Younan Takes 770,000SF Chicago Office for $124M
- Sep 10, 2008
Younan Properties has agreed to the $124 million purchase of 180 North LaSalle, a 770,000-square-foot, Class A Chicago office building located in the city’s Downtown Loop area.The 38-story building was built in 1971, designed by architect Harry Weese Associates, and is located next to another property owned by Younan at 200 North LaSalle. With 1.4 million square feet on the street, Younan Properties is now the largest landlord on LaSalle. 180 North LaSalle received a $21 million renovation in 1999 that upgraded the building’s façade, lobby and common areas, and its operating systems. Currently, the building is 87 percent leased, with Accenture as its anchor tenant, leasing 23 percent of overall space. Younan Properties represented itself in the transaction, while the building’s previous owner, Prime Group Realty Trust, was represented by Jamie Fink of Holliday Fenoglio Fowler Zaya Younan, Younan Properties’ chairman & CEO, stated that the opportunity to gain a foothold in such a key area was too good to pass up. “This property offers attractive upside potential because of its superior central loop location and below market rents,” Younan noted in a prepared statement. “This purchase effectively makes us the largest landlord on LaSalle with 1.4 million square feet of rentable space.” Younan Properties, headquarted in Los Angeles, specializes in acquiring Class A office buildings in emergent U.S. markets. The firm also seeks out undervalued assets that they can stabilize and maximize value on, as it did with 211 East Ontario in Chicago last month, a deal that resulted in a 100 percent return on investment. Overall, Younan currently owns around 15 million square feet of Class A office buildings worth approximately $2 billion.