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Zell’s Office REIT on the Verge of Exiting Chicago Market
Chicago-based Equity Commonwealth, the office REIT chaired by Sam Zell, is on the verge of selling its last remaining local asset. Crain’s Chicago Business reported that the company is finalizing a deal to sell the Triangle Plaza complex near O’Hare Airport to Honolulu-based Shidler Group for about $143 million.
The sale price would represent a 49% gain on the $96 million that Equity Commonwealth—then known as CommonWealth REIT and based in Newton, MA—paid for Triangle Plaza in 2010. Since Zell took over as chairman in 2014, the company has pared down its portfolio from 156 properties to just 22, amassing a $2.8-billion war chest in the process.
Earlier this year, Sterling Bay paid $510 million to acquire Groupon’s headquarters at 600 W. Chicago Ave. from Equity Commonwealth. Triangle Plaza currently is 95% leased, an occupancy rate well above the 85% average for the O’Hare submarket.
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- ◦Sale/Acquisition
