A Chicago retail investor that has bought several properties with large vacancies in recent years has scooped up a fully leased shopping center a few blocks south of Wrigley Field.
North American Real Estate acquired the Point at Clark at 3131 N. Clark St., principal Savas Er told CoStar News. He said the Lakeview deal was completed Tuesday for a price he declined to disclose.
It was one of the final shopping centers remaining in DRA Advisors’ liquidation of a portfolio of Chicago-area retail properties that it acquired in a $2.3 billion takeover of Inland Real Estate in 2016.
The wedge-shaped building along Clark and Halsted streets is leased to three tenants: Marshalls, DSW and Michaels.
The 90,455-square-foot property had a weighted average lease term of 5 1/2 years when Cushman & Wakefield brokers put it on the market for sale, according to marketing materials.
Just across the street from Point at Clark, another Chicago developer is seeking zoning approval to reconfigure and expand the Briar Street Theater building, where the Blue Man Group recently ended a nearly three-decade run of concerns, into 66 apartments.
Point at Clark differs from several turnaround plays by North American Real Estate in recent years, with the firm buying highly discounted properties such as 605 N. Michigan Ave., 100-112 S. State St. and the Flat Iron Arts Building in Wicker Park with large retail and office vacancies to fill.
“This one is a pure long-term hold at a great location,” Er said. “The tenants are really happy with the building. It looks kind of tired, so we’re looking at some exterior upgrades.”
Point at Clark was bought with proceeds from a few recent sales, including a $7.5 million disposition of a vacant building at 174 N. Michigan Ave., Er said.
DRA did not respond to a request for comment from CoStar News regarding the North Side sale.
The New York-based firm’s selloff of the portfolio began in May 2023, and it has included one previous sale to Er’s firm, a $10.9 million deal for the Schaumburg Promenade in the northwest suburbs early last year.
For the record
Cushman & Wakefield brokers Michael Marks, Evan Halkias and David Matheis represented the seller.