Trending
Morguard buys out CIM’s stake in massive luxury Loop apartment complex
Canadian investor paid far less than what the 690-unit Marquee at Block 37 had been valued at 2 years ago
Morguard North American Residential REIT is buying out CIM Group’s stake in the Block 37 luxury apartment building in the Loop.
The Canadian investor group is paying a reported $384,000 per unit for the 690-unit Marquee at Block 37, according to Crain’s, which first reported on the story. That would peg the total value of the 34-story building at $265 million. That’s far below the $600,000 — $414 million — that CIM and Morguard hoped to get a couple of years ago.
In July, CIM Group and Morguard again began shopping for offers to sell the complex. Eastdil Secured was hired to sell the building, at a time when the Downtown apartment market was riding high. That high is now a little lower.
The deal is expected to close next month, with Morguard acquiring a 51 percent interest in the Marquee, at 25 W. Randolph St. The deal would make Morguard, a Canadian investor group, the sole owner. It already controlled 49 percent of the apartment tower, which stands atop — but does not include — Block 37 mall.
Last month, CIM Group and Golub & Company were nearing approval with the city for their proposed 1,422-foot skyscraper next to the Tribune Tower, which the partnership is developing into condos. [Crain’s] — Jacqueline Flynn