One of Downtown Bloomington’s most iconic buildings may soon get a second act. On Monday, the Bloomington City Council will consider a proposal to transform the former State Farm headquarters into a $68 million mixed-use development featuring 183 residential units, ground-floor retail, and a 13th-floor destination restaurant.
This proposed redevelopment will be completed by Urban Equity Properties (UEP), a company that has been revitalizing properties since 2007 and is known for redeveloping historic buildings into mixed-use or residential developments. To date, UEP has over $200 million in assets under management, including more than 20 properties in five cities.
The project is one of two major redevelopment agreements up for consideration that could bring nearly 400 new housing units to Bloomington—part of a broader effort to tackle the city’s growing housing needs.
The second proposal comes from Holladay Properties, which plans to turn the former Verizon site at 1312 E. Empire Street into a vibrant new apartment community. The $41.5 million project would add 210 market-rate units in a mix of studio to three-bedroom layouts. Plans include seven three-story buildings, green space, a dog park, indoor and surface parking, and on-site leasing and management. This would be Holladay’s first project in Bloomington.
If approved, both projects could break ground as early as this year.
“The energy in Downtown Bloomington continues to grow, and UEP’s nearly $70 million investment will be a catalyst for even greater progress,” said City Manager Jeff Jurgens. “Bringing new housing to the heart of the city adds vibrancy, supports our local businesses, and helps meet a critical need in the community. Paired with the upcoming units on Empire Street, this is a clear sign of momentum and a meaningful boost to the housing market.”
The former State Farm building, constructed in 1929, served as the company’s headquarters until 1974 and remained in use by State Farm until 2018. Urban Equity Partners, known for revitalizing historic structures, acquired the property in 2019.
With major employers like Rivian and Ferrero continuing to expand, the demand for a range of housing options continues to rise. The City Council has made housing a top priority, and these projects reflect that focus.
