CIM Group, Golub & Co. Acquire Chicago Tower for $138M
- Dec 28, 2018
CIM Group and Golub & Co. have teamed up again on another Chicago purchase, this time acquiring the 36-story 444 N. Michigan office tower located directly across the Magnificent Mile from another joint venture, the Tribune Tower redevelopment.
Crain’s Chicago Business reported the two firms purchased the office property from Munich-based GLL Real Estate Partners for $138 million.
The 517,000-square-foot office building also has ground floor retail. Built in 1976, the tower is occupied by a diverse set of tenants from technology, media, healthcare, law, real estate and professional services. Surrounded by retail, restaurants, hotels and entertainment offerings, the property is located one block from the river and is close to numerous transportation options, including bus stops and the “L” Red Line train at Grand Avenue Station. It is also near Lake Shore Drive.
The acquisition of 444 N. Michigan is another addition to CIM Group’s growing Chicago portfolio.
One of the joint venture’s most high-profile assets in Chicago is the Tribune Tower. Since purchasing it in 2016, CIM Group and Golub & Co. have begun a mixed-use redevelopment at the 35-story, 740,000-square-foot tower and a 36,000-square-foot site located east of the landmark building. The joint venture purchased the properties for about $240 million from the Tribune Media Co. in September 2016. The partners said they planned to retain the historic nature of the Tribune Tower while undertaking a repositioning of the property.
More Chicago Assets
CIM Group and Golub & Co. have also partnered on numerous other Chicago properties including 1001 S. State St., a 40-story multifamily residential tower; Fifteen Fifty on the Park condominiums; and 625 N. Michigan, a 292,000-square-foot office building. In December 2017, the two JV partners acquired Chestnut Place, a 280-unit, 30-story apartment building with ground-floor retail at 8 W. Chestnut St. in the Gold Coast neighborhood.
In June 2016, CIM Group purchased an office tower at 440 LaSalle St. from Tier REIT Inc. for $191 million. The property, which consists of a 954,000-square tower and an 83,000-square-foot annex, is home to the Chicago Stock Exchange, Associated Press and Commonwealth Edison as well as a private social and athletic club and 21-key hotel.
The firm also owns the Block 37, the 275,000-square-foot, five-level retail center in Chicago’s Loop, as well as the 38-story, 690-unit Marquee at Block 37. Other properties include an office complex at 425 Financial Place; an apartment tower under construction at 1326 S. State St.; 1241 and 1647 N. Milwaukee Ave.; Midway Technology Center and 725 S. Wells Data Center.
Image courtesy of Yardi Matrix