CHAMPAIGN, IL—Marcus & Millichap has been awarded the exclusive listing for 512 S. Third St., a 140-unit, 400-bedroom student housing asset located on the edge of the University of Illinois campus in Champaign, IL. The price is $31.75 million. “With enrollment at the University of Illinois expected to maintain steady growth over the coming years, and no new construction projects in the pipeline, this modern student housing asset should provide an above-market return for the foreseeable future,” says Scott Harris, senior managing director investments in Marcus & Millichap's Chicago Oak Brook office. Harris, Bryan Kunze and Nick Hillard, associates, are representing the seller. Built in 2001, the 512 S. Third St. is within walking distance of the main campus. There are three private courtyards and ample underground parking featuring 256 premium spaces now being offered at $570 per year.

CHICAGO—Irvine Co. Office Properties' 48-story office tower at 71 S. Wacker Dr. has been awarded The Outstanding Building of the Year Earth Awards in the local, regional and international categories from Building Owners and Managers Association. 71 S. Wacker was recognized by BOMA for its commitment to building-wide energy conservation practices, including its 17,000-square-foot green roof, an upward trending Energy Star rating, its targeted carbon footprint and energy consumption reduction of 20% over five years, and its strategic sustainability plan. The building is LEED Platinum® certified and has also received BOMA 360 Performance Program designation and IREM Sustainable Property certification. “We are honored to receive the TOBY award for our significant efforts at 71 South Wacker Drive and would like to thank JLL and our customers for being great partners in helping us achieve our sustainability goals,” says Rich Bluth, Irvine's vice president of Energy Management.

MINNEAPOLIS—Frauenshuh Commercial Real Estate Group has announced that BTO Development, LLC will be incorporated into its organization, and operate under the Frauenshuh umbrella. The move will grow Frauenshuh's property management portfolio and supplement its property development across all market sectors. As part of the transition, BTO president and owner, Allen Hill, will join Frauenshuh as the senior vice president of development services. Jeffrey Jonswold, BTO director of property management, Jeffrey Simonsen, building maintenance engineer, and Marie Greenwood, receptionist/administrative assistant, will also join Hill at Frauenshuh. “This transaction is a tremendous opportunity for us to expand our breadth of real estate services both on a local and national level within the commercial real estate industry,” says Dean Williamson, president of Frauenshuh.

DEALTRACKER

CHICAGO—GGP Inc. has decided to relocate its Chicago headquarters to River North Point, a 24-story mixed-use building at 350 N. Orleans St. The lease totals 168,000 square feet of office space, or the equal of two full floors. The company plans to move during the first quarter of 2018, according to owner Equity Office, a company wholly-owned by Blackstone's real estate funds. “GGP was highly sought-after and they chose River North Point due to its prominent location on the bank of the Chicago River, large flexible floorplates, unparalleled access to transportation and neighborhood amenities, and our 25,000+ square feet of new, tenant-only amenities that will be delivered at the end of this year,” says David Moore, senior vice president – portfolio director, Equity Office. Michael Kazmierczak, Ron Lakin, and Ellen Zalatoris of CBRE represented Equity Office in the transaction. Vineet Sahgal and Meredith O'Connor of JLL represented GGP.

BUILDING BLOCKS

MINNEAPOLIS—High Street Residential, the wholly-owned residential subsidiary of Trammell Crow Co., recently completed Foundry on Lake Street, a 164 unit, six-story, residential mixed-use building, set along the Midtown Greenway between Lake Calhoun, Cedar Lake and Lake of the Isles. The luxury building opened its doors to residents May 1, and is already 54% leased and 45% occupied. “We are very pleased with the leasing momentum at Foundry,” says Grady Hamilton, managing director of High Street Residential's Midwest Business Unit. “We believe the project fits well into the community and is truly a great place for its new residents to live.” ESG Architects served as the project architect and Big-D Construction served as the general contractor. Jerry Ebert, senior vice president of Trammell Crow, is overseeing project development, and Mary Lucas, associate, is overseeing the project lease-up. The Excelsior Group serves as the property manager.

BY THE NUMBERS

CHICAGO—The Chicago suburban office market had a mediocre second quarter, with an overall direct vacancy rate of 21.7%, up from 21.4% at the end of the second quarter, according to a new analysis by MBRE. There was 32,881 square feet of positive overall absorption, brought down by significant negative absorption in the North suburban submarket. The largest deal of the second quarter was a big win for the suburban office market: Caterpillar Inc.'s lease of 116,071 square feet at 510 Lake Cook Rd, in Deerfield. Caterpillar will relocate its global headquarters from Peoria, IL and fill the vacant space left by Beam Suntory's move to Chicago's Merchandise Mart.

NEWS & NOTABLES

CHAMPAIGN, IL—Marcus & Millichap has been awarded the exclusive listing for 512 S. Third St., a 140-unit, 400-bedroom student housing asset located on the edge of the University of Illinois campus in Champaign, IL. The price is $31.75 million. “With enrollment at the University of Illinois expected to maintain steady growth over the coming years, and no new construction projects in the pipeline, this modern student housing asset should provide an above-market return for the foreseeable future,” says Scott Harris, senior managing director investments in Marcus & Millichap's Chicago Oak Brook office. Harris, Bryan Kunze and Nick Hillard, associates, are representing the seller. Built in 2001, the 512 S. Third St. is within walking distance of the main campus. There are three private courtyards and ample underground parking featuring 256 premium spaces now being offered at $570 per year.

CHICAGO—Irvine Co. Office Properties' 48-story office tower at 71 S. Wacker Dr. has been awarded The Outstanding Building of the Year Earth Awards in the local, regional and international categories from Building Owners and Managers Association. 71 S. Wacker was recognized by BOMA for its commitment to building-wide energy conservation practices, including its 17,000-square-foot green roof, an upward trending Energy Star rating, its targeted carbon footprint and energy consumption reduction of 20% over five years, and its strategic sustainability plan. The building is LEED Platinum® certified and has also received BOMA 360 Performance Program designation and IREM Sustainable Property certification. “We are honored to receive the TOBY award for our significant efforts at 71 South Wacker Drive and would like to thank JLL and our customers for being great partners in helping us achieve our sustainability goals,” says Rich Bluth, Irvine's vice president of Energy Management.

MINNEAPOLIS—Frauenshuh Commercial Real Estate Group has announced that BTO Development, LLC will be incorporated into its organization, and operate under the Frauenshuh umbrella. The move will grow Frauenshuh's property management portfolio and supplement its property development across all market sectors. As part of the transition, BTO president and owner, Allen Hill, will join Frauenshuh as the senior vice president of development services. Jeffrey Jonswold, BTO director of property management, Jeffrey Simonsen, building maintenance engineer, and Marie Greenwood, receptionist/administrative assistant, will also join Hill at Frauenshuh. “This transaction is a tremendous opportunity for us to expand our breadth of real estate services both on a local and national level within the commercial real estate industry,” says Dean Williamson, president of Frauenshuh.

DEALTRACKER

CHICAGO—GGP Inc. has decided to relocate its Chicago headquarters to River North Point, a 24-story mixed-use building at 350 N. Orleans St. The lease totals 168,000 square feet of office space, or the equal of two full floors. The company plans to move during the first quarter of 2018, according to owner Equity Office, a company wholly-owned by Blackstone's real estate funds. “GGP was highly sought-after and they chose River North Point due to its prominent location on the bank of the Chicago River, large flexible floorplates, unparalleled access to transportation and neighborhood amenities, and our 25,000+ square feet of new, tenant-only amenities that will be delivered at the end of this year,” says David Moore, senior vice president – portfolio director, Equity Office. Michael Kazmierczak, Ron Lakin, and Ellen Zalatoris of CBRE represented Equity Office in the transaction. Vineet Sahgal and Meredith O'Connor of JLL represented GGP.

BUILDING BLOCKS

MINNEAPOLIS—High Street Residential, the wholly-owned residential subsidiary of Trammell Crow Co., recently completed Foundry on Lake Street, a 164 unit, six-story, residential mixed-use building, set along the Midtown Greenway between Lake Calhoun, Cedar Lake and Lake of the Isles. The luxury building opened its doors to residents May 1, and is already 54% leased and 45% occupied. “We are very pleased with the leasing momentum at Foundry,” says Grady Hamilton, managing director of High Street Residential's Midwest Business Unit. “We believe the project fits well into the community and is truly a great place for its new residents to live.” ESG Architects served as the project architect and Big-D Construction served as the general contractor. Jerry Ebert, senior vice president of Trammell Crow, is overseeing project development, and Mary Lucas, associate, is overseeing the project lease-up. The Excelsior Group serves as the property manager.