Portion of Tower on Wacker Drive Sold to Taiwan Reps

The Taipei Economic and Cultural Office (TECO) in Chicago has completed the purchase of 20,315 square feet within 55 West Wacker in Chicago, IL from MB Real Estate for an undisclosed price. TECO-Chicago is overseen by the Taipei Economic and Cultural Representative Office in the US and serves Taiwanese citizens in the Midwestern US and represents the interests of the Republic of China, also known as Taiwan, according to a GlobeSt.com report. Building ownership was represented by Kevin Purcell, the chief operating officer and executive vice president; Mark Buth, executive vice president and managing director of leasing; and Walter Hennig, senior vice president for asset management of MB Real Estate. TECO-Chicago was represented by Lisa Davidson and James Stein of Studley.

Built in 1968 and designed by C.F. Murphy Associates, the 15-story, 209,000 RSF class B office property at 55 West Wacker features 14,250-square-foot floor plates which users can lease or own. TECO-Chicago purchased the entirety of the 13th floor and a portion of the 12th floor to be used as its new Midwestern location, which will allow the company to relocate employees from its current offices within Two Prudential Plaza at 180 N. Stetson in Chicago this spring.

For more news and information visit Blumberg Capital Partners.

Ascent Building New $200M CH3 Data Center

Ascent announced this week that it had plans to build a new $200 million data center in downtown Chicago. The new CH3 Data Center is a multi-tenant data center development featuring build-to-suit infrastructure for companies seeking to build or lease wholesale data center space. Ascent, a leading provider of comprehensive solutions for the development, design, engineering, construction and operation of data centers, is teaming with Sterling Bay Cos. to renovate a property on South Desplaines Street.

"CH3 is incredibly flexible, unlike the standard multi-story data centers in Chicago, making it adaptable to new technology and server rack designs that some of the older constructions are unable to accommodate," said Phil Horstmann, CEO of Ascent. "Downtown Chicago is an attractive location for data center space, but previously didn't offer the options the market is now demanding. We're talking with companies about their current data center needs and developing CH3 to meet those market demands."

Ascent plans to tear down about half of the existing building and retrofit the rest, with demolition beginning within 30 days, according to a Chicago Tribune article. The CH3 Data Center at 717. S Desplaines will eventually be 212,000 to 560,000 square feet of space, depending on demand.

For more news and information visit Blumberg Capital Partners.

CommonWealth REIT Picks Up Groupon HQ for $390M

The headquarters of Groupon at at 600 W. Chicago Ave. in Chicago traded hands this month for $390 million according to a Chicago Sun-Times article. Commonwealth REIT purchased the former Montgomery Ward catalog building from 600 West Chicago Associates LLC and assumed the existing financing. CoStar reports that affiliates of Angelo, Gordon & Co. sold 600 W. Chicago for $288.9 million or $184 per square foot in March 2007. HFF marketed the property on behalf of the seller, 600 West Chicago Associates LLC; HFF arranged the prior financing in 2007 and also arranged the $180 million in financing on the property for the previous owners in 2005.

600 West Chicago was originally built in 1908 and completely redeveloped in 2001 as a 1.5 million square foot mixed-use property. The property was reportedly 94% leased at the time of purchase with major tenants including Groupon, Wrigley, Fox Sports, Level 3, Japonais Restaurant and David Barton Gym.

For more news and information visit Blumberg Capital Partners.

Wacker Drive Trophy Tower for Sale

311 South Wacker Drive in Chicago, the tallest building in the world known only by its street address, is being offered for sale at a yet-to-be-disclosed price according to an nreionline.com article. The owners, a venture comprised of affiliates of Fremont Realty Capital, Mark Karasick and Shorenstein Properties, will be exclusively advised in the sale of the 65-story office building by CB Richard Ellis' Chicago Capital Markets Group.

Originally constructed in 1990, 311 South Wacker was designed by Kohn Pedersen Fox Associates with 1.3 million square feet of rentable office and retail space. 311 South Wacker is the winner of Chicago's First BOMA International TOBY Award for the office building of the year in the over one million square feet category. The building is reportedly 91% leased to long-term tenants.

For more news and information visit Blumberg Capital Partners.

Groupon Expands in Chicago With New Lease

Groupon, the online daily deal coupon website, is expanding its space in Chicago with a new lease at 303 E. Wacker Drive in Chicago's East Loop according to a CoStar report. Groupon currently occupies 46,115 square feet in the office tower but will now take on 196,189 square feet total. Groupon will pay the building owners, Franklin Street Properties Corp., $441,425 per month until its lease expires on May 31, 2012, according to a filing with the U.S. Securities and Exchange Commission.

Groupon plans to take three new spaces, including one on the first level of the complex's northern portion beneath the condominiums at 900 N. Kingsbury St., as well as on the third and seventh floors of 600 W. Chicago, to accommodate new growth. The spaces are expected to be ready in the next few months.

The company recently moved its 200-plus editorial team to a temporary location while awaiting completion of the expansion space at 600 W. Chicago. "Our intention is to move everybody back (to 600 W. Chicago)," a Groupon spokesman said. "It's definitely our preference that we'll all be in the same building."

For more news and information visit Blumberg Capital Partners.