Alvarez & Marsal buying Downtown loft office buildings for $24M

The New York firm is adding to its Chicago portfolio with properties in River North, South Loop

Chicago /
Jul.July 10, 2018 10:00 AM

Pontiac Building at 542 South Dearborn Street (Credit: Alvarez and Marsal Property Investments and Teemu008 via Flickr)

Alvarez & Marsal Property Investments is finalizing a deal to buy a pair of loft office buildings in River North and the South Loop for about $24 million.

The New York firm’s deal with R2 Companies and Walton Street Capital would add to its Chicago portfolio, including the three office buildings it bought last year in Fulton Market from Sterling Bay, according to Crain’s.

The firm is buying the historic 14-story, 85,000-square-foot Pontiac Building at 542 South Dearborn Street and a three-story, 55,000-square-foot building at 445 West Erie Street, Alvarez & Marsal founding partner Victor Alvarez confirmed.

R2 and Walton Street picked up the buildings in 2016 as part of a $86 million office portfolio acquisition. The two buildings were worth $21.3 million in that deal, according to Real Capital Analytics.

CBRE brokers Cody Hundertmark and Tom Sitz are representing R2 and Walton Street.

According to a CBRE report last week, the overall office vacancy rate Downtown was 13 percent at the end of the second quarter, up just a fraction from the previous quarter despite the addition of more than 1 million square feet of new office space. [Crain’s] — John O’Brien

 

Related Articles

arrow_forward_ios
Sterling Bay CEO Andy Gloor and Prudential Plaza (Getty)
Sterling Bay sues Tribune over $5M in skipped rent
Sterling Bay sues Tribune over $5M in skipped rent
Berkadia CEO Justin Wheeler with Moran & Co.'s Tom Moran (Getty)
Berkadia picks up longtime multifamily brokerage
Berkadia picks up longtime multifamily brokerage
The owner of Johnny’s IceHouse East wants to sell the 50,000-square-foot building. (Johnny's IceHouse via Facebook, iStock)
No more ice ice, baby: Indoor skating rink hits market as redevelopment opportunity
No more ice ice, baby: Indoor skating rink hits market as redevelopment opportunity
110 North Carpenter Street and 333 South Wabash Avenue (Sterling Bay, Shvo)
Here are Chicago’s 10 biggest investment sales of 2020
Here are Chicago’s 10 biggest investment sales of 2020
TTX Company CEO Thomas Wells and 101 North Wacker Drive (Google Maps)
Off the rails: Freight train provider lists West Loop HQ for sublease
Off the rails: Freight train provider lists West Loop HQ for sublease
2430 North Halsted Street and Harrison Street's Christopher Merrill (Sterling Bay; Harrison Street)
Harrison Street raises $720M for life sciences real estate fund
Harrison Street raises $720M for life sciences real estate fund
JDL Development's CRP James D. Letchinger and Halsted Flats (Getty, Halsted Flats, JDL Corp)
Luxury building near Wrigley Field hits market for $125M
Luxury building near Wrigley Field hits market for $125M
Roger Romanelli and Mayor Lori Lightfoot (Fulton Market Association, Getty, iStock)
Restaurant coalition to Lightfoot: Reopen indoor dining
Restaurant coalition to Lightfoot: Reopen indoor dining
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...