Nexus Louisiana's new home will be in downtown Baton Rouge.
Leaders of the nonprofit business development organization on Thursday approved a lease agreement to take up nearly 28,000 square feet in the mixed-use 440 on Third Street building. The move is effective July 1, pending a required 30-day-notice period.
Nexus Louisiana has been a tenant of the Bon Carre Technology Park at 7117 Florida Blvd. for 33 years. Research Park Corp., the forerunner of Nexus Louisiana, even owned a stake in the building at one time.
But the business center was purchased in May by DartPoints, a Dallas-based data center operator, for $9.4 million. Shortly after the sale closed, DartPoints told Nexus Louisiana officials their lease would not be renewed when it expires on June 30.
Tony Zanders, Nexus Louisiana president and CEO, said the organization was looking at a space downtown because of the proximity to IBM, LSU and Southern University.
“Successful startup hubs have a specific set of ingredients that make them work,” Zanders said in a statement. “440 on Third offered the perfect mix of walkability, access, and proximity to partner organizations that our founders need to reach their potential.”
Nexus Louisiana has eyed a move downtown for several years. At one point, the organization was set to take over the entire State National Life building at 263 Third St., but the deal fell apart due to leadership changes with the organization.
The downsize from 47,000 square feet in the Bon Carre Technology Park to 28,000 square feet at 440 on Third slightly reduces the amount Nexus spends on rent per year.
He plans to adapt to the smaller space by evaluating which of the businesses are ready to graduate from the incubator.
"We're using this opportunity to not just continue to carry status quo, everything we've been doing, but rather just to get back to first principles, get back to our statute, and just make sure that we're delivering on what the legislators originally intended us to do," he said.
Nexus Louisiana will share a building with Matherne's Market. Being upstairs from a grocery store and near restaurants downtown make it easier for Nexus staff to grab a bite during work, he said. Their new location will also make them equidistant to LSU and Southern, who are both members of Nexus' board.
Zanders said Nexus' relocation will add a space for people who work in economic development, students and investors alike downtown that currently does not exist in Baton Rouge but is present in other cities. While he'll have a feeling of nostalgia for the tech park, it is reminiscent of the "culture around secrecy" in technology and wants to move forward into a space that will allow "creative collisions" with others.
Advocate Staff Writer Timothy Boone contributed to this report.