Invenergy, a leading clean energy producer, is expanding its headquarters on Wacker Drive by approximately 84,000 square feet, not only solidifying its position as the largest tenant in the building, but defying the trend of companies reducing office space post pandemic.
The expansion, according to Crain’s, is a critical “lifeline” for building owner 601W, which has been struggling to fill space in the 1.2 million-square-foot building since the departure of RSM in 2021. The landlord is also grappling with a $260 million debt burden on a property with a variable interest rate, resulting in a significant increase in borrowing expenses over the past year that has pushed its debt service above the amount of cash flow the building generates.
Invenergy President Jim Murphy expressed the need for additional space to accommodate their growing team and their plans for a clean energy future. Moreover, there are plans to create a clean energy innovation hub in the building in collaboration with the City of Chicago.
This expansion follows 601W’s recent lease extension with Aon Center. 601W is also known for its redevelopment of the Old Post Office and a project to refurbish a former Northern Trust office building into the multi-tenant Canal Station.
The lease expansion was facilitated by CBRE brokers Brad Serot and Bill Sheehy on behalf of Invenergy, while Telos Group’s JD Parcheta and Nikki Kern represented 601W.
