Wrigley Building purchase announced
(Crain's) — A joint venture including investor Byron Trott and the co-founders of Groupon Inc. confirmed Monday that it has bought the Wrigley Building on Michigan Avenue.
Mr. Trott's firm, Chicago-based BDT Capital Partners, is leading an investor group that includes Eric Lefkofsky and Brad Keywell, Groupon investors and directors, and Zeller Realty Group, a Chicago-based office landlord.
“The Wrigley Building is an iconic Chicago asset in a premier Chicago location on Michigan Avenue and is a meaningful symbol of the city's rich history and growth,” Mr. Trott, managing partner and chief investment officer for BDT Capital Partners, said in a statement. “We are committed to the success and re-development of this architectural treasure to ensure that it remains a vital part of Chicago's future economic progress.”
Crain's first reported that Messrs. Keywell and Lefkofsky were in talks to buy the building. Sources have told Crain's that the two plan to use the Wrigley Building as a home for businesses bankrolled by their Lightbank investment fund, and possibly for Groupon workers. The statement said neither Groupon nor any Lightbank companies “have immediate plans” to move there.
Related story: Groupon duo and partners reach deal for Wrigley Building
Terms of the transaction were not disclosed.
Zeller Realty, which owns the office building across the street, will lead a major renovation of the two-tower office property and handle leasing and property management. The group plans to improve the plaza between the two towers and upgrade its ground-floor retail space.
The investors are buying the 460,000-square-foot building from the Wm. Wrigley Jr. Co., which plans to move its headquarters to offices on Goose Island by the end of 2012.
The joint venture has discussed plans with the city to assign landmark status to the 89-year-old property, which will retain its name into perpetuity, the statement said. The deal also includes a 1.5-acre lot at 443 N. Wabash Ave.
What do you think?
The commenter section of Crain's Chicago Business is an opportunity for our readers to start a dialog on our content. While we don't require you to use your real name, we do ask that you participate as though you were – that is, keep the conversation civil, stay on topic, avoid profanity, vulgarity and personal attacks, and please don't post commercial or self-promotional material. We will remove comments that violate these standards.
(Note: Your first name and last initial will appear with your remarks.)