Chicago Real Estate Investors Borrow $145 Million for South Loop Property

According to Chicagorealestatedaily.com, the owners of one Chicago business recently took out a hefty loan – $145 million to be exact.

The borrowers are Chicago-based McCaffery Interests Inc., and Los Angeles’s Canyon-Johnson Urban Funds, the owners of The Roosevelt Collection, a large South Loop property that is home to apartments and retail space. The due bought the building from Centrum Properties in a short sale last year.

Chicago Real Estate Investors Borrow $145 Million for South Loop PropertyAccording to the article, while the apartment units are mostly leased, the owners have struggled to find retail tenants. The only current retail tenant is a movie theater. Although a spokesperson for McCaffery has stated that the retail units are around 50% leased, he said that the future tenants will not be announced until the property is around 75% rented.

The loan in question will be used to pay down some of the equity on the $160 Chicago project, and will also finance some improvements to the building, including a new escalator and the formation of an attractive plaza.

John Brayshaw of Prime Finance calls the property “a terrific asset.” Other similar projects are also in the works, including a building housing over 450 apartments as well as 200,000 square feet of retail space, being developed by Chicago’s Bond Cos.

As evidenced here, many Chicago business transactions involve significant sums of money and require the guidance of a knowledgeable Chicago-area business lawyer. Denice Gierach, the founder of The Gierach Law Firm in Naperville, Illinois, is a skilled business attorney and also holds her MBA. Chicago business owners seeking expert legal representation should contact The Gierach Law Firm for a no-obligation consultation today.