T
he Continental Towers in Rolling Meadows is up for sale as its lender seeks a buyer to revitalize the distressed property. Rialto Capital, managing the property on behalf of bondholders, has enlisted Transwestern to find a buyer for the 910,000-square-foot complex at 1701 Golf Road. The firm listed the property to recover as much of the outstanding mortgage balance as possible after suing the landlords for foreclosure last year over an $85 million loan default.

    The existing mortgage, with a 4.75% interest rate and maturity in September 2028, can be assumed by potential buyers, which could be attractive given current higher interest rates. However, the high vacancy rate and challenging office market conditions complicate matters. The complex is only 59% occupied, with large tenants like Komatsu and Panasonic having vacated significant space over the past few years.

    Verizon remains the largest tenant, but its lease expires in April 2028. This marks the second time Continental Towers has faced financial difficulties; Glenstar previously acquired the property out of foreclosure in 2013 for $58.5 million before selling it to Rubenstein at a loss in 2018. A sale could settle the foreclosure lawsuit and allow Rialto to avoid taking ownership through a court-ordered sale.