GlenStar, USAA Spend $152M for Chicago Board of Trade
- Apr 24, 2012
By Nicholas Ziegler, News Editor
Two of the three buildings that comprise the Chicago Board of Trade complex at 141 W. Jackson have been sold to a joint venture of GlenStar Properties L.L.C. and USAA Real Estate Co. for approximately $151.5 million. The properties’ former owner, CME Group, will lease the 150,000 square feet of space it currently occupies for a future 15-year term.
Holly Duran Real Estate Partners L.L.C. assisted CME Group with the transaction in partnership with Jones Lang LaSalle Inc.’s capital markets team.
CME will continue to own the 288,000-square-foot third building of the complex, but the property’s address will be changed to 333 S. LaSalle. That east building has no third-party tenant space, and is primarily comprised of an active trading floor that houses CME’s financial products.
Jamie Parisi, CME’s CFO, asserted that the firm “continues to be committed to the city and to maintaining our trading floors and office space in the 141 W. Jackson building.” He also noted that the sale-leaseback will allow CME to “continue to focus on what we do best” while allowing GlenStar and USAA to work as the properties’ landlords.
The Chicago Board of Trade building is one of the city’s most recognized landmarks, sitting at the end of LaSalle street at Jackson. It was built in 1930 and was added to the National Register of Historic Places in 1978. According to the Chicago Tribune, the structure underwent a $22.6 million renovation in 2006, aided by a Class L Cook County tax credit worth approximately $9.6 million over 12 years.
CME Group was created in 2007 when the Chicago Mercantile Exchange purchased the Chicago Board of Trade. The firm bought the New York Mercantile Exchange in 2008.