M
o2 Properties is planning to convert a seven-story building in River North into residential apartments after acquiring it for $3 million. The Boylston Building at 116-122 West Illinois Street was purchased by the local developer led by brothers Ken and Michael Motew at $62 per square foot. The building was previously used for light manufacturing and distribution since its construction in 1913 by the Boylston Steam Specialty Company. It was later leased as vintage office space. This is the first time the property will change hands since its construction.

    Mo2 Properties is known for revitalizing older buildings while preserving their architectural history for modern living. The developer already owns about 700 apartment units throughout Chicago, including both ground-up developments and conversions. The Boylston Building project will offer one- and two-bedroom apartments, with the Arthur Murray Dance Studio on the ground floor remaining as the sole retail tenant.

    The Boylston Building conversion is part of a broader trend in Chicago where underutilized office space is being converted into residences due to dwindling demand for office space and growing apartment market. Across the street, Chicago Development Partners is planning a similar project at 111 West Illinois Street, where they will convert the office portion of a 10-story building into 145 apartments. Commonwealth Development Partners is also transforming most of a 24-story office building at 500 North Michigan Avenue into 320 residential units.

    This trend is not limited to just these projects as Irvine Co recently paid off $431M debt on a River North office tower. Howard Weiner is also planning to buy a discounted office building for residential conversion. Akara Partners is converting River North apartments to condos amid a slow investment sales market.