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BARNEYS OF NEW YORK BUILDING SELLS FOR $117 MILLION

CHICAGO — An affiliate of Israeli company IDB Group has purchased the Barney's of New York building located in Chicago for $117 million. The 94,600-square-foot building sold for a whopping $1200 per square foot.

The six-story retail property is located at 1-15 E. Oak St. in Chicago's Gold Coast/North Michigan Avenue neighborhood. It was constructed in 2009 as a build-to-suit for Barneys. Citibank also leases space within the building.

The Jones Lang LaSalle team of Guy Ponticiello, Bruce Miller and Dave Hendrickson arranged the deal.

“We were able to capture a price that was well above what the bank valued the property at — just $100 million,” said Ponticiello in a statement. “This is a win-win for all parties, and it is a huge save for two of Chicago's key developers, for the bank that recovered more than its original investment, and for the Gold Coast retail community.”

The retail property was developed by a two local firms in 2009 and was later foreclosed on by the lender, Anglo Irish Bank. At the time, the balance of the loan was $93 million.

The transaction marks the second major acquisition for the Tel Aviv-based IDB Group, which is controlled by Property and Building Corporation Ltd. and Koor Industries. In late 2009, the company acquired HSBC's New York City headquarters for $330 million.

— Coleman Wood

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