In one of the Ann Arbor region's largest lease deals of 2010, Arbor Research Collaborative for Health moved into the third floor of the former Ann Arbor News building after signing the lease for the space in December.

Arbor Research made the move from its previous location, 315 W. Huron, to the historic building located at 340 E. Huron in early May.

The University of Michigan Credit Union, which bought the building in June 2010, occupies the rest of the 58,000-square-foot facility.

The 8-year deal comes with a 4-year option for the third floor, totaling 19,714 square feet. The asking rate for the space was $23 per square foot per year.

Debbie Vandermade, operations manager for Arbor Research, said the nonprofit made the move because the organization is growing and needed more space.

The organization conducts medical outcome research focused on chronic disease and end-stage organ failure. Projects include looking at many patients and their health care practitioners across different settings to determine the best medical practices, said Caroline Shevrin, senior managing editor for Arbor Research. The organization has 71 employees.

Vandermade said Arbor Research looked at “well over a dozen different places” when trying to find a new location for the organization. After conducting a staff survey, Vandermade said people most wanted space for collaboration and natural light and to work downtown.

“We decided that despite the opportunity to have on-site parking and lower rental rates, that being here and having a presence in downtown Ann Arbor trumped those conveniences.”

Vandermade said Arbor Research purchased several parking spaces from the UMCU parking lot off Ann Street. Other employees are using the commuter lots and parking at the organization's old parking lot.

She said Arbor Research viewed UMCU as "a really great fit" for a neighbor.

"We have found that throughout the process we’ve had a really great synergy in working together," Vandermade said.

Arbor Research tried to reclaim as many materials as possible during the renovations, Vandermade said.

“We didn’t want to just gut the place,” Vandermade said. “We brought our furniture from our other location. We used the carpet that was here. We tried to bring in components of ‘green building.’”

Vandermade said she thinks the nonprofit is a perfect fit for the historic building.

“The Ann Arbor News was a company that gathered information and disseminated it,” Vandermade said. “Arbor research does the same. It is interesting that we’ve landed here in a space that has historically provided the public information from gathering data.”

Lizzy Alfs is a business reporter for AnnArbor.com. Reach her at or 734-623-2584 or at lizzyalfs@annarbor.com. Follow her on Twitter at http://twitter.com/lizzyalfs.