Mutual of Omaha puts new headquarters plan on back burner
OMAHA, Neb. (AP) — Plans by Mutual of Omaha to replace its Omaha headquarters have been put on hold.
The insurance company recently decided to put a pin in the idea of a new home base and instead focus on other priorities, the Omaha World-Herald reported . Spokesman Jim Nolan said those other priorities include bolstering technology to support Mutual’s growing insurance business.
The news comes after a more than yearlong study of a possible $200 million-plus project to replace Mutual’s current headquarters in midtown Omaha. The plan had been to erect a new headquarters fairly close by.
James Blackledge, Mutual’s chairman and chief executive, said at the time the study was commissioned that it would consider a new headquarters aimed at improving collaboration among its 3,500 Omaha employees and allow Mutual to attract and retain the best talent.
But Nolan said that over the past few years, Mutual has experienced significant growth in its core insurance business, which “requires capital to finance that growth, including investments in technology to support our business.”
“We want to make sure our technology road map is clearly defined before we make any decisions about our future work site,” he said.
Mutual recently sold its fast-growing bank operations to New York-based CIT Group for $1 billion. The sale of Mutual of Omaha Bank gave the company much-needed capital to continue to expand insurance activity, Blackledge said.
Nolan said Mutual would revisit the new headquarters plan on a regular basis.
Information from: Omaha World-Herald, http://www.omaha.com