Angelo Gordon picks up Chicago office complex for $148M

The Presidents Plaza deal is the first buy in the submarket for the New York-based firm

Mar.March 30, 2018 02:00 PM

Presidents Plaza (Credit: Glenstar)

New York-based Angelo Gordon is adding a prominent piece of the O’Hare office market to its portfolio.

The sale of Presidents Plaza, an 835,000-square-foot, two-tower complex at 8600 and 8700 West Bryn Mawr Avenue, will bring in $148 million for sellers PGIM Real Estate and Chicago-based GlenStar Properties.

The joint venture that’s selling the property picked it up in 2006 for $129 million.

GlenStar will hold onto a minority stake in the buildings, according to Real Estate Alert, which first reported on the deal.

The sale price pencils out to $177 per square foot, according to Crain’s.

Office vacancy in the O’Hare market closed out last year at 16.4 percent, while it was 23.3 percent in the suburbs as a whole.

The occupancy at Presidents Plaza is 92 percent, but per JLL, which is marketing the available space, current rents are 13.1 percent below market rate.

Among the largest tenants are the headquarters of True Value Hardware and Property Casualty Insurers Association of America.

Angelo Gordon also has interests in industrial and self-storage properties around the Chicago area, as well as a stake in the Citadel Center at 131 South Dearborn Street in the Loop. [Crain’s] — Scott Klocksin

Related Articles

Brookfield Asset Management CEO Bruce Flatt

“We underwrite every investment like we’re going to hit a recession”: Brookfield CEO

Cadre founder Ryan Williams and Allen Smith

Cadre brings on former Four Seasons CEO as president

AKS Capital Partners Managing Partners Aaron Appel and Walker & Dunlop CEO Willy Walker

Walker & Dunlop acquires Aaron Appel’s AKS Capital Partners

From left: Publisher and founder Amir Korangy, Editor-in-chief Stuart Elliott and VP of Corporate Development Yoav Barilan

TRD’s founders share war stories from over the years

As the years go by_A look back at 17 years of real estate history

A look back at 17 years of real estate history

250th Issue

The Real Deal celebrates 250 issues

Neir’s Tavern (Credit: Google Maps)

City’s oldest bar, of “Goodfellas” fame, gets last-minute lifeline

Neir's Tavern (Credit: Google Maps)

Landlord to bar owner: You don’t have to go home but you can’t stay here