CME Group to Sell Two Towers at Board of Trade
- Feb 15, 2012
By Gabriel Circiog, Associate Editor
A joint venture led by Chicago developer GlenStar Properties, which also includes San Antonio-based USAA Real Estate Co., is in the process of acquiring two Chicago Board of Trade towers from CME Group Inc., ChicagoRealEstateDaily.com reports.
The venture is planning to buy the north and south towers of the Board of Trade, totaling almost 1.4 million square feet. According to The Wall Street Journal, the 80-year-old Art Deco property is expected to fetch between $150 and $180 million. Although initial expectations were running near $210 million, investors’ concerns that the European debt crisis will have a strong impact on commercial real-estate values led to an overall decrease in interest for trophy properties.
In October, the confidence of investors was dented yet again as one of the building’s largest tenants, MF Global Holdings, filed for bankruptcy. About one-half of the vacated 100,000 square feet of office space has been relet to other tenants.
The Board of Trade Building is made up of three towers with one common address at 141 W. Jackson Blvd. CME plans to retain the 288,000-square-foot east tower and plans to enter into a long-term lease of around 150,000 square feet in the north and south towers.
Bruce Miller of Jones Lang LaSalle and Holly Duran of Holly Duran Real Estate Partners have represented CME in their attempt to sell the building.
GlenStar currently holds claim to several other properties in the Chicago market, including 55 E. Monroe St., a 1.5 million-square-foot office and condo building.
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Photo Credits: Antoine Taveneaux via Wikimedia Commons.