The skyline at The Gateway will be changing over the next couple of years, as financial services firm Fidelity Investments said Thursday it will build a new seven-story building there.
The regional operating center, one of nine across the country, will allow the company to consolidate its more than 1,200 Salt Lake workers from the two facilities they now occupy into one location.
Construction is expected to begin this fall, and the building — able to accommodate up to 1,800 workers — should be ready for occupancy in 2007, according to Fidelity spokesman John Brockelman.
The nearly 230,000-square-foot building will be constructed in a partnership with The Boyer Co. at the north end of The Gateway on a now-empty area at 50 North between 400 West and Rio Grande.
"We're pleased to announce this significant, long-term commitment to Salt Lake City, which has served as one of our regional centers and provided a well-educated and talented work force to Fidelity's operations here since 1986," Ed McCartney, Fidelity Investments senior vice president and regional general manager, said in a prepared statement.
"This new regional center at The Gateway will allow us to consolidate our operations in Salt Lake City into one new, state-of-the-art site and gives us the ability to accommodate future growth. This new facility will help us become even more efficient in our operations and ultimately better serve our clients."
The company started its Utah operations with a 110-employee brokerage call center. At the time, it was only the second regional site for the company.
Fidelity's work force in Salt Lake currently operates at City Centre, 175 E. 400 South, and One Utah Center, 201 S. Main.
Brockelman declined to reveal the lease arrangements for the new facility. Fidelity will be its only tenant.
"The new building will have enough space for our current employees and be able to handle growth of up to 1,800," he said. "Certainly, the project is a clear indication of a long-term commitment to the region, but there are no plans to announce specific growth numbers for employees."
In addition to its Boston headquarters, the company operates regional sites in Covington, Ky.; Jersey City, N.J.; Marlborough, Mass.; Smithfield, R.I.; Merrimack, N.H.; New York City; Raleigh, N.C.; Westlake, Texas; and Salt Lake.
Fidelity has custodied assets of $2.2 trillion, including managed assets of $1.1 trillion as of June 30. It offers investment management, retirement planning, brokerage and human resources and benefits outsourcing services to about 20 million individuals and institutions, as well as through 5,500 financial intermediary firms.
Fidelity calls itself the country's largest mutual fund company, the top provider of workplace retirement savings plans, one of the largest mutual fund supermarkets and a leading online brokerage firm.
In a prepared statement, Gov. Jon Huntsman Jr. said the recent and planned addition of new jobs by Fidelity "reinforces our state's reputation for a quality work force and a business-friendly environment."
Salt Lake Mayor Rocky Anderson described Fidelity as "a model corporate citizen" since 1986.
"It's truly an organization that inspires a culture of philanthropy and enhances the quality of life in communities where its employees live and work," the mayor said in a statement. "The people of Utah will continue to benefit from Fidelity's growth in Salt Lake City."
Jake Boyer, managing partner of The Gateway, said the company and its large employee base "will be a perfect addition to the shopping, dining and entertainment offerings at Salt Lake's only open-air center."
E-mail: bwallace@desnews.com