CME Group announced this week that it had sold two of the three buildings that comprise the Chicago Board of Trade (CBOT) complex for $151.5 million to a joint venture between GlenStar Properties LLC and USAA Real Estate Company. The sale price for the north and south towers, totaling roughly 1.3 million square feet of space, came in at the low end of an anticipated range of $150 million to $180 million reported by The Wall Street Journal in February. As part of the sale, CME Group will lease back the 150,000 square-feet of space it currently occupies in both buildings for a 15-year term, including the Agricultural Trading Floor as well as office and trading floor support space. According to the WSJ, the property initially had been expected to fetch as much as $210 million, but its value was seen affected by economic uncertainty stemming from the European debt crisis as well as the collapse of brokerage firm MF Global Holdings Ltd., a major tenant.
"CME Group, which has been headquartered in Chicago for more than a century, continues to be committed to this city and to maintaining our trading floors and office space in the 141 W. Jackson building," said CME Group Chief Financial Officer Jamie Parisi. "We are extremely pleased to be able to sell our landmark building to the GlenStar Properties and USAA Real Estate Company consortium who will be great landlords for us and the other tenants. It will also allow CME Group to continue to focus on what we do best - running our exchanges and providing risk management tools to the world."
The new owners of the property plan to use its infrastructure to attract "a wealth of new technology companies," according to a statement from Michael Klein, principal at GlenStar, as reported by Fox Business.
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