That’s why having a great place to work, access to dining, retail, fitness and family entertainment, including the new Malibu Jacks opening this month, makes White Oaks Mall an exceptional destination in Springfield."

IEPA plans to move employees and furniture into the new offices once major construction concludes in the spring.

"The new, redesigned, and updated office space at the White Oaks Mall property will provide a great location for our agency’s long-term operations," said John Kim, IEPA's director. "This new building will allow us to keep our headquarters’ staff in one modern location with the bonus of the project having a goal of LEED Silver certification."

This article originally appeared on State Journal-Register: IEPA moving to White Oaks Mall; here's an update on the construction