Blackstone Group Extending Its Suburban Office Selling Spree
Blackstone Group, which spent the past two years capitalizing on investor interest in suburban offices, is seeking a buyer for a two-building office complex near O'Hare International Airport. Blackstone placed O'Hare International Center in Rosemont on the market with a $75M asking price, Crain's Chicago Business reports.
Blackstone acquired the property as part of a $1B portfolio acquisition from Duke Realty in 2011. Investor interest in O'Hare office properties is gaining steam with Angelo Gordon's $148M purchase of Presidents Plaza in March standing out as one of the Chicago area's top office deals of the year. O'Hare boasts the lowest vacancy rate of all suburban office markets, and Class-A office rents have risen to $25.47/SF.
Blackstone Group also acquired 17 buildings from GE Capital in a $23B deal three years ago. The firm sold $600M in suburban office properties over the past two years, including a $125M deal with Zeller Realty for Schaumburg's Commerce Plaza in August 2016.