This Week's Chicago Deal Sheet

As land becomes scarce and development pushes west in Fulton Market, investors are resorting to buying entire blocks in order to gain a foothold in the marketplace. MCZ Development is the latest to do this. The firm, which is redeveloping Edgewater Medical Center, bought a block in Fulton Market.

MCZ paid $15.3M for the block, made up of a 75K SF timber loft office building and an adjacent 43K SF parking lot. The building was 86% leased at the time of closing. MCZ, which specializes in residential development, has no plans to redevelop the property, and will maintain the property and make improvements as space becomes available.

SVN | Chicago Commercial's Stephen Cusano, Chad Schroedl, Drew Dillon and James Mead represented the seller, May St. Investments.

SALES

SVN | Chicago Commercial’s Wayne Caplan and Lee Ffrench represented the seller, an affiliate of Hoffmann Commercial Real Estate, in the $12.9M sale of the Haymarket Building, a 42K SF loft office building at 117-121 North Jefferson in the West Loop. The buyer was In-Commercial Group.

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NKF’s Sergio Chapa, Michael Prost and Corey Chase represented Venture One Real Estate in the purchase of 7601 Durand Ave. in Sturtevant, Wisconsin, 70 miles north of Chicago. Venture One will immediately renovate the property.

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Bridge Development Partners acquired a 54-acre infill site in Downers Grove and plans to build three distribution buildings totaling over 680K SF.

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Marcus & Millichap’s Steven Lieberman, Brian Parmacek, Joshua Hergott and Paul Proano represented the seller in the $5.3M sale of a two-building, 80K SF industrial site at 3445-3465 North Kimball in Avondale. The buyer was Sung Park, a local private investor.

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Greenstone Partners represented the seller in the $2.2M sale of Winfield Pointe, a multi-tenant retail center in Winfield, Illinois. The property was 80% leased at the time of closing and the sale was an all-cash transaction.

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Millennium Properties’ Brad Thompson and Daniel Hyman represented both parties in the sale of a 6,860 SF commercial property at 113-117 West Chicago St. in Elgin.

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Merit Partners' David Liebman was the sole broker in the sale of a 39K SF industrial building at 939 Tower Road in Mundelein. Venture One Real Estate, through its acquisition fund, VK Industrial IV, acquired the building in a sale-leaseback with American Marketing Services & Consultants.

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Adelphia Properties’ Simeon and George Spirrison were the sole brokers in the sale of a mixed-use building at 1 Nippersink Blvd. in Fox Lake.

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Quantum Real Estate Advisors’ Chad Firsel represented the seller in the $4.1M sale of a dual-tenant retail building at 1454-1462 South Randall Road in Algonquin.

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Essex Realty completed the following transactions:

• Steve Livaditis, Joe Scheck and Jacob Goldstein represented the seller in the $535K sale of a multi-tenant retail property at 2628-34 West Touhy in West Rogers Park.
• Livaditis and Scheck were the sole brokers in the $6.5M sale of a 41-unit condo building at 4630 North Beacon in Uptown. The buyer will deconvert the condos into apartments.
• Livaditis and Scheck were the sole brokers in the $6.4M sale of a 21-unit condo building at 1244 West Byron in Lakeview. The buyer will deconvert the condos into apartments.
• Livaditis and Scheck were the sole brokers in the $1.9M sale of an eight-unit apartment building at 1901 West Bradley Place in North Center.

LEASES

NAI Hiffman’s Mark Moran, Steve Connolly and Brett Tomfohrde represented Stockbridge Capital Group in a 197K SF lease with Really Useful Boxes at 355 Longview Drive in Bloomingdale.

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JBS Commercial Real Estate’s Jason Shibata and Brian Silverman represented American Landmark Properties in four leases totaling 35K SF at 750 Warrenville Road in Lisle. Hanson Professional Services leased 11K SF, Dematic Corp. signed an 11K SF renewal and expansion, Advanced Technologies of Illinois leased 8K SF and IDG leased 5K SF.

FINANCING

Lodge Financial’s Matthew Lebenson arranged $2.6M in refinancing for a 22-unit boutique hotel in Chicago.

HIRES/PROMOTIONS

Bentall Kennedy hired Eileen Kirkwood as vice president for its expanding client relations team. Kirkwood assumed a newly created role to manage consultant relations and client service for the firm. She came to Bentall Kennedy from Brookfield Asset Management’s Public Securities Group, where she initially managed the client service team and then led consultant relations.

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JBS Commercial Real Estate hired Andrew Laue as a broker.

CONSTRUCTION

The Missner Group was chosen to construct a build-out for Illinois Bone & Joint Institute at 140 North Roselle Road in Schaumburg. The build-out will consist of turning an existing two-story tenant space into a single-story tenant space, which will include an old stair infill. The space will encompass an open concept physical therapy gym, and will feature an advanced design with high-end finishes throughout. Additionally, new office suites and restrooms will be constructed in-unit. Heath Yarger is the project manager, and Scott Nomellini is the project superintendent. Stephen Rankin Associates is providing the architectural services. The project is scheduled for completion in spring.

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Northern Builders completed a 40K SF corporate headquarters for Sodick at 601 Commerce St. in Schaumburg, within Woodfield Business Center. This new development incorporates feng shui and green building design features as well as an equipment showroom with floor-to-ceiling glass, high-end corporate office space, training rooms and engineering facilities for EDM machine testing.

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Northern Builders broke ground on the first phase of a two-phase development within Cherry Hill Business Park in New Lenox and Joliet. Cushman & Wakefield’s Jason West, Sean Henrick, Doug Pilcher and Mike Magliano are marketing the 171K SF property on behalf of Northern Builders. The building is on schedule for a June delivery.

KUDOS

RMK Management’s The Residences of Wilmette achieved LEED Gold certification from the U.S. Green Buildings Council. The development features Energy Star appliances, high-performance windows, low-flow toilets and a green roof with drought-resistant vegetation to manage stormwater runoff and eliminate the need for proactive irrigation.

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Skender Construction Vice President of Strategic Relationships Cheryl Skender was named the new board president of Friends of Prentice, the volunteer fundraising board for Northwestern Medicine’s Prentice Women’s Hospital.