It seems like politics watchers and the news media like to establish a veil of mystery around Cook County tax assessments. And although it sells papers and conjures an atmosphere of the unknown, the most important thing to know about tax relief in Cook County is the role of market value in assessments and how taxes are calculated. On June 13, taxing entities announced that tax rates in the City of Chicago would be going up approximately 10 percent. The second installment 2016 tax bills were scheduled to be published around July 1 with a very short payment deadline of Aug. 1, 2017. Those bills will reflect all changes to assessments, as well as the new tax rates. Tax increases make good headlines, but the increases were not a real surprise. The large anticipated property tax increases arise from a local ordinance designed to recapture a portion of the City of Chicago’s and Chicago Public Schools’ large budget deficits and pension plan deficits. This local real estate tax increase resulted from the absence any current resolution of the continuing budgetary stalemate between the general assembly and the governor’s office in Springfield, Illinois. The table below illustrates the potential real estate …
WESTMONT, ILL. — Associated Bank has provided a $25 million loan for the refinancing of a single-tenant building occupied by Mariano’s Fresh Market in Westmont, about 20 miles west of Chicago. The 73,023-square-foot grocery store is located at 150 W. 63rd St. The store opened in March 2016. Daniel Barrins of Associated Bank originated the loan. An affiliate of IM Properties PLC was the borrower.
BUFFALO GROVE, ILL. — Principle Construction Corp. has completed a 157,000-square-foot industrial building in Buffalo Grove. The property is situated on an 11.8-acre site at 850 Asbury Drive. Principle demolished a 55,000-square-foot vacant building onsite in order to build the new facility, which features 32-foot clear heights, 36 truck docks, four drive-in doors and parking for 173 cars. To accommodate storm water, Principle built landscaped retaining walls and two detention ponds. Michael Long, Rick Grabowski and Mark and Matt Frane of Principle served as the project team. Harris Architects provided architectural services and Jamie Putnam of Kimley-Horn and Associates served as project engineer. Ridgeline Property Group’s Pete Harmon marketed the building for its owner, USRLP Asbury Drive LLC.
ELK GROVE VILLAGE, ILL. — Darwin Realty has negotiated a 103,987-square-foot industrial lease for Marketplace Brands LLC in Elk Grove Village. The seasonal food gifts distributor will occupy the entire building located at 951 Fargo Ave. The property was recently renovated and features 22-foot clear heights, 11,000 square feet of office space, 10 dock positions and one drive-in door. Richard G. Daly and Adam Haefner of Darwin Realty represented the landlord, a private institutional investor. Joe Bronson and Josh Will of NAI Hiffman represented the tenant in the lease transaction.
DEERFIELD, ILL. — The merger between Walgreens Boots Alliance Inc. (NASDAQ: WBA) and Rite Aid Corp. (NYSE: RAD) has been terminated. Instead, Walgreens will purchase 2,186 stores and three distribution centers from Rite Aid for $5.2 billion. The previous merger agreement was unveiled in October 2015. In December 2016, Fred’s Pharmacy signed an agreement with Walgreens and Rite Aid to purchase 865 stores. Both of these agreements have been terminated, and Walgreens will pay Rite Aid the $325 million termination fee. Deerfield-based Walgreens will begin acquiring stores and related assets on a phased basis over a period of approximately six months, and intends to convert acquired stores to the Walgreens brand over time. Walgreens expects synergies from the new transaction to be in excess of $400 million.
WOODRIDGE, ILL. — Conor Commercial Real Estate has completed development of a 145,200-square-foot industrial building in Woodridge, a suburb of Chicago. The building, located in the Union Pointe industrial business park, was developed as a build-to-suit for AMS Mechanical Systems Inc. (AMS). The new corporate headquarters features a 31,000-square-foot, two-story office component with a lobby, conference rooms and an employee break room. The remainder of the building supports the firm’s warehouse and manufacturing requirements with 32-foot clear heights, five dock doors, seven drive-in doors and an ESFR sprinkler system. AMS is a full-service mechanical contracting firm serving the chemical, food, process, manufacturing and power industries. McShane Construction Co. and Ware Malcomb served as the design/build construction team for the project. Chris Gary of NAI Hiffman represented AMS in the pre-sale agreement. Brian Carroll and Jim Cummings of Newmark Knight Frank represented Conor Commercial.
CHICAGO — Kiser Group has brokered the sale of a multifamily portfolio in Chicago’s Chatham neighborhood for $4.7 million. The portfolio consists of five buildings located at 8016 S. Evans Ave.; 7942 S. Champlain Ave.; 7953 S. Saint Lawrence Ave.; 7851 S. Indiana Ave.; and 8157 S. Martin Luther King Drive. The buildings feature a unit mix of 13 studios, 59 one-bedroom and 21 two-bedroom units, as well as four retail spaces. Noah Birk and Aaron Sklar of Kiser Group brokered the transaction. An out-of-state investor purchased the portfolio from a local owner that managed the properties over the last 15 years.
CHICAGO — ESD, a global engineering firm, has signed a 46,884-square-foot office lease at Willis Tower in Chicago. The firm plans to move its Chicago operations from 175 W. Jackson Blvd. to the tower in June 2018. ESD will occupy the entire 53rd floor and half of the 54th floor. Blackstone acquired Willis Tower in 2015, and unveiled plans for a $500 million renovation to the building earlier this year in conjunction with Equity Office, the U.S. office portfolio company wholly owned by Blackstone’s real estate funds. Jamey Dix, Maggie Brophy and Joy Jordan of the Telos Group represented Equity Office in the lease transaction. Gregg Witt of CBRE and Steve Stratton and Jeff Liljeberg of JLL represented ESD.
WHEELING, ILL. — Berkadia has arranged $70.2 million in construction financing for the residential portion of Wheeling Town Center, a mixed-use development in Wheeling. The development will feature 300 luxury rental units. Amenities will include a courtyard with a pool, fire pit, grill stations, dining tables, covered bar with TVs, a putting green and an open lawn area for games and activities. Within the property, there will be a fitness room, yoga and spin class studio, lounge area, private party room with a demonstration kitchen, café, business center, conference room, dog washing station and game room. Paul Matusiak of Berkadia arranged the 40-year loan on behalf of the borrower, Illinois-based WTC Residential Development LLC. Wheeling Town Center is a $100 million development that also features 100,000 square feet of retail space anchored by CMX Theaters. The project is slated for completion in 2019.
WOODBRIDGE, ILL. — Newmark Knight Frank has brokered the sale of a 103,241-square-foot office and warehouse property in Woodridge, a suburb of Chicago. The sales price was not disclosed. The Class A property is located at 2501 W. Davey Road. Built in 2000, the building is 65 percent office, 20 percent laboratory and 15 percent warehouse space, with 18-foot clear heights and two dock loading doors. Elevance Renewable Sciences Inc. occupies 75,273 square feet of space at the property. Corey Chase, Jeff Miller, Sean Fulp and Mark Schuessler of NKF represented the private seller in the transaction. The buyer was not disclosed.