This Week's Chicago Deal Sheet

Another week, another big condo deconversion sale completed on the North Side, where demand for studio and one-bedroom apartments exceeds supply. The latest deal is in Lakeview, where a vintage building changed hands.

Beal Properties bought a 15-story building at 445 West Wellington in Lakeview for $30M from the Wellington Place Condominium Association. Beal Properties will deconvert the 117 condos in the 65-year-old building back into apartments.

Interra Realty’s Joe Smazal, David Goss and Jon Morgan were the sole brokers.

SALES

A partnership of physicians with Joliet Oncology Hemotology Associates sold a four-building, 74K SF suburban medical office portfolio to Community Healthcare Trust. Avison Young’s Erik Foster and Mike Wilson, working with Chip Ryan and Jim McCormick in the firm’s Washington, D.C., office, represented the seller. The buildings are at 2614 West Jefferson and 254 Republic Ave. in Joliet, 668 Cedar Crossing Drive in New Lenox and 1600 West Route 6 in Morris.

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Baum Realty’s Patrick Forkin represented the seller in the $3.3M sale of Nick’s Pizza & Pub at 2434 West Montrose in Lincoln Square.

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Darwin Realty’s Rollo Dace represented Carbonara Enterprises in the sale of a 5K SF industrial building at 9121 Belden Ave. in Franklin Park to organic food retailer Amish Farms.

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Cushman & Wakefield’s Gino Lollio and Scott Niedergang were the sole brokers in the sale of Fletcher Drive Medical Center in Elgin to IRA Capital. As part of the sale, each physician group agreed to lease back its units at lease terms ranging from five years to 10 years.

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Kiser Group’s Danny Mantis was the sole broker in the $1.2M sale of a six-unit apartment building at 1441 West Flournoy. The seller was Fred Broberg.

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SVN Chicago Commercial’s Deena Zimmerman represented the buyer in the combined $2.4M sale of two Dollar General stores at 435 Railroad in Sheffield, Illinois, and 110 East Livingston in Streator.

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Mid-America Real Estate’s Paige Schiesser and Barb Kading represented the landlord in a 22K SF lease with HomeGoods at Champaign Town Center in Champaign, Illinois. Metro Commercial’s Gary Greenfield represented the tenant.

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Marcus & Millichap’s Stephen Lieberman and Kyle Stengle were the sole brokers in the $11.4M sale of a 54K SF mixed-use building at 1040 West Huron in River West. The buyer, Tandem Development, plans to renovate the building and build a 226-unit apartment building on an adjacent parking lot included in the sale.

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CBRE completed the following transactions:

• Mike Caprile, Ryan Bain and Zach Graham represented HSA Commercial Real Estate in the sale of a 219K SF industrial building at the Delany Commerce Center, a multi-phase, 23-acre development east of the Tri-State Tollway in Waukegan.
• Mike Caprile represented Midwest Industrial Funds in the first phase of a three-building, $21M sale to Plymouth Industrial REIT. The buildings included over 280K SF of fully leased properties at 1600 Fleetwood in Elgin and 3 West College Drive in Arlington Heights.

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Jameson Commercial Real Estate’s Clark Patterson represented the seller in the $1.1M sale of a 7,800 SF mixed-use property at 3708-14 West Belmont in Avondale. The buyer was represented by Koenig Rubloff’s Christian Arai.

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Colliers International completed the following transactions:

• Steve Disse and Jeff Devine represented Dermody Properties in the acquisition of Green Oaks Business Center in Green Oaks from New York Life Investment. The industrial park consists of three buildings totaling 462K SF and is 86% leased. CBRE’s Sam Badger, Whit Heitman, Jared Paff and Brad Weiner will market the property for Dermody.
• Anne Dempsey represented the seller, Morries Automotive Group, in the $3.3M sale of a former Jaguar car dealership at 1410 West Northwest Highway in Palatine. The buyer, Studio 41, will redevelop the property into a home design showroom.

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First Western Properties’ Paul Tsakiris and Gene Hart represented the seller in the $735K sale of a two-unit apartment building at 1730 West Beach Ave. in Wicker Park.

LEASES

Tishman Speyer’s Joe Gordon and Justin Lewis represented ownership in a 33K SF lease expansion with Arrive Logistics at CME Center, 10 and 30 South Wacker Drive. NAI Hiffman’s Terry Herlihy represented the tenant.

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Newmark Knight Frank’s Brian Carroll represented K2 Express in completing two long-term leases. K2 Express signed a 92K SF expansion at 10800-10900 Belmont Ave. in Franklin Park. Prologis’ Scott Gibbel represented the landlord. K2 signed a long-term lease for a 4-acre, 90-stall trailer yard neighboring the property on Charles Street. Ownership, Hill Mechanical, was represented by NKF’s Steve Levitas and Bob Chodos.

HIRES/PROMOTIONS

Lee & Associates hired Tom Boyle to specialize in the sale and leasing of industrial properties.

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Colliers International hired Patrick Hewitt for its Chicago corporate solutions team. Hewitt was most recently a vice president at JLL and focused exclusively on tenant representation.

CONSTRUCTION

Earles Architects and Associates completed a two-story, 25K SF build-out for Beermann Pritikin Mirabelli Swerdlove, a Chicago family law firm. The new space spans a portion of the 30th floor and the entire 31st floor at 161 North Clark. EAA Design Director Stephanie McClelland led the project with assistance from Associate Principal Matt Kelly, Interior Designer Katrina Rice and Architectural Associates Aliana Ramos and Mark Nemecek.

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F.H. Paschen and its joint venture partner, Millhouse Engineering & Construction, completed the first phase of CTA’s 95th Street Red Line station improvement project. The completed work included a new South Terminal, bus canopies, a new south bus bridge and widened 95th Street both eastbound and westbound to facilitate safe bus operations.

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Pathway to Living celebrated the opening of Heartis Village of Orland Park, a 96-unit assisted living and memory care center in Orland Park. Developed by Caddis Healthcare Real Estate, the 90K SF development at 7420 West 159th St. includes a three-story assisted living building and single-story memory care wing. The community’s assisted living apartments range from 371SF to 1,032 SF and include one-bedroom/one-bath, one-bedroom-plus-den/one-bath and two-bedroom/two-bath layouts, each with a kitchenette.

KUDOS

The Missner Group was selected for a renovation project at Castle Ford headquarters at 1 Tower Lane in Oakbrook Terrace. The remodel will include modifications to tenant spaces and common area upgrades. Rob Cinkus will lead construction efforts with Scott Nomellini serving as project superintendent and R. Vari & Associates providing architectural services. Construction will be completed this summer.

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Morgan/Harbour Construction was selected by the Roman Catholic Diocese of Joliet to build a new kindergarten facility for St. Walter School at 201 West Maple Ave. in Roselle. The project will be completed in August, in time for the 2018-19 school year. Brian Smith is the team leader with Rich Cassidy as senior project manager and Jerry Hawkinson as senior superintendent. Studio GC Architecture + Interiors is providing the architectural services.

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Hubbard221, a 195-unit apartment building in River North developed by Hubbard Street Group and Centrum Realty and Development, announced the property is 65% leased five months after opening.

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Outlook Management Group is now managing Seven 10 West luxury apartments at 710 West Grand Ave. in River West, a 105-unit boutique building developed by Outlook Development and Wicker Park Apartments. Meghan Young is the property manager.