HFF closes sale of Lakeshore Medical Center in Chicago

HFF announced the sale of Lakeshore Medical Center, 4700 North Marine Drive in Chicago. HFF marketed the Class A medical office building on behalf of the seller, a partnership between CarVal Investors and Zeller Realty Group, and procured the buyer, an institutional investor.

Post-closing, locally based MBRE Healthcare will manage the 135,093-square-foot MOB, which was completed in 2008 to meet the growing demand for medical office facilities in the North Chicago submarket. The five-story building is attached to the 236-bed Weiss Memorial Hospital, benefits from the hospital’s attached 927-stall parking deck and offers large open floor plates with flexible layouts. Tenants at the property include Walgreens, Fresenius Medical Care and University Dermatology and Vein Clinic.

The HFF investment advisory team representing the seller were managing directors Ben Appel and Evan Kovac, director Andrew Milne and associate Matt DiCesare of HFF’s national medical office capital markets team, along with the Chicago team of senior managing director Jeffrey Bramson and director Bryan Rosenberg. Managing director Tim Joyce provided debt advisory services.

“Weiss Memorial Hospital, which recently changed owners, serves a very important patient service area in North Chicago,” Appel said. “We expect the recent change in ownership, combined with new equity infusion in the MOB, will result in campus growth and better outcomes for the community.”

Lakeshore Medical Center overlooks Lake Michigan and visible to more than 173,000 daily drivers along North Lake Shore Drive, one of Chicago’s primary thoroughfares. The property is less than five blocks from the CTA Red Line and is only ten minutes from Chicago’s central business district.