CHICAGO — A consortium of investors led by BDT Capital Partners — which also includes Zeller Realty Group, and Eric Lefkofsky and Brad Keywell personally, as minority investors — has purchased the 460,000-square-foot Wrigley Building in downtown Chicago from The Wm. Wrigley Jr. Company.
The sale includes both the Wrigley Building and 443 Wabash, an adjoining 1.5-acre lot. The price and terms of the deal are not being disclosed. The Wrigley Company will continue to lease space in the building through the end of 2012, while it relocates its Global Headquarters to the company’s campus on Goose Island. Neither Groupon nor any of the companies affiliated with Lightbank, co-founded by Lefkofsky and Keywell, have immediate plans to relocate into the Wrigley Building.
The terms of transaction retain the building’s name in perpetuity. The transaction was supported by Jones Lang LaSalle and DLA Piper.
“The Wrigley Building is an iconic Chicago asset in a premier Chicago location on Michigan Avenue and is a meaningful symbol of the city’s rich history and growth,” said Byron D. Trott, Managing Partner and Chief Investment Officer for BDT Capital Partners. “We are committed to the success and re-development of this architectural treasure to ensure that it remains a vital part of Chicago’s future economic progress. Consistent with the business model of BDT Capital Partners, we are partnering with other family business and entrepreneurial leaders to preserve the long-term legacy of the Wrigley Building.”
“It has been our commitment to secure new ownership for the Wrigley Building that will ensure its best possible future use and protect the building’s historic legacy,” said Reuben Gamoran, Executive Vice President and Chief Financial Officer of Wrigley. “We are confident that we have found a new owner who shares that commitment and will ensure the Wrigley Building remains a dynamic part of Michigan Avenue while preserving its unique architecture and historic name.”
Chicago-based Zeller Realty Group will play a significant role in revitalizing the property, spearheading a comprehensive physical renovation of the office buildings as asset and development manager. As a part of the renovation plan, the consortium intends to make improvements to the plaza between the two buildings and better optimize existing ground-floor retail in both buildings. Zeller will also function as marketing & leasing agent and property manager. The consortium has recently begun dialogue with the City of Chicago regarding landmark designation for the property and looks forward to working further with the City regarding this designation.
— Dan Marcec