Each week, The Elevator Speech summarizes news related to some of the key industry trends, buildings, deals and dealmakers that shaped headlines. Below are articles that caught our attention the week of December 16.
Boston-based life company John Hancock, the US division of Manulife, paid a total of $618 million in three separate transactions for office properties in Chicago, New York City and the suburbs of Boston. The Chicago deal is for the purchase of 200 South Wacker Dr., a $214.5 million acquisition and the largest of the three assets by size at 754,750 square feet.
PCM Logistics, a California technology sales company, signed a long-term lease for 28,074 square feet at its new West Loop headquarters – 33 S. Riverside. The company plans to add as many as 230 new employees to its Chicago workforce as it moves offices from its current location at 111 N. Canal St.
Sprout Up at the Citadel
Social media startup Sprout Social Inc. signed a deal to lease 64,000 square feet on the 10th floor of the Citadel Center until 2017. The firm will be relocating from the far West Loop for central loop space at 131 S. Dearborn St. that will accommodate the plans to double its staff to 200 people within the next year.
ADM Moving to Chicago
Agricultural giant Archer Daniels Midland announced that it plans to move its world headquarters from Decatur to Chicago after a failed attempt to secure special tax incentives from Illinois legislators. A site for the headquarters has not yet been selected, but the office space will need to accommodate 60 to 75 executives who will relocate.
Large Price Tag & Pricey Renovations at Citigroup
KBS Capital Advisors LLC purchased the nearly 1.5 million-square-foot tower at 500 W. Madison St. for $425 million – making this the largest acquisition Chicago has seen since 2010. The 40-story West Loop tower, also known as the Citigroup Center, sits above Ogilvie Transportation Center and will receive $66 million worth of renovations. KBS stated that improvements to the property will include a white-tablecloth restaurant, health club, lounge and outdoor areas.
What CRE or Chicago news headlines from the past week captured your interest? Leave us a comment and let us know.