End of an era as CME sells bulk of Cbot building
24 April 2012 | 1502 views | 0
Source: CME Group
CME Group today announced the sale of two of the three buildings that comprise the Chicago Board of Trade (CBOT) Building Complex located at 141 W. Jackson to a joint venture between GlenStar Properties LLC and USAA Real Estate Company.
The consortium will buy the 1.3 million square foot north and south towers of the CBOT building for approximately $151.5 million. As part of the sale, CME Group will lease back the 150,000 square-feet of space it currently occupies in both buildings for a 15-year term, including the Agricultural Trading Floor as well as office and trading floor support space.
The company will continue to own the 288,000-square-foot east building, the address of which will be changed to 333 South LaSalle Street. The east building has no third party tenant space and is primarily comprised of the larger of the two active trading floors which houses the CME Group financial products.
"CME Group, which has been headquartered in Chicago for more than a century, continues to be committed to this city and to maintaining our trading floors and office space in the 141 W. Jackson building," said CME Group Chief Financial Officer Jamie Parisi. "We are extremely pleased to be able to sell our landmark building to the GlenStar Properties and USAA Real Estate Company consortium who will be great landlords for us and the other tenants. It will also allow CME Group to continue to focus on what we do best — running our exchanges and providing risk management tools to the world."
Holly Duran and Jeff Mulder of Holly Duran Real Estate Partners LLC (HDREP), CME Group's global real estate advisor since 1981, assisted CME Group in the sale of the building in partnership with Jones Lang LaSalle Capital Markets, represented by Managing Directors Bruce Miller and Jim Postweiler, and Associate Nooshin Felsenthal. Jim Rosenbloom and Mike Manuel of the law firm of Goldberg Kohn represented CME Group.