Chicago's 55 W. Monroe Sold to Hearn for $136M
- Jan 13, 2012
January 13, 2012
By Nicholas Ziegler, News Editor
In what Jones Lang LaSalle is calling “one of the Chicago market’s largest year-end transactions,” The Hearn Co. purchased 55 W. Monroe from LaSalle Investment Management for $136 million. The 803,000-square-foot, 40-story, Class A office tower was once known as the Xerox Center.
JLL, which brokered the transaction, also secured acquisition financing of $108 million — $86.5 million in senior debt through Wells Fargo Bank and $21.5 million in a mezzanine facility through Redwood Trust.
“Seldom is there an opportunity in a top-tier market to acquire an asset of this quality with the potential to execute a realistic business plan and add significant value,” Stephen Hearn, president & CEO Hearn, said. “After a considerable amount of investing in the West and Southwest over the past decade, this acquisition gives us the ability to return home to this great city and recapitalize an iconic Downtown Chicago asset.”
According to JLL managing director Bruce Miller, “the Chicago market continues to show strong recovery, especially with the lack of new construction expected to be delivered to the market in the near future.”
The tower, completed in 1981, underwent a 2002 modernization and was named office building of the year in 2007 by Chicago’s Building Owners and Managers Association. The property also received LEED Gold certification in 2010. Hearn will manage, construct, and oversee the leasing and marketing program at 55 West Monroe, as they do all properties owned by the firm.