Less than a year after landing three new luxury tenants to fill a former Intermix store in Chicago’s ritzy Gold Coast, a local developer is looking to cash in.
Fred Latsko confirmed he has hired Newmark brokers to seek a buyer for the approximately 4,200-square-foot property at 900 N. Rush St.
The space is fully leased to California-based clothing brand Rails, Danish fashion house Ganni and Toronto-based jeweler Mejuri.
It’s unclear how much Latsko is expecting in the sale.
Latsko confirmed plans to sell the property in a text message but otherwise could not be reached for comment by CoStar News.
Efforts to sell the property come amid continued high borrowing costs and other challenges that have slowed the pace of deals nationally, but the property could benefit from a wave of high-profile leases on the Gold Coast’s Rush, Oak and Walton streets.
Other new tenants in the area include lifestyle apparel brand Kith, Kim Kardashian’s Skims shapewear brand, Parisian jeweler Cartier and Italian clothing brand Brandy Melville. Latsko, a longtime investor in the Gold Coast, landed Italian fashion house Bottega Veneta for his property at 41 E. Oak St.
The ground-floor space at 900 N. Rush is at the base of a 17-story condominium tower that has an address of 40 E. Delaware Place and is not part of the retail offering.
The Rush Street property represents the first Midwest location for Ganni, according to Crain’s Chicago Business, which reported the lease in December.
The tenants have a weighted average lease term of about 9.7 years, and the property’s annual net operating income is more than $1.5 million, according to a Newmark brochure on the property.
Latsko refinanced 900 N. Rush, 41 E. Oak and two nearby properties — at 66 E. Walton St. and 23 W. Maple St. — with a $34 million loan from local firm JDI Realty in 2023, the Real Deal Chicago reported in 2023. That was less than the value of a previous loan of about $43.6 million from Loancore Capital Credit REIT, according to the report and Cook County property records.
For the record
The seller is represented by Newmark brokers Keely Polczynski, Conor Lalor, Kyle Minter, Brian Schneiderman, Eric Williams and Mat Adler.