Primo, Reschke catch tax break for $286M Loop office conversion

City gave landmark approval ahead of tower’s pivot to apartments, hotel

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Key Points

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  • Mike Reschke and Quintin Primo secured a tax break and landmark status for the office-to-residential conversion of 111 West Monroe in Chicago.
  • The Chicago City Council approved a Class L tax incentive and landmark designation for the dual-wing office building, which includes the 1911 Harris Trust & Savings Bank tower and a 1960 East Tower addition.
  • Capri Investment Group and The Prime Group are undertaking a $286 million renovation of the 1-acre site.

Mike Reschke and Quintin Primo locked in a tax break and landmark status for the Loop’s next major office-to-resi conversion. 

The Chicago City Council approved a Class L tax incentive and landmark designation for 111 West Monroe, a dual-wing office building that includes the 1911 Harris Trust & Savings Bank tower and a 1960 East Tower addition, Urbanize Chicago reported

Capri Investment Group, led by Primo, and The Prime Group, led by Reschke, plan a $286 million overhaul of the 1-acre site at Clark and Monroe. 

Twelve floors of the building will be converted into 345 apartments, including 104 affordable units set aside for tenants earning an average of 60 percent of the area median income. A 226-key hotel will occupy floors 3 through 10, along with event and meeting space on the second floor. The plans were approved earlier this year. 

The development, designed by Stantec, will also reactivate the rooftop Monroe Club as a resident and hotel guest amenity. The former mechanical penthouse will be turned into a restaurant with an outdoor pool deck. A large light well will be carved into the rear of the structure to bring air and daylight to interior-facing units while the building’s stone facade will be cleaned and restored. 

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The tax incentive will apply to the hotel and retail portions of the project, providing an estimated $19.4 million in tax relief over 12 years. The residential component, with a projected cost of $179.2 million, will be supported by $40 million in TIF funds, along with federal Low-Income Housing Tax Credits and historic tax credits. 

The landmark designation protects the exterior of the towers and a pair of bronze lion bas relief sculptures at the front of the original 1911 building. 

Construction is expected to begin later this year and wrap in early 2027. Once complete, the project would mark one of the largest downtown office-to-residential conversions in the city, joining a broader effort to revitalize vintage Loop towers in the face of lingering office vacancy. 

— Judah Duke

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