Mansueto Properties today announced that it has purchased the Wrigley Building from an investment consortium led by BDT Capital Partners. Terms of the transaction were not disclosed, though the Chicago Tribune reports that the final sale price was $255 million.
“We are thrilled to be the new owners of this iconic Chicago and U.S. landmark property,” said Joe Mansueto, founder of Mansueto Properties as well as Morningstar, Inc. “Located at the new epicenter along the Chicago River, the Wrigley Building stands tall as a clear symbol of our city’s rich history. We are committed to preserving the legacy of this building and ensuring that it remains a vital part of Chicago’s growth well into the future.”
Since taking ownership in 2011, BDT Capital Partners and the ownership group invested $91 million in capital improvements on the 97-year old building, including a modernization of the building’s infrastructure, redesigning the public spaces, creating amenities such as a gym and tenant lounge and redeveloping the office and retail space. The office building has transitioned from 19 percent occupancy prior to the redevelopment to more than 90 percent occupancy today.
“We are confident that Mansueto Properties will be an excellent home and steward for this dynamic, generational asset,” said Robbie Robinson, Partner at BDT Capital Partners. “For the last seven years, our investment group has committed itself to the success and revitalization of this architectural masterpiece while preserving its long-standing Chicago heritage. It has been our priority to secure new ownership that shares this commitment and will ensure the Wrigley Building remains a mainstay on Michigan Avenue.”
BDT Capital Partners also returned nearly 50,000 square feet of new and refurbished retail space in the building. Marquee retail tenants include Walgreens, which opened a new 32,000-square-foot flagship store in 2014, Peet’s Coffee and Tea, which opened a store and outdoor patio in 2015, and Ghirardelli, which opened an ice cream and chocolate shop.
Designed by famed Chicago architecture firm Graham, Anderson, Probst & White, the two towers that comprise the Wrigley Building were completed in 1921 and 1924. The Beaux-Arts has been a Chicago landmark since 2012 and has won numerous awards over the years, including the 2017 International BOMA TOBY Award for Outstanding Historical Building of the Year; the Honor Award for Distinguished Building from the American Institute of Architects; the Richard H. Driehaus Foundation Preservation Award for Rehabilitation Real Estate and Building Construction Industries Council Award and the Landmark Award for Preservation Excellence Exterior Renovation from the City of Chicago Office of the Mayor.