Northwind Group has granted a $62.5 million first mortgage loan to finance the acquisition and lease-up of 303 East Wacker Drive, a prestigious 30-story Class A office building. The property was purchased by a joint venture between two experienced borrowers of Northwind – 601W Companies and David Werner Real Estate Investments. This financing allowed for the purchase from the previous lender through a deed-in-lieu of foreclosure arrangement with former owner Beacon Capital Partners. John Vavas from Polsinelli Law Firm represented Northwind in this transaction.
The building, which includes an attached parking garage with 282 spaces, spans over one million square feet. The loan structure involved an initial disbursement of $32.5 million for the acquisition, while the remaining $30 million will be held as reserve funds for future leasing expenses to enhance profitability.
Currently at 75% occupancy with five years left on existing leases, this recently renovated property received over $32 million in upgrades and tenant-focused improvements under its previous ownership.
In Chicago’s East Loop neighborhood lies an impressive office building known as 303 East Wacker Drive – now funded by Northwind Group’s generous first mortgage loan worth $62M for its acquisition and lease-up purposes.
This prime real estate was acquired by seasoned borrowers familiar to Northwind: namely, joint venture partners David Werner Real Estate Investments alongside repeat borrower company-601W Companies who secured their purchase via prior ownership Beacon Capital Partners’ deed-in-lieu-of-foreclosure agreement; all facilitated thanks to legal representation provided by John Vavas hailing from Polsinelli Law Firm.
With more than one-million-square-feet available including access to its own multi-level parking facility housing up-to nearly three-hundred vehicles; it comes as no surprise that only thirty-two-and-a-half-million-dollars were initially advanced towards acquiring rights here (with remaining thirty-mil being kept aside) so that any future leasing costs could be covered with ease.
Currently, the building is seventy-five-percent-occupied and has five years left on its existing lease term; however, it’s worth noting that previous ownership invested over thirty-two-million-dollars into modernizing this property – making it a highly desirable location for tenants seeking top-of-the-line office space.
