Edwards Realty Co. acquired the high-profile retail portion of Block 37 in a major bet on the Central Loop's revival.
The Chicago-based real estate development and property management firm paid $30M Tuesday for the 278K SF vertical shopping mall at 108 N. State St. The move comes as retail tenants have slowly started to return to the city's downtown, which was hammered during the pandemic.
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Edwards Realty Co. aims to reposition the massive property, which occupies the full city block bounded by State, Washington, Dearborn and Randolph streets, as a modern experiential destination.
“Block 37 sits on one of the best corners in downtown Chicago — and it’s never acted like it,” Edwards Realty Co. President Ramzi Hassan said in a statement. “It’s always been a place people cut through. We’re creating a place they come back to.”
Edwards Realty Co. closed on the deal with Republic Bank, strategic financial partner LFI Energy and The Rose Family Office.
The trade represents a significant loss for seller CIM Group, which acquired the property out of foreclosure in 2012 for nearly $84M. CIM Group also added a 690-unit apartment tower above the mall and sold a 51% stake to Morguard for more than $135M in 2019, CoStar News reported.
The reset basis for the mall enables Edwards Realty Co. to offer “highly competitive lease terms” and “pursue a broader tenant mix,” the company said in a release. The company also hinted that it will unveil a new identity for Block 37 as the repositioning progresses.
The mall is 65% occupied, the developer told Bisnow. The company said it is already in discussions with retailers, restaurants and experience-based operators to fill the vacant space.
Signs suggest market conditions for downtown Chicago retail are improving.
The vacancy rate for State Street storefronts decreased from about 35% in 2024 to roughly 28.8% in 2025, according to Stone Real Estate. Major leases from Barnes & Noble, the Gap Factory Store and the relocation of the Board of Election voting facility helped bolster the street's overall occupancy.
“As the Loop’s predominant soft goods retail street, State Street plays an outsized role in the health of the Loop’s overall retail market and its continued improvement is needed for the entire Loop to regain its footing,” Stone Real Estate principal John Vance wrote in the report.
The Block 37 deal adds to a growing number of investments in Chicago retail in 2026. Water Tower Place landed a $170M infusion for its redevelopment in April, and the roughly 22K SF of retail at 500 N. Michigan Ave. also traded for $41M in April.
This acquisition isn't Edwards Realty Co.'s first attempt to reposition a sizable Chicago-area retail property. Alongside Core Acquisitions, the company acquired the 200K SF Burr Ridge Village Center in the Chicago suburbs in 2019.
When Edwards acquired it, the property had roughly 60% occupancy. In 2025, following renovations and a shake-up in the property's tenant mix, the occupancy surpassed 95%.
“We don’t acquire properties to maintain the status quo, and the building soon-to-be formerly known as Block 37 is no different,” Hassan said in a statement. “We acquired it because we believe it can be one of Downtown Chicago’s defining destinations.”
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