Newcastle lists Gold Coast retail portfolio

A trio of retail properties in Chicago’s Gold Coast hit the market this month. 

Chicago-based Newcastle Investors hired JLL to market 875 North Rush Street, 902 North State Street and 1139 North State Street. Although a target price has not been made public, the firm picked up the three properties for a collective $44 million between 2014 and 2018. 

Newcastle later refinanced two of the properties, 874 North Rush Street and 902 North State Street, for $25 million in 2019.

The three properties can be sold individually or as a portfolio. JLL’s Keely Polczynski and Michael Nieder were hired to market them. Polczynski, Nieder and representatives of Newcastle did not respond to requests for comment. 

The properties total 42,300 square feet and are 92 percent leased. Tenants include Peter Millar, Bella Bianca Bridal, PNC Bank, LensCrafters, @properties, Chase Bank, Rumble Fitness and Nate Berkus. 

Skin care clinic Peachy recently signed a 10-year lease at 875 North Rush, and Abercrombie & Fitch recently signed a 5-year extension at 1139 North State. The status of the other tenants’ leases is unclear, however each building has an average lease price per square foot ranging from $112 per square foot to $190 per square foot. 

On nearby Oak Street, which is more exclusively ultra-luxury shops, rents run well over $300 per square foot.

In the past year, Goyard signed a $270 per square foot lease at 41 East Oak (although that deal has become the subject of a lawsuit), Lafayette 148 signed a $330 per square foot lease at 59 East Oak, and Chanel signed a $444 per square foot deal at 65 East Oak.