This Week's Chicago Deal Sheet

Reyes Coca-Cola Bottling, a West Coast and Midwest distributor of Coca-Cola products, is moving its operations from west suburban St. Charles to a new 40-acre, $90M, two-building complex in northwest suburban West Dundee after Houston-based developer Transwestern struck a deal with HLC Partners.

With plans to construct two 250K SF buildings, Transwestern Development Co. purchased the land from HLC, according to a news release by the village of West Dundee, reported by the Chicago Tribune.

The site is part of the 160-acre Canterfield Corporate Campus, which is north of Interstate 90 and east of Route 31. Plans call for the first building to be built on spec. The second will be occupied by Reyes Coca-Cola Bottling, with potential for a 50K SF expansion.

West Dundee Village President Chris Nelson said the move could help spur more development for the village, just under 40 miles outside of Chicago.

“This will be the single largest private investment project of its kind in the history of West Dundee,” Nelson told the Tribune.

The village will provide up to $5.6M in “pay-as-you-go” tax increment financing as an incentive. Completion is expected sometime in 2024.

PEOPLE

Andy Enkhzul and Will Cornish are joining Kiser Group as associates. Enkhzul and Cornish, who both bring industry experience in construction and leasing, will provide market insight to the team run by Directors Matt Halper and Danny Mantis. They will be responsible for expanding the team’s reach within specific markets and servicing existing client relations. 

***

Mark Schwamel has joined design firm Ware Malcomb as director of interior architecture and design in the downtown office, where he will oversee the growth of the company's interiors studio in the region. Schwamel brings more than 20 years of experience to the role, having held multiple leadership roles at international design firms.

***

Global architecture firm Goettsch Partners announced that James Zheng has been named CEO, and Paul De Santis is joining James Goettsch as co-design director for the practice. The three have worked closely together for more than 17 years. Goettsch will also continue to serve as chairman while Zheng now assumes the full CEO title as well as the role of president. De Santis and Goettsch will work together to guide the firm’s overall architectural philosophy, and Zheng will continue focusing on further serving clients. 

SALES

Marcus & Millichap brokered the $19.2M sale of a three-hotel, 262-room portfolio in the western suburbs. The sale includes two properties in northwest suburban Elgin, a Comfort Suites at 480 Bushwood Drive and a Country Inn and Suites at 2270 Point Blvd., and a Holiday Inn Express at 2595 Bunker Hill Drive in neighboring Algonquin. They are expected to undergo capital improvements. Marcus & Millichap’s Ebrahim Valliani, first vice president-investments, and senior associate Michael Klar represented the seller, a Chicago-based investment group. They also procured two separate buyers: a Wisconsin-based investment group, which purchased the Comfort Suites and Holiday Inn Express, and a local investor who bought the Country Inn and Suites in a 1031 exchange.

 ***

Dayton Street Partners has sold two properties to Brookfield Properties for an undisclosed price. The first property, at 2501 West Fulton St., is a 42K SF warehouse and distribution facility that DSP acquired in 2019, renovated and then leased to Vienna Beef Ltd. The other facility, at 1827 West Hubbard St., is a 33K SF warehouse that DSP acquired in 2020 and renovated shortly after.

***

Brown Commercial Group negotiated the sale of a 25K SF office investment transaction in northwest suburban Elgin. Broker Jim Pietrarosso represented a private investor in buying the building at 2295 Valley Creek Drive, and broker Maria McNeil represented the seller, a private investor. The building is approximately 75% occupied, and plans to renovate and increase its occupancy are in place. Its offices range up to 5K SF.

Interra Realty negotiated the $2.2M sale of a two-building multifamily portfolio in Pilsen. The properties, which were acquired by separate buyers, include a six-unit building at 1924 South Loomis St. and a seven-unit building at 2214 West 18th Place. Interra Director Jeremy Morton was engaged to sell the buildings by the private local owner, who purchased them more than 20 years ago. The confidential buyer of 2214 West 18th Place was also represented by Morton. The private buyer of 1924 South Loomis was represented by Interra Director Harrison Pinkus.

***

MAG Capital Partners bought a 37K SF manufacturing facility at 1735 Mitchell Blvd. in northwest suburban Schaumburg in a sale-leaseback transaction with Summit Interconnect Intermediate Inc. The 3.3-acre property includes office space and approximately 2.8 acres of excess land used for truck and trailer parking, which is fully leased. Krupa Shah of Stream Capital Partners represented the buyer and seller.

***

Nixon Peabody advised an affiliate of Kensington Development Partners on the purchase and redevelopment of a 23-acre site set to serve as home to mixed-use community The Clove in northwest suburban Buffalo Grove. The site included an existing shopping center, formerly known as the Buffalo Grove Town Center, and will include a luxury multifamily residential building, a parking deck and green space, in addition to The Clove, which will feature a grocery store, dining, retail and entertainment options.

LEASES

CBRE has arranged a new 12K SF, full-floor lease at 205 West Wacker for Crafty, a platform for workplaces to manage food, beverage and supplies for in-office, remote and hybrid work. The company is expanding its footprint after previously occupying 3,500 SF in the West Loop. CBRE’s Brian McDonnell and Bill Sheehy represented Crafty in the transaction. 

CONSTRUCTION AND DEVELOPMENT 

Prairie Shores’ new 17.5K SF, two-story amenity center containing entertainment, recreation, fitness and workspace options for residents is up and running in Bronzeville. The building, officially known as The Hub, will serve as a central gathering place connecting residents of the Prairie Shores community, which opened 60 years ago. The space, located at 2937 South Martin Luther King Drive, was designed by Gensler, with interiors by Stanton Interior Concepts.

***

Developer Vista Property and its general contractor, Skender, broke ground on a new mixed-use multifamily rental building at 741 North Wells St. in River North. Designed by Antunovich Associates, the 21-story, 201K SF development will include 168 apartments, including 50 studios, 101 one-bedroom units and 17 two-bedroom units, as well as amenities. Vista Property financed the project with a first mortgage loan from Huntington Bank and has engaged Luxury Living Chicago Realty.

THIS AND THAT

Consulting company geniant announced the acquisition of Eastlake Studio, a Chicago-based architecture and interior design firm. The teams will work to integrate architecture and digital solutions with consulting under Chairman and Co-CEO David Lancashire.