Office N Illinois

Marcus & Millichap sells $4.5M loft office in Chicago

Marcus & Millichap sells $4.5M loft office in Chicago,ph01

Marcus & Millichap have sold 1525 W. Homer Street, a four-story loft office building located in the Lincoln Park neighborhood of Chicago. The 24,000-square-foot property sold for $4.5 million, representing approximately $185 per square foot.

Built in 1900 and most recently renovated in 2017, the building is located on the northern end of the North Branch Industrial Corridor, a 760-acre stretch of land along the Chicago River once reserved for manufacturing. A new zoning ordinance adopted last year opened much of the corridor up to non-industrial uses.

“This modernized loft building is in an area that’s poised for tremendous growth and development over the long term,” said Stephen Lieberman, a first vice president of investments in Marcus & Millichap’s Chicago downtown office. “With the expected transformation from industrial to mixed-use, North Branch could prove to be one of strongest pockets in Chicago, causing rents and property values in the area to soar.”

Lieberman and Kyle Stengle, a senior vice president of investments also in the Chicago downtown office, represented the seller, a local Chicago developer. The buyer was a Chicago-based private investor.

In 2014, the previous owner commenced a three-year renovation that updated all common areas and office suites. The brick-and-timber building, which offers 15-foot ceilings and proximity to both the Metra and Kennedy Expressway, currently has six tenants and was fully occupied at the time of sale. The purchaser intends to operate the property as-is for the time being.