Michael Shvo-led group buying “Big Red” office tower for $370M

Current owners John Buck Company and Morgan Stanley bought the 45-story property for $108M in 2015.

Chicago /
Jan.January 22, 2020 08:26 AM
John Buck (inset), Michael Shvo and 330 South Wabash Avenue (Credit: TJBC)

John Buck (inset), Michael Shvo and 333 South Wabash Avenue (Credit: TJBC)

UPDATED, Jan. 28, 2021, 11:03 a.m.: A partnership led by New York investor Michael Shvo is buying John Buck Company and Morgan Stanley’s “Big Red” downtown office tower for $370 million, The Real Deal has learned.

Shvo and partners Deutsche Finance and BLG are under contract to purchase the 45-story iconic red office tower at 333 South Wabash Avenue, according to a source familiar with the deal. The tower had previously been headquarters of CNA Financial.

John Buck and Morgan bought the 1.2 million-square-foot tower in 2016 for $108 million from CNA.

JLL was hired to sell the building, which went on the market in August, for $375 million.

The building is 92 percent leased, with major tenants including Northern Trust, which took over a large chunk of CNA’s old space — 400,000 square feet — and the Chicago Housing Authority. It recently underwent a significant renovation in which the owners added a 30,000-square-foot food hall managed by local restaurant group DMK.

The building, known as “Big Red” due to its vibrant facade, was built in 1972 and designed by Graham, Anderson, Probst & White.

After John Buck and Morgan Stanley bought the building, CNA moved its headquarters to a new 35-story office tower that the two firms built at 151 North Franklin Street.

Editor’s note: The final closed sale price for “Big Red” was $376 million.


Related Articles

arrow_forward_ios
John Buck with rendering of 655 West Madison
John Buck drops $53M on land for two-tower West Loop office project
John Buck drops $53M on land for two-tower West Loop office project
From left: Paul Vallas, Chuy Garcia, Thad Wong, Lori Lightfoot, and Jeff Lowe
Here’s what real estate wants from Chicago’s next mayor
Here’s what real estate wants from Chicago’s next mayor
Oxford Capital Group's John Rutledge with LondonHouse Chicago at 85 East Wacker Drive and The Godfrey Chicago at 127 West Huron Street (Loopnet, TripAdvisor, Chicago Association of Realtors)
Hoteliers eye Chicago conventions comeback as next recovery lifeline
Hoteliers eye Chicago conventions comeback as next recovery lifeline
Mayor Lori Lightfoot (Illustration by THe Real Deal with Getty, City of Chicago)
City approves $5M grant program for LaSalle Street initiative
City approves $5M grant program for LaSalle Street initiative
(Getty)
Downtown Chicago office vacancy creeps to new all-time high
Downtown Chicago office vacancy creeps to new all-time high
From left: Oxford Capital Group’s John Rutledge, and Angelo Gordon’s Josh Baumgarten and Adam Schwartz with 360 North Michigan Avenue (Hotel Planner, CBRE, Angelo Gordon, Getty)
Oxford and Angelo Gordon shop riverside Michigan Avenue retail
Oxford and Angelo Gordon shop riverside Michigan Avenue retail
Chicago Board of Trade Building at 141 West Jackson Boulevard and Apollo's Marc Rowan (Google Maps, Getty)
Apollo takes control of Chicago Board of Trade building, plans overhaul
Apollo takes control of Chicago Board of Trade building, plans overhaul
Deutsche Bank's Christian Sewing; 401 South State Street, Chicago (Deutsche Bank, Google Map
State Street office building heading to auction block
State Street office building heading to auction block
arrow_forward_ios

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

Loading...