Industry sources say the advertising firm Arnold Worldwide, which at one time had been considering a move to 501 Boylston St. in Boston’s Back Bay (pictured above), now seems likely to remain at its 101 Huntington Ave. headquarters.

It might not serve as an overnight solution to the recent struggles in Boston’s Back Bay office market, but a well-heeled financial services firm is launching a search for an estimated 180,000 square feet in that district, according to industry sources.

Currently located at 200 Berkeley St., Evergreen Investments, aka Evergreen Funds, is just now beginning to test the leasing waters, said one local broker. “They have a significant space need … and they are starting to sniff around to see what is out there,” said the broker, who claimed that Trammell Crow Co. has been retained to advise Evergreen on its options.

Calls to Trammell Crow Co. were not returned by press deadline, while Evergreen spokeswoman Laura Fay refused to discuss the matter. “We don’t have any comment on our looking for new space and cannot divulge any information about our current property,” was all Fay would offer in response to inquiries, citing proprietary information. One source estimated that Evergreen has more than 150,000 square feet in 200 Berkeley St., which was purchased this year by Beacon Capital Partners as part of its acquisition of the abutting John Hancock Tower.

If the rumors bear out, Evergeen would be among the largest potential targets of Back Bay landlords, with six-figure space requirements no longer as commonplace as they were at the beginning of 2000. Indeed, with Bain & Co. having settled earlier this year on 131 Dartmouth St., one of the last remaining prizes circulating the Back Bay at present is the Arnold Worldwide lease, and there appear to be only two properties remaining in that contest for the giant advertising firm.

According to sources, Boston Properties has emerged the favorite in keeping Arnold at the Prudential Center complex after a move to nearby 501 Boylston St. appeared all but certain. Industry observers said it would be difficult for 501 Boylston St.’s ownership, Beacon Capital Partners, to compete on pricing and other factors now that Boston Properties has made the commitment to keep Arnold headquartered at its 101 Huntington Ave. tower.

Boston Properties “is spending a lot of time and energy and resources to keep [Arnold], and that could make it hard for Beacon [to overcome],” said the broker. Sources said that the Back Bay’s Copley Place ownership had also made an aggressive proposal for Arnold, but that option reportedly is no longer being considered. With the pending departure of Bain, 2 Copley Place is marketing an estimated 135,000 square feet.

Arnold’s broker, John Hennessey of GVA Thompson Doyle Hennessey & Stevens, declined to comment on the status of the negotiations when contacted last Friday. Arnold’s interest in 501 Boylston St. was considered a catalyst in Beacon Capital’s decision to purchase the 575,000-square-foot building late last year for $122 million, but the Boston-based real estate firm could soon be without that safety net on the leasing side. Beacon officials were unavailable for comment.

Mimicking the rest of Boston, the Back Bay office submarket has seen its share of difficulties, with the region’s struggling economy leading to consolidation among local companies and the sales of 501 Boylston St. and the John Hancock Tower complex only adding to the potential space offerings for tenants. Previously owned by MetLife, 501 Boylston St. had been almost entirely occupied by the insurance firm, but now a good portion of the space is being peddled to the entire business community.

The Back Bay currently has an office vacancy rate of 9.9 percent and an availability rate of 17.2 percent, according to first quarter 2003 figures compiled by Spaulding & Slye Colliers. That compares to a vacancy rate of 5.4 percent and availability rate of 13.6 percent after the first quarter of 2002.

In its first quarter report, the Codman Co. cited several large space opportunities in the Back Bay currently, including 320,000 square feet at 501 Boylston St., 245,000 square feet at 131 Dartmouth St. and 104,000 square feet at 500 Boylston St. And with more than 9 million square feet available across the city, Codman Co. Executive Vice President Robert B. Cleary said there has been an impact on the Back Bay, especially as firms eye opportunities available in the core Financial District.

“The pricing in the Back Bay has softened considerably,” said Cleary. “I’d say it’s a good 10 to 15 percent below the downtown [rates].” By Codman’s estimate, the Back Bay has a current vacancy rate of 10.2 percent and availability rate of 16.4 percent.

While he declined to discuss the Arnold or Evergreen situations directly, Cleary did say it makes sense for any tenant to be in the marketplace today, with the glut of space having established the climate in the tenant’s favor. That is especially true for a six-figure tenant, Cleary said, given the amount of time it takes to consider all options and to schedule the move in time.

First-quarter activity tracked by Codman seems to indicate that the pendulum will remain swung to the tenant side for the better part of 2003, with negative absorption of an alarming 700,000 square feet in the first three months of the year. That makes for the ninth straight quarter of negative absorption in Boston, Cleary noted.

Joe Clements may be reached at jclements@thewarrengroup.com.