Avison Young has completed the sale of 10 N. Dearborn in Chicago, an 80,288-square-foot boutique office building in the heart of the central business district.
Suzanne Martinez, principal with Avison Young’s capital markets group in Chicago, Senior Vice President Alison Girard and Associate Director Matt Hoffmann along with Harrington Brown LLC represented the ownership, North Dearborn Operating Assoc. LP, an investment group led by Rosemont Realty of Santa Fe, N.M. The price of the sale was not disclosed.
The building was purchased by REDICO, a national full-service real estate development and investment company headquartered in Southfield, Mich. In acquiring the 11-story building, REDICO has the opportunity to add value through leasing and repositioning in a highly desirable, strengthening market.
Home to the Trattoria No.10 and Sopraffina restaurants, the building is unique because of its mix of established retail and office tenants, including the headquarters of Two by Four, a Chicago ad agency.
The building is currently 70 percent leased and has several tenants who have occupied the building for 10 to 25 years. Among those tenants are two law firms, Albert Whitehead PC and Nottage and Ward, and the two restaurants.
“The 10 N. Dearborn building offers its new owner a great opportunity to expand into the Chicago market and add value as the market continues to strengthen,” Martinez said. “The 7,300-square-foot floor plates are perfect for mid-sized tenants seeking full floor occupancy, in a boutique historic building. Further, the building’s current average net rental rates provide an opportunity to push rental rates, creating opportunities for increasing value.”
Completed in 1923, the building was originally operated as the Covenant Club until 1986, complete with swimming pool, running track, bowling alley and formal dining and ball rooms. It was converted to office space in 1987 and was the original headquarters for PrivateBank.