230 West Monroe final traded in 2014 for $122 million. Picture courtesy of Menashe Properties
Menashe Properties has entered the Chicago market, buying 230 West Monroe, a 707,000-square-foot workplace tower, for $45 million. The vendor was Accesso Companions, which acquired the constructing in 2014 for $122 million, in line with CommercialEdge information.
In 2019, the property turned topic to an $87.7 million mortgage from Morgan Stanley, the identical supply exhibits. Eastdil Secured served as advisor to the vendor. The transaction represents the most important business actual property deal within the metro previously yr, in line with Menashe.
Accomplished in 1971, the constructing rises 29 tales and options 24,000-square-foot floorplates and 10,000 sq. ft of retail house. It features a health middle, convention facilities and an upgraded amenity lounge. The tower was utterly renovated in 2004 and underwent an extra beauty renovation in 2013. Tenants on the property embody Maxim Healthcare, One Medical, Realogic Analytics and Aprimo.
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Positioned at 230 W. Monroe, in Chicago’s West Loop neighborhood, the constructing is inside strolling distance of the Artwork Institute of Chicago. The property can be a block away from the Willis Tower, which contains 300,000 sq. ft of retail. In its neighborhood, there are quite a few public transit choices.
Chicago’s workplace market efficiency
Menashe Properties CEO Jordan Menashe mentioned in ready remarks that he believes workplace utilization will finally align with conventional averages. Following Labor Day, occupancy in workplace buildings throughout 10 main metros surpassed 50 % nationwide for the primary time since July, in line with a latest Kastle report. Chicago reached an occupancy of 53.6 %, up 3 % over the earlier week, in line with the identical supply.
In the course of the first 4 months of the yr, workplace gross sales within the Chicago market have slowed down considerably, to an general transaction quantity of $354 million. The determine represents 25.3 % of the $1.4 billion recorded in the identical interval of 2022, in line with a latest CommercialEdge market replace. As of April, the emptiness price within the metropolis was one of many highest within the U.S., at 18.8 %, 2.1 % above the nationwide common.
