In a surprising move that shows how city real estate is changing, Honore Properties bought an office building in the West Loop area of Chicago for only $4.8 million. This is much less than the $14 million it sold for in 2019.
The building is at 118 South Clinton Street. This purchase, at less than $67 per square foot, tells us a lot about how offices in downtown areas are being valued and used differently now.
The plan is to turn this 72,000-square-foot building into 70 apartments. This shows a big change happening where offices are being changed into places for people to live. This is because there’s a high demand for places to live, but many old office buildings in cities are not being used.
Turning Offices into Homes
Honore Properties, which is led by Michael Shenouda, wants to change this seven-story office building into homes. This isn’t just a business decision; it’s also following a trend in the market and city planning.
The mayor of Chicago, Brandon Johnson, wants to make downtown areas more lively by changing offices into homes. The city is giving $151 million in taxpayer money to help with this.
Honore has already successfully turned other buildings into homes, like one on 19 South Wabash Avenue and an old Archdiocese of Chicago office building.
Making Cities Better
This change in the Clinton Street building is a big deal in city real estate. It shows how office and home spaces are becoming more similar.
The building’s design, with elevators and open spaces, is perfect for homes. The cost to make this change is about $10 million. This is a big investment in making cities better without needing help from the government.
This move not only takes advantage of the current market but also sets an example for making cities more livable by using what’s already there.
A New Way for the West Loop
Honore Properties buying and changing this building is part of a bigger trend. It shows how buildings are being used for different things, like mixed-use developments.
This is important in the West Loop area of Chicago, which is ready for changes and growth. By turning this empty office building into homes, Honore is not only changing how it looks but also helping the area’s economy and community.
This project is a good example of how real estate can solve city problems and can be a model for other cities facing similar challenges.
