More than two years after then-Chicago Mayor Lori Lightfoot unveiled the LaSalle Street Reimagined initiative to breathe new life into old office space along the flagging corridor, the first approved office-to-residential project is underway.
Lagfin and R2 Cos. broke ground Thursday on 79 W. Monroe, a 117-unit project set for completion in the first half of next year.
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The conversion will transform the historic Rector Building, the oldest surviving commercial high-rise designed by renowned architect Jarvis Hunt, into a residential space.
Mayor Brandon Johnson, 34th Ward Alderman Bill Conway and other city officials joined developers at the ceremony.
“The transformation of 79 West Monroe joins a legacy of projects across the city that honor our history while securing our bright future,” Johnson said in a release. “I am thrilled to take this bold step to build better together toward a Loop community that is more inclusive and vibrant, with greater access to affordable housing and the opportunity for all residents to thrive.”
Last April, Johnson pledged just over $151M in tax increment financing from the city to aid developers planning to convert four struggling office buildings into apartments offering 1,000 housing units.
The other proposed conversions are at 111 W. Monroe St., a $203M project that would deliver 345 apartments and is being developed by The Prime Group and Capri Investment Group; 30 N. LaSalle St., a $130.2M Golub & Co. project set to deliver 349 units; and 208 S. LaSalle St., a 226-unit, $203M project to be developed by The Prime Group.
The renovation of 79 W. Monroe will bring a mix of market-rate and affordable apartments to the Loop. Thirty-five percent of its units are designated as affordable housing.
A spokesperson told Bisnow the project is expected to be completed sometime in the second quarter of 2026.
The project will create at least 75 construction jobs through a joint venture between Leopardo Construction and GMA Construction Group, a minority-owned general contractor. The development team will preserve the building’s historic architecture while upgrading to modern, energy-efficient systems and amenities, it said in the release.
79 W. Monroe “not only revitalizes a historic landmark but also sets a model for sustainable, mixed-use communities,” Lagfin Manager Massimiliano Seliziato said in the release.
