Monthly Archives: March 2015

Bradford Allen Represents Buyer at 1910 S. Highland Avenue in Lombard

CHICAGO, IL  – Bradford Allen is pleased to announce that Director Ryan Moen has completed the 52,564 square foot building sale of 1910 S. Highland Avenue in Lombard, Illinois. Moen represented the property buyer in the transaction and Bradford Allen was also selected as the exclusive leasing agent and property manager for the property.

Built in 1988, 1910 S. Highland Avenue is a Class B, 52,564 square foot office building. The three-story property is ideally located within minutes of an abundance of upscale shopping and dining destinations at Yorktown Shopping Center and along Butterfield Road. Bradford Allen’s Moen assisted the undisclosed buyer with its site selection analysis, ultimately securing the property on Highland Avenue due to its location, the physical attributes of the building as well as the various size suites it offers. The property is currently 39.7% occupied.

This is the second property that Bradford Allen will lease for the buyer. Bradford Allen previously leased a 40,860 square foot office building, also in Lombard, for the firm.

“The buyer chose to work with us again due to our past success and our familiarity with the Lombard market,” said Moen. “We have successfully leased another Lombard property to 100% for the firm and we currently lease 1920 S. Highland Avenue, the adjacent property to 1910. Our experience in the market combined with our aggressive leasing and marketing efforts, ensures our team’s ability to produce significant results.”

Moen represented the buyer in the sale and Bill Novelli and Derek Fohl of CBRE represented the seller, RBS Citizens Bank.

 

About Bradford Allen Realty Services

Bradford Allen Realty Services, a Chicago-based commercial real estate firm, offers a full range of services and expertise to entrepreneurial and corporate business entities as well as not-for-profit organizations. The firm provides real estate strategy, advice, marketing, and transaction execution for occupiers, investors and owners of real estate.

 

Bradford Allen Completes Two Leases Totaling 96,000 SF For UBS

CHICAGO, IL – Bradford Allen Realty Services is pleased to announce the firm’s Principal and Co-President Jeff Bernstein, Directors, Ryan Moen and Allison Reynolds, have completed two leases totaling 96,000 square feet at 4245 Meridian Parkway in Aurora, Illinois.

4245 Meridian Parkway is a two-story, 140,383-square-foot Class A office building built in 2000 for Hartford Fire Insurance Company (NYSE: HIG). The property is owned by an investor account advised by the real estate division of UBS Global Asset Management.  Bradford Allen was initially hired by UBS in 2011 to procure a tenant to lease a 22,000-square-foot space, vacated by Hartford. The firm successfully secured a lease with Styrolution America, LLC within eight months, returning the building to full occupancy. As a result, Bradford Allen was engaged to assist UBS in negotiations when Hartford notified ownership of its intent to consolidate.  Prior to the restacking of the building, Hartford was under lease for 118,000 SF, of which a portion of the second floor space was subleased to Sedgwick Claims Management Services, Inc., who acquired the Specialty Risk Services division from Hartford in December 2010 and continued to operate in the building. Further complicating matters, the building systems and utility configuration was built and designed for a single tenant.

“The unique circumstances presented by Hartford’s consolidation and Sedgwick’s preference for space more suitable for their company operations provided us with an opportunity to creatively structure a solution for all of the parties involved.” said Bernstein.

Moen added “We negotiated Hartford’s consolidation to the entire second floor, while simultaneously working with Sedgwick to relieve them of their sublease and enter into a direct new lease with the Landlord to relocate to the first floor. The building’s systems were also redesigned to accommodate multi-tenant operations moving forward. The result was both companies securing long-term leases and modifying the systems to operate like a typical multi-tenant building in the marketplace.”

Bernstein, Moen and Reynolds negotiated a 71,000-square-foot lease renewal of the second floor for Hartford and concurrently secured a 25,000-square-foot space with Sedgwick on the first floor, simultaneously filling more than half of the vacancy that was created by Hartford’s consolidation.  Andrea Van Gelder of JLL represented Hartford Fire Insurance Company and Mark Konieczka of CBRE represented Sedgwick Claims Management Services.

The Class A property, centrally located within the Meridian Business Park and located minutes from Route 59 and I-88, has 22,000 square feet remaining available for lease. The facility also offers bus service to the commuter train, high parking ratios and is within close proximity to several retail and restaurant options. The Meridian Business Park is home to many well-known companies including Nissan, Optimum Nutrition, JVC and Cabot Microelectronics to name a few.

 

About Bradford Allen Realty Services

Bradford Allen Realty Services, a Chicago-based commercial real estate firm, offers a full range of services and expertise to entrepreneurial and corporate business entities as well as not-for-profit organizations. The firm provides real estate strategy, advice, marketing, and transaction execution for occupiers, investors and owners of real estate.

 

Chicago Commercial Real Estate – In the News

Tom’s Recommended Reading for the Week

  1. Blackstone to Buy Willis for $1.3 Billion – Blackstone Group LP has agreed to buy the iconic Willis Tower for $1.3 billion, the most ever paid for a US office building outside of Manhattan, the Wall Street Journal reported last night. The sellers, New York-basedJoseph Chetrit and Joseph Moinian and Skokie, IL-based American Landmark Properties paid $841 million for the building… Globe St.
  2. Guardian Life files to foreclose on Hoffman Estates office property – The owners of a Hoffman Estates office property have been hit with a $21 million foreclosure suit, an increasingly rare event amid a recovering suburban office market. An affiliate of New York-based Guardian Life Insurance Co. of America sued an affiliate of Stonegate Properties that owns Northwest Corporate Centre, a 12-building complex at 2500 W. Higgins Road. The Stonegate venture failed to pay off a $21 million loan on the property when it came due in March 2014… Crain’s Chicago
  3. Sam Zell’s latest stab at market timing – Sam Zell gained a reputation for impeccable timing with the $39 billion sale of Equity Office Properties Trust on the eve of the 2007 financial collapse. Eight years after that deal with private-equity firm Blackstone Group, the Chicago real estate billionaire wants to prove he still knows when to head for the exits… Crain’s Chicago
  4. Updates to the John Hancock could include name change – On the heels of news that the Willis Tower — nee Sears Tower — is changing hands, Sneed hears the Hearn Company — which owns the commercial portion of the John Hancock Center — is proposing changes to the historic structure… Chicago Sun-Times
  5. River North office building sells for $8.2 million – A group led by Chicago trader and investor Michael Palumbo paid $8.2 million for a fully leased loft office building in River North, betting the neighborhood’s office boom will continue. Ceres Acquisitions, a company led by Palumbo, teamed up with Chicago-based Elmdale Partners in the purchase of 435 N. LaSalle St. a 50,000-square-foot brick office building built in 1906. They acquired the property… Crain’s Chicago
 

River North Office Redevelopment Leasing Up Quickly

CHICAGO, IL – Jeffrey Bernstein, Principal and Co-President at Bradford Allen is pleased to announce that 363 W. Erie Street in Chicago, Illinois has recently completed five new leases, bringing the office occupancy to approximately 50% within 90 days of the commencement of a major renovation to the building.

363 W. Erie Street is an 115,000 RSF loft office property. Located in the heart of River North, the property is within walking distance to the downtown area, the Merchandise Mart, public transportation, as well as several shops and restaurants. The property offers large floor plates up to 17,000 RSF, not commonly found in River North properties. There are two large contiguous blocks of space remaining in the building; one 23,446 RSF and the other 22,276 RSF.

The five new leases totaling 41,600 RSF, were all completed by Steve Fitzgerald, Managing Director of Bradford Allen and the exclusive agent for the building. The transactions completed at 363 W Erie include Worldwide Express leasing 12,951 RSF, represented by Chris O’Leary and Jeff Lindenmeyer with Avison Young; HighGround, Inc. leasing 10,500 RSF, represented by Ari Klein and James Stein with Cushman and Wakefield;  Medical Dermatology Associates of Chicago leasing 6,471 RSF, represented by Larry Cohen with @properties Commercial; NinjaTrader Group leasing 6,471 RSF, represented by Trevor Marticke with Cushman & Wakefield and InquanaMed leasing 5,200 RSF, represented by Victor Sanmiguel and Nicole Weldon with Cushman & Wakefield.

“We are pleased to announce these deals on behalf of Brijus Capital, LLC,” said Bernstein. “Our recent success in leasing the property stems from the major improvements being made by ownership, the building’s advantageous location as well as our continued dedication to tenant satisfaction.”

“The developer, Brijus Capital, LLC, saw the potential in 363 W. Erie and has made significant improvements to enhance the property,” said Fitzgerald. “We were then able to use our position in the market to quickly lease the newly renovated property to 50%, and with our aggressive marketing efforts, we are confident that we will continue to bring quality, long-term tenants to our client.”

The building was substantially vacant prior to the commencement of the renovations. The restorations include a new glass entrance, new lobby, a tenant lounge, bike room, and new high-speed elevators.  The building also has 12,000 square feet of newly created retail space that was formerly warehouse space.  The retail space is being marketed by RKF Group Illinois LLC.

 

About Bradford Allen Realty Services

Bradford Allen Realty Services, a Chicago-based commercial real estate firm, offers a full range of services and expertise to entrepreneurial and corporate business entities as well as not-for-profit organizations. The firm provides real estate strategy, advice, marketing, and transaction execution for occupiers, investors and owners of real estate.

 

Chicago Commercial Real Estate – In the News

Tom’s Recommended Reading for the Week

  1. Blackstone in talks to buy Willis Tower – Willis Tower, Chicago’s tallest building, may soon have an equally big owner: Blackstone Group, the world’s largest private equity real estate owner. New York-based Blackstone has a preliminary agreement to pay almost $1.5 billion for Willis Tower, according to a person familiar with its plans. Blackstone representatives have been visiting the building to perform due diligence on the 110-story icon, and it is looking to buy the West Loop tower for one of its funds… Crain’s Chicago
  2. Delinquencies on Chicago-area CMBS loans hold below 5 %, according to Trepp – Rising rents and property values are lifting more Chicago-area landlords out of loan trouble, but a day of reckoning awaits some. The delinquency rate on Chicago-area commercial mortgage-backed securities (CMBS) loans dipped to 4.11 percent in December… Crain’s Chicago
  3. Loop tower sold to White Oak, Angelo Gordon venture by Ares Management – Wabash Avenue, critically located between the tourist attractions on Michigan Avenue and shopping on State Street, is poised to undergo a significant makeover.After more than a year spent collecting input and brainstorming, the Chicago Loop Alliance, the organization that promotes the downtown business district… Crain’s Chicago
  4. River North Property Reaches 50% Leased – Bradford Allen has just completed five new leases at 363 W. Erie St. in the River North neighborhood, bringing the office building to about 50% occupancy within 90 days of the commencement of a major renovation to the building… Globe St.
  5. Trunk Club expands in River North, Goose Island – Men’s clothing startup Trunk Club is trying on new real estate in its hometown amid rapid growth that includes plans to add a women’s brand. The Chicago-based company, which sends cardboard trunks of clothes to customers, subleased 17,000 square feet of office space across the street from its River North headquarters and showroom. About 1½ miles north, Trunk Club leased 170,000 square feet of warehouse space on Goose Island… Crain’s Chicago