The John Buck Co. is also a minority owner, as well as manager and leasing agent for the building. The property is expected to sell for up to $160 million, sources say.
The building is being sold with an existing mortgage, says Jaime Fink, managing director with Holliday Fenoglio Fowler LP. "It is a core asset with attractive (and) assumable financing," he says. Fink said that he could not disclose the interest rate.
Fink, Jeff Bramson and Ken Glomb, all with Holliday Fenoglio Fowler, are marketing the building, which is in Chicago's River North neighborhood. The 29-story building was constructed in 1990 at the corner of State Street and Grand Avenue. The building is 94% leased. Major tenants include the American Medical Association and the Accredited Council for Graduate Medical Education, which signed a lease in late 2006 for two full floors. The building has an average lease term of eight years.
The property is near two Chicago Transit Authority subway stations, Michigan Avenue and Lake Shore Drive. The building is also near the Shops at North Bridge, which was acquired at the start of the year by a joint venture of Macerich and the Alaska Permanent Fund Corp. for $515 million, as previously reported by GlobeSt.com.
The AMA, which has its 325,000-sf headquarters in the building, has been in the market for new space, as previously reported by GlobeSt.com, and hopes to move into the top of the planned Union Station office expansion. However, financing for that project has still not been obtained, and the not-for-profit organization's move to Union Station isn't yet a sure thing, sources say.
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