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Chicago

Facing possible default, Loop office building hits market

CBRE hired to sell 226K sf building as Chicago’s office woes continue

65 E. Wacker Place (Credit: Google Maps)
65 E. Wacker Place (Credit: Google Maps)

With the Chicago office market severely hobbled by the pandemic, it isn’t just tenants that are looking to get out.

An arm of Wilton U.S. Commercial has hired CBRE to sell its 226,000-square-foot Loop building, as it faces a potential loan default, according to Crain’s.

The building at 65 East Wacker Place is expected to sell for around $25 million, according to the report. The Wilton venture secured a $24.4 million mortgage when it refinanced the property in 2017.

The building, which is 60 percent leased, was renovated in 2018 and its appraised value is just under $29 million, Crain’s reported.

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Another Loop office building encountered similar struggles in May, when Rampante Realty attempted to unload 401 South State Street after nearing default on its $48 million loan.

The Chicago office market continues to suffer amid Covid, as available sublease space has ballooned and companies have been scaling back on new and existing leases.

[Crain’s] — Sasha Jones

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CBREChicago Office MarketLoop