CHICAGO- Jones Lang LaSalle’s Investment Sales specialists revealed that it has coordinated a buyout for the class A trophy office building known as Highland Landmark III in suburban Chicago. The firm had originally been hired in the fall of 2010 to sell the nine-story, 275,197-square-foot office tower in Downers Grove, but instead facilitated a buyout by Wells Real Estate Investment Trust II Inc. (Wells REIT II) of its joint venture partner Lincoln Property Co.’s ownership portion of the building.
Leading the Jones Lang LaSalle team on this transaction were managing directors Jim Postweiler and Bruce Miller and vice president Jascint Vukelich. JLL tells GlobeSt.com that it cannot provide further terms or pricing at this time, however an unidentified source tells GlobeSt.com that the building changed hands at $65 million.
“We are very pleased to consolidate our ownership of this prime suburban property as we ultimately felt that current market pricing was not as great as the long-term performance outlook for the asset,” says Kevin Hoover, managing director of real estate for Wells REIT II. “Lincoln was a tremendous venture partner, and they will continue to manage the building. We look forward to working with Lincoln on other projects around the country.”
Highland Landmark III is located at 3010 Highland Ave. in Downers Grove along the Eastern East/West Corridor at the intersection of I-88 and I-355. Completed in 2000, the tower is located within the Highland Landmark Park, a 42-acre office development that won the NAIOP Development of the Year award. The property offers 984 parking spaces and received its Energy Star certification in 2009 and 2010.
John Grissim, senior executive vice president of Lincoln Property Co. points out that “This is one of the highest quality assets in suburban Chicago, but from an economic standpoint, this buyout simply made sense on our side of the deal. It was an attractive price and liquidating our position provided Wells the opportunity to consolidate their position. Wells is a quality owner of real estate and we are delighted to continue to work with them on this fine asset.”
According to Postweiler, marketing efforts helped to secure a wide range of strong interest in the property. “Though a third-party sale was never culminated, we were pleased to be able to contribute toward a pricing valuation that led to an eventual buyout.”
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Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
