Related Midwest Hints at Change in West Loop Development Plans with New Acquisition

Related Midwest paid $10.1 million for a small property across the street from where it plans one of the West Loop’s tallest skyscrapers, Crain’s Chicago Business reported. The acquisition could signal a changing vision for the proposed tower and put the developer in a better position to lure JPMorgan Chase if the bank opts to leave its longtime Loop home. 

A Related venture acquired the 15,828-square-foot mixed-use building at 800 W. Washington Blvd. from Chicago developer R2, which paid $5.2 million for the property in 2016 before renovating it and leasing its space to a handful of users. 

The site is across Halsted Street from the 725 W. Randolph St. property where Related has been sitting on a proposal to develop a mixed-use complex including a pair of high-rises atop a podium structure, a building that would tower over everything else in the nearby Fulton Market District.  

Sources familiar with the transaction told Crain’s that Related will likely look to transfer the unused development rights from its newly acquired site to the 725 W. Randolph property to be able to build an even larger project overlooking the Kennedy Expressway. 

Photo credit: R2.