F
inanciers continued to prioritize Chicagoland's data center market, securing the region's largest real estate loans of 2024, mirroring last year's trend. The list of Cook County's biggest property debts reveals that lenders are valuing internet infrastructure highly, driven by the virtual economy's growth. This shift has negatively impacted office landlords, particularly those with properties struggling due to remote work.
Despite this, offices saw a modest resurgence in 2024, with three times as many deals ranking among Chicago's top 10 loans compared to the previous year. However, two significant office loan transactions paint a more nuanced picture for landlords. The increased deal volume suggests that some investors and lenders believe the office market will recover from its challenging metrics.
Here are the largest commercial real estate loans issued in Cook County through mid-December of 2024:
Stream Data Centers, 1925 Buss Road, Elk Grove Village | $270M
Deutsche Bank provided a loan for Stream's data center project, which became fully leased by cloud and hyperscale computing providers in 2023.
Beacon Capital Partners, 333 West Wacker Drive, Chicago | $185M
Fred Seigel's firm acquired the property for $125 million, significantly below its original price of $320.5 million. The loan from Allianz Life Insurance will likely fund renovations and leasing commissions.
JMB Realty, 900 North Michigan Avenue, Chicago | $180M
The company refinanced its Magnificent Mile trophy with a new loan from Goldman Sachs, requiring the landlords to inject their own equity to pay off a larger previous loan.
Office Properties Income Trust, 1000 West Fulton Street, Chicago | $134M
Google's landlord took out a nearly $134 million loan against the downtown office tower, which was leased by Google and bought for $355 million in 2021.
Moishe Mana, 2211-2233 South Throop Street, Chicago | $120M
Mana borrowed $120 million from Fortress Investment Group to secure his leasehold interest at the historic building turned into Mana Contemporary Center.
F&F Realty, 333 Wood Creek Road, Wheeling | $95M
David Friedman refinanced his apartment complex with a loan from PNC Bank, using the funds to pay off an existing debt and make improvements.
Beitel Group, 4700 Arbor Drive, Rolling Meadows | $93M
Ben Beitel's firm refinanced its multifamily asset built in 1962, securing a new loan from Freddie Mac after previously working with Arbor Realty Trust.
Related Cos., Parkway Gardens, Chicago | $87M
The real estate giant took out a debt package arranged by JLL to refinance the affordable housing property, which has undergone significant improvements since Related acquired it in 2011.
Wirtz Corporation, 1801 West Jackson Boulevard, Chicago | $85M
The Wirtz family secured an $85 million loan from Wintrust to expand their practice facility, known as Fifth Third arena, adding two regulation-sized ice rinks.
Warwick Hotels and Resorts, 701 North Michigan Avenue, Chicago | $78M
Richard Chiu's company refinanced the historic Allerton Hotel with a new loan from Citi, replacing its previous loan taken out in 2014.
