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.

TRD 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)

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.


Related Articles

arrow_forward_ios
1247-1249 W. Madison Street (Photos via @properties)

Dwelle Properties pays $33M for West Loop mixed-use complex

Dwelle Properties pays $33M for West Loop mixed-use complex
65 E. Wacker Place (Credit: Google Maps)

Facing possible default, Loop office building hits market

Facing possible default, Loop office building hits market
211 N Harbor Dr in Lakshore East (Redfin; iStock)

Supply glut may set downtown home market back a year

Supply glut may set downtown home market back a year
401 S. State Street (Credit: Google Maps)

Or best offer: Facing default, Loop office building hits market

Or best offer: Facing default, Loop office building hits market
A rendering of Bank of America Tower (Credit: Riverside Investment & Development)

Heitman inks 60K sf lease for HQ at Bank of America Tower

Heitman inks 60K sf lease for HQ at Bank of America Tower
225 W. Wacker Drive & Spear Street Capital founder John Grassi (Credit: Hines)

The price was right: Spear Street buying Downtown office tower at discount

The price was right: Spear Street buying Downtown office tower at discount
320 South Plymouth Court (Credit: Google Maps)

On the brink, Standard Club lists its historic Loop property for sale

On the brink, Standard Club lists its historic Loop property for sale
Ashkenazy CEO Ben Ashkenazy and 625 N. Michigan Avenue (Credit: Google Maps)

Ashkenazy scores $61M loan for retail portion of Mag Mile office tower

Ashkenazy scores $61M loan for retail portion of Mag Mile office tower
arrow_forward_ios

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

Loading...