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Hard Rock International refinances River North cafe with $23M loan
The loan dwarfs the $3.6M a parent company paid to acquire the building at 621 North Clark Street in 1996, records show
The Hard Rock Cafe might be best known for T-shirts and rock n’ roll memorabilia, but it’s also a savvy long-term real estate investor.
Hard Rock International took out a $22.5 million loan on its River North restaurant at 621 North Clark Street last month, 23 years after a parent company paid $3.6 million to acquire the site, property records show. Bank of America provided the loan.
The building at Clark and Ontario streets is one of 180 cafes operated by the Florida-based entertainment company across 75 countries, according to its website. The brand also claims 25 hotels and 11 casinos.
England-based Rank Group bought the Chicago space in 1996, when it owned Hard Rock International, property records show. In 2007, Rank sold the brand to the Seminole Tribe of Florida in a deal valued at $965 million, BBC News reported at the time.
Hard Rock International charges a fee of at least $350,000 to franchise new locations around the world, according to its website.
The Hard Rock building sits across the street from the historic home of the Tao Chicago restaurant and nightclub, which Sterling Bay bought in 2014 for $11.5 million. After a $25 million renovation, Sterling Bay is now trying to sell the building.
Also nearby, the former home of Carson’s Ribs at 612 North Wells Street sold for about $9.4 million last summer, property records show.
Representatives of Hard Rock International did not respond to requests for comment.