Chicago office tanks slate has office there Just like San Francisco and Portland, Chicago's real estate office market looks scary...
A major 623k SF office tower in Chicago recently sold for $45 million which comes out to a shockingly low ~$72 SF
What makes this deal more incredible is that it sold for $122 million in 2014
This is roughly a 65% discount and likely much more if you want to use the market value of the pre-pandemic highs
The purchase price is just half the amount of Morgan Stanley’s $88 million loan that it provided the seller in 2019 as part of a refinancing deal
It's tough to say whether we're in the early innings of the destruction in US office or towards the tail end but what is certain is that it's going to take a long time for things to rebound... if things do rebound at all