News is that the Willis Tower in Chicago is up for sale and one insider suggests it could go for $1.5 billion:
The owners of the Willis Tower have hired Eastdil Secured to seek a sale, according to an offering book already given to potential buyers. The property’s owners are being advised in the deal by Chicago-based Stephen Livaditis and New York-based Douglas Harmon, senior managing directors at Eastdil, according to the materials…
Chicago is coming off the strongest year of office building sales downtown in seven years. Boosted by low interest rates, a strong real estate appetite for U.S. real estate by domestic and international investors and comparatively higher pricing in coastal cities such as New York and San Francisco, Chicago in 2014 experienced some of its biggest office deals…
Industry newsletter Real Estate Alert, which first reported Willis Tower was being shopped, estimated it could sell for about $1.5 billion. That would be almost $400 for each of the tower’s nearly 3.8 million square feet of office space.
But because of its huge size and unusually broad sources of revenue, experts say Willis Tower’s value is more difficult to pinpoint than a traditional office property.
Sounds like a thriving market right now. Building occupancy is up in recent years and several other large office buildings have sold for high prices in the last year or so.
It would be fascinating to see what happens if the name changes again. How would Chicagoans react? The Willis Tower switchover never completely happened – hard to believe that was over 10 years ago now – so would a new name work? We are not there yet but could be headed toward a world where major buildings consistently change names as they change owners or even develop sponsorship deals to have particular names?