Kingsbury Orleans LP, a partnership led by an affiliate of Next Realty LLC, has refinanced Kingsbury Center at 350 W. Hubbard St. in Chicago’s River North market.
The Next Realty Affiliate has been an investment partner in 350 W. Hubbard St. since the building was developed in 1988. The Habitat Company, a major building tenant, has provided management services since 1992, in addition to having an ownership interest through an affiliate.
Proceeds from the long-term refinancing, which extends through 2050, provide working capital and flexibility to market and build out currently available building vacancies. At the time of the refinancing, Kingsbury Center was 95% leased.
Kingsbury Center, at the northwest corner of N. Orleans and Hubbard, is a 135,315-square-foot mixed-use development that is comprised of a six-story building featuring 92,433-square feet of office space and 42,882 square feet of ground floor retail space. Signature tenants of the building include Habitat Company, Related Cos., CVS and Petco, among others. The tenant makeup in the office portion of the property is primarily in the finance, real estate, legal and service sectors.
Tenants have been drawn to the property in part because of its location immediately north of the Merchandise Mart, just east of the East Bank Club, less than ½ mile from the Ohio Street entrance to the Kennedy Expressway, and within minutes of a myriad of public transportation options. These factors all contribute to the attractiveness of the market area. Those market strengths, along with the features and attributes of Kingsbury Center, have delivered a weighted average tenancy tenure (WATT) of approximately 15 years.
The office space vacancy is being leased by Steve Levitas of Newmark who can be reached at 312.479.2300.
Daniel Rosenberg of BWE arranged the financing.
