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601W Companies plans to redevelop 801 S. Canal St. in Chicago's Southwest Loop

601W Secures $215M Financing for New Office Redevelopment in Chicago’s SW Loop

(Updated with additional information)

601W Companies has secured a total of $215.1 million in financing for its redevelopment of 801 S. Canal St. in Chicago’s Southwest Loop as multi-tenant office space. Bank OZK provided a $147.5-million senior loan, while Lionheart Strategic Management LLC, a Fisher Brothers affiliate, originated a $67.6-million investment in the form of a mezzanine loan and preferred equity on behalf of Milestone Asset Management. 

The financing will be used to redevelop 801 S. Canal into a modern and highly amenitized 700,000-square-foot office building. The property sits a block away from 601W’s $1-billion renovation of the Old Post Office building.  

The Old Post Office, which 601W acquired in 2016, is now 95% leased to a variety of industry-leading tenants.  

Andy Klein and Sang Kim led the mezz loan/preferred equity transaction for Lionheart Strategic Management. A JLL Capital Markets team of Keith Largay, Lucas Borges and Ryan Sullivan represented 601W.

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Lionheart Strategic ManagementBank OZKJLL's Largay

About Paul Bubny

Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 13-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 15-20 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces. Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications. Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).

  • ◦Development
  • ◦Financing
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