Category: News

On May 13th, Golub & Company was named Residential Property Manager of the Year at the 33rd Annual Commercial Real Estate Awards benefiting the Greater Chicago Food Depository.

This category recognizes professional residential property management firms that have demonstrated outstanding achievement over the past year in resident relations, building operations, amenities and community service. We could not have achieved this level of success without the support of our residents and our investment partners.

Most importantly, we are a proud supporter of the Greater Chicago Food Depository, a member of Feeding America, the national network of food banks.

492-Unit, Garden-Style Apartment Community Features Resort-Style Amenities

CHICAGO – May 4, 2021 – Golub & Company and Petiole Asset Management have announced a joint venture acquisition of Lakehaven Apartments in Carol Stream, IL, marking the first residential joint venture between the two firms and the third overall. The acquisition closed on April 29, 2021. Golub & Company will provide property management and leasing services effective immediately.

Lakehaven Apartments, located at 732 Bluff Street in Carol Stream, DuPage County, IL, was constructed in 1984 and is the newest apartment community in this mature suburban township. The property, while close to major employers and highways, also benefits from its pastoral setting surrounded by 100 acres of park land and lakes. The 492 apartment homes are spread across 41 buildings and feature a mix of 1-, 2-, and 3-bedroom layouts ranging in size from 700 to 1,100 square feet with an average unit size of 868 square feet. Amenities include a clubhouse, resort-style pool, fitness room and fenced dog park.

Leading the acquisition were Adam Short, Senior Vice President of Acquisitions; Ania Najder, Director of Acquisitions; and Kristin Nason, Regional Portfolio Manager, all from Golub & Company, and Chris Lord, Principal of Petiole Asset Management. The seller, Lakehaven Apartments LLC, was represented by JLL’s Marty O’Connell, Danny Kaufman, Wick Kirby and Kevin Girard.

“Lakehaven has recently undergone an in-unit and amenity repositioning program yet offers new ownership the ability to incrementally improve upon the previously completed program to offer top-quality amenities and unit finishes,” said Short. “From the perspective of the submarket there has been very limited new supply which we believe will bode well for occupancy over the long-term,” he added.

Founded in 1960, Golub & Company is a multi-generational developer, operator and investor of commercial, residential and mixed-use properties. Its current projects are located across core U.S. markets including Chicago, Minneapolis, Denver, and South Florida. Petiole Asset Management AG (formerly The Family Office) is a Zurich-based asset management firm with a track record of managing $2B in alternative investments.

“The value-add potential and strong market fundamentals make this an attractive acquisition opportunity,” said Michael Newman, President and CEO of Golub & Company. “After completing successful office acquisitions of 111 W. Washington Street in the Central Loop and International Tower in the O’Hare market, we are thrilled to partnering once again with Petiole Asset Management on this exciting project.”

About Golub & Company

Since its in 1960, with three generations of professionals working in the business, Golub & Company has built a strong reputation as a trusted co-investor and developer with its many institutional and private capital partners. It’s a reputation based on track record; Golub and its affiliates have owned, leased or managed more than 50 million square feet of commercial, mixed-use and multifamily real estate properties, including 45,000 residential units, valued in excess of $10 billion located across the United States and internationally. Access more information by visiting www.golubandcompany.com. 

About Petiole Asset Management

Petiole Asset Management, previously operating as The Family Office (TFO), is a boutique asset manager that provides investors diversified investment programs targeting direct and co-investment transactions with $2 billion in AUM. Our clients benefit from tailored alternative solutions, a rigorous investment process and a dedicated team specialized in private market investments. Petiole USA Limited, operating out of the New York office, targets value-add and core-plus real estate acquisition opportunities in addition to real estate debt and structure equity opportunities. The team has acquired 12,000 multifamily units and 4.4 million square feet of U.S. real estate in the past decade. Access more information by visiting www.petiole.com. 

5,000-Square-Foot Tenant Lounge Sets New Design Standard for Office Amenities   

CHICAGO – April 26, 2021 – CIM Group and Golub & Company have announced the opening of The Front Room, a new 5,000-square-foot tenant lounge on the third floor of 444 N. Michigan Avenue. Designed by Huntsman Architectural Group, The Front Room was completely reimagined as part of a larger building repositioning program. The design language for the building’s public areas is rooted in hospitality and focuses on a welcoming experience “from street to suite.”   

“The Front Room at 444 N. Michigan is a stunning new lounge with welcoming design features that set the building apart from the rest of the market,” said Bethany Chang, Managing Director of On-Site Property Management at CIM Group. “Featuring a game room, a curved bar stocked with beverages, and a variety of communal seating and gathering spaces with floor-to-ceiling views of Chicago’s Magnificent Mile, The Front Room is yet another example of our commitment to providing superior amenities and services to our tenants.”

“During our first tour of the vacant space at 444, the design team was immediately drawn to the window line on Michigan Avenue, and we knew the space had to capture the energy from outside,” said Huntsman Principal Andrew Volckens. “Our primary goal was to create a collection of design ‘moments’ that provide a landscape of choice for occupants of The Front Room.”

CIM Group and Golub & Company have owned 444 N. Michigan Avenue since 2018. The 36-story, 517,000-square-foot office building with ground floor retail is located in the heart of Chicago’s Magnificent Mile, and directly across the street from another CIM/Golub joint venture, the Tribune Tower redevelopment.

“While it’s nothing new for building owners to add shared amenities to office buildings, The Front Room sets a new standard for design and community,” said Sandy Macaluso, Senior Vice President of Leasing at Golub & Company. “Leasing velocity is increasing and tenants are anxious to have beautiful spaces away from their homes where they can take a break, socialize, or have their lunch. We are already seeing a tremendous positive response to the space.”

Link: CIM, Golub Unveil New Tenant Lounge at 444 N. Michigan

Golub & Company has announced the addition of Erica Rogers as vice president to the company’s downtown Chicago office leasing team. A 27-year veteran of the Chicago commercial real estate industry, Ms. Rogers will work closely with Sandy Macaluso, senior vice president and leader of the firm’s commercial leasing practice. In her new role, Ms. Rogers will play an integral role in the leasing of 300 South Wacker Drive, 111 West Washington Street, 444 North Michigan Avenue, 625 North Michigan Avenue and 680 North Lake Shore Drive.

Most recently, Ms. Rogers spent four years as an agency leasing representative for JLL’s suburban and downtown office portfolio. During this time, she leased prominent buildings in the O’Hare and North suburban submarkets including One Northbrook Place, The Reserve at Deer Park and O’Hare Plaza in addition to downtown Chicago assets including 1 N. Wacker Drive and 222 S. Riverside Plaza. Between 1997 and 2017, Ms. Rogers held similar roles with Avison Young and CBRE, and counts Aon Center and Merchandise Mart among the more noteworthy properties she leased during that time.

“We are thrilled to welcome Erica to the Golub office leasing team,” said Ms. Macaluso. “She brings a depth of experience that will be critical as we begin to welcome tenants back into our downtown properties and seek to fill key vacancies. She understands how to position properties for success during market highs and lows,” she added.

Golub & Company’s downtown Chicago office portfolio now totals 2.5 million square feet across five buildings. Please visit the “Portfolio” section of company’s website for portfolio details.

Ms. Rogers is a resident of Lake Forest, IL, a graduate of The University of Kansas and a member of The Chicago Office Leasing Brokers Association (COLBA).   

We are deeply saddened to announce the passing of our revered and beloved employee, Debbie Frank. Debbie approached her battle with cancer as she did everything in life – with strength, determination and humor. Tragically, she passed on December 16, 2020, leaving behind her husband and young daughter.

Debbie’s expertise in commercial real estate leasing ran deep. Her 20-year career began in New York City, where she worked on the iconic Rockefeller Center. Debbie joined Golub & Company in 2006 and spent the next 14 years building relationships in the Chicago real estate community and organizations supporting the advancement of women in CRE such as CREW Chicago and The Goldie Initiative. She played a key role in stabilizing many high-profile Golub assets including 875 N. Michigan Avenue (formerly the John Hancock Center) and 300 South Wacker Drive, and was promoted to senior vice president and leader of our expanding commercial portfolio in 2017.

“Debbie’s immense talent for business and deep compassion for others earned her the love, trust and respect of all who had the joy of working with her here at Golub & Company,” said Golub Principals Michael Newman, Lee Golub and Paula Harris. “Her bright light, warm smile, wicked sense of humor and infectious joie de vivre will truly be missed. It will be our mission to ensure that Debbie’s legacy lives on.”

– A Class A, mixed-use project is planned for the 2.5-acre full-block site

Golub & Company and Rockefeller Group have announced the acquisition of 1055 19^th St. in downtown Denver, the 2.5-acre site of the former Greyhound bus terminal. Leading the acquisition were Dave Smith and Laura Newman from Golub & Company’s Denver office and Rockefeller Group’s Tom Weeks.  The seller was Greyhound Lines, Inc., which recently relocated its bus operations to nearby Union Station. Greyhound Lines, Inc. was represented by JLL’s Jamie Roupp, Patrick Bollick and Julie Rhoades.

The venture is planning a large-scale, mixed-use development on one of the last undeveloped full-block sites downtown. The site is bounded by 19th, 20th, Arapahoe and Curtis Streets. It is directly across from the Ritz-Carlton hotel and within walking distance of Union Station, the River North Art District, and Coors Field.

“We are thrilled to have completed this acquisition in partnership with Rockefeller Group, and to have this opportunity to reimagine one of Denver’s most promising locations for the future,” said Michael Newman, President and CEO of Golub & Company.  “As this marks our third significant project in Denver, it is clear we are strong believers in the city’s investment potential,” said Josh Patinkin, Senior Vice President, Capital Markets. “Together, the demographics, population shifts, job growth and access to outdoors make it even more attractive long-term than ever before,” he added.

“2020 is ending on a high note with the start of this venture,” said Tom Weeks, Rockefeller Group’s Executive Vice President and Head of Development.  “Given the scale of this project and the combined talents and track records of the development team, we look forward to creating a dynamic mixed-use project with a strong sense of place, building on the authenticity and vibrancy of downtown Denver.”

Both Rockefeller Group and Golub & Company have extensive track records pioneering large-scale mixed-use developments. The Greyhound station redevelopment is the first co-development between the two firms and is Rockefeller Group’s first project in Colorado.

Link: Rockefeller, Golub Venture Buys Denver’s Former Greyhound Station Site

A partnership has taken another step toward developing an empty, 13-acre lot in RiNo’s Denargo Market.

Developers Golub & Co. and Formativ held a public meeting Tuesday to rezone the acreage into C-MX, which will allow office, retail, hospitality and residential. The partnership purchased the site in 2019 for $86M alongside its institutional capital partner. Golub & Co. is headquartered in Chicago, but has an office in Denver. Formativ is based in Denver.

The land the two companies will develop is between Arkins Court, 29th Street and Delgany Street. Denver-based Tryba Architects is also involved in the project, working on the master planning and entitlements. 

Referring to the area as a “blank slate,” Golub & Co. Director Laura Newman said the idea is for this to be a master-planned project that will stitch together the neighborhood that has been created over the last 20 years. 

Golub & Co. and Formativ plan to develop the acreage into a bustling, vibrant commercial, mixed-use area. Tryba Architects Managing Principal Bill Moon said that the area will also have connected green spaces, easy and inviting access to the river and high quality architecture. 

In short, key elements to great placemaking. 

The first step is community outreach and rezoning.

“We don’t know exactly what it will look like,” Newman said of the development plan. “There will likely be a component of great Class-A office, apartments, a very heavy component of ground-floor retail, river activation and a whole new road network.”

The development will be completed in phases over the next five to 10 years, Newman said. Ultimately, the development team envision the completed project will be a product of market demand, Golub & Co. Vice President of Acquisitions David Smith said. 

For example, if an office user from another city wants to relocate to this site in Denver, they would accommodate them with abundant Class-A office space. Or, if the demand for more residential continues, they could do more residential development and less office. “We’re really just trying to build what’s right for the Denver market,” Smith said. 

A thoughtful, community-inclusive development is crucial for this area of the neighborhood. Almost all of the multifamily buildings in the area lack ground-floor retail.

Though residents have some restaurant and bar options, there are many uses that are missing. Many of the buildings along Brighton Boulevard, including Post River North, The Dylan, Block 32 and even the Waterford and Amli Denargo Market close by, have no ground-floor retail.

That means that for the thousands of residents new to the area, the developers of these projects haven’t provided restaurants, bars, grocery options or anything else that benefits density in a neighborhood. 

With this site, both Golub & Co. and Formativ have the opportunity to provide those retail options. “At the end of the day, we can build something that’s significant for the skyline of Denver,” Smith said. 

Formativ and Golub & Co. are also partners at the RiNo World Trade Center project located at the 38th & Blake Street Station on RTD’s A-Line.

Link: 13 Acres In RiNo One Step Closer To Development

Golub & Company, a Chicago-based real estate development and investment firm, announced the promotion of Michael Goldman to executive vice president and Joshua Patinkin to senior vice president, capital markets. In their new roles, Goldman and Patinkin will also serve on the Golub & Company investment committee, with Michael Newman, president and CEO, and Lee Golub, managing principal.

Goldman has been with Golub & Company for 25 years and has spearheaded the acquisition and financing for a wide variety of the firm’s U.S investment activities. Patinkin joined the company four years ago and has played key roles working with Limited Partners in raising new funds and sourcing investment opportunities, having led the firm’s expansion into Denver last year. Golub is now sponsoring two development projects in Denver and is committed to the community for the long term with over $1 billion of real estate to develop.

“Alongside our partners, we have made the strategic decision to focus on new, growth-oriented markets in order to diversify our investments,” said Newman. “Our experience in Denver provides a solid road map and we consider ourselves very fortunate to have such high-quality partners to work with. Having Michael and Josh join our investment committee provides thoughtful additional perspective and structure as we look to invest our capital and our partner’s capital to create value in new places.”

Link: Golub & Company announces executive promotions, investment committee expansion

Chicago law firm Schoenberg Finkel Newman & Rosenberg (SFNR) signed a 15,460-square-foot, long-term lease at Golub & Company’s The 300, located at 300 S. Wacker Ave in the West Loop. With its lease commencing in September 2020, SFNR will move its headquarters from 222 S. Riverside and will occupy the entire 15th floor at 300 S. Wacker.

Golub SVP Deborah Frank and VP Sandy Macaluso represented the property’s ownership. Tony Karmin and Corby Marx of Colliers International represented SFNR. Golub acquired the property in 2017 and launched a repositioning campaign in 2018.

“We are pleased to welcome Schoenberg Finkel Newman & Rosenberg, a company deeply rooted in Chicago, to the vibrant tenant community at The 300,” said Frank. “It has been exciting to see how the boutique, hospitality environment and best-in-class office amenities have resonated with both current and prospective tenants.”

Link: Law Firm Commits to Full Floor at Golub’s The 300

After completing its $180 million acquisition of Prairie Shores—the biggest Chicago apartment property to change hands since 2007—Golub and its partners could face a difficult balancing act.

Changes are coming to one of the biggest housing developments in Chicago, but what they’ll look like is up in the air.

The new owners of Prairie Shores, a 1,675-unit apartment complex south of McCormick Place, plan to spend the next few months putting together a plan for the five-tower property, said Michael Newman, president and CEO of Chicago-based Golub, one of the investors. On Nov. 1, Golub and its partners, Chicago-based Farpoint Development and New York-based Goldman Sachs, completed their acquisition of Prairie Shores, the first time the 20-acre complex has changed hands since it was completed in 1961.

“Our plan is to take the next few months to get a real understanding of what goes on at the property, what goes on in the neighborhood,” Newman said. “We’re going to do outreach to the residents to find out what people would like to see . . . We don’t really have a specific plan.”

Prairie Shores is the largest Chicago multifamily property to trade since the 2007 sale of Presidential Towers, a 2,346-unit project in the West Loop. Newman declined to disclose a price, but real estate data provider Real Capital Analytics pegged it at $180 million, or $107,000 per unit.

The Golub joint venture acquired the property from Draper & Kramer, the Chicago-based firm that developed it. The project dates back to the urban renewal era, a controversial period when cities razed entire neighborhoods of deteriorating low-rise rental buildings, displacing their mostly African-American tenants, and built modern residential high-rises and public housing projects in their place.

The neighborhood offers the kind of emerging market dynamics that many investors seek out. To the north, in the neighborhood around McCormick Place, the city is trying to encourage the development of a entertainment district, anchored by the Wintrust Arena and new hotels. To the east sits the site of the former Michael Reese Hospital, where a Farpoint joint venture plans a massive mixed-use complex comprising as much as 12 million square feet, “Whatever is done there is going to continue to enhance the neighborhood,” Newman said.   

Prairie Shores, which went up for sale in February, sits within an opportunity zone, part of a federal program to attract investment to poorer neighborhoods. Investors can reduce capital-gains taxes if they own or develop property in opportunity zones.

But Golub and its partners are not financing their Prairie Shores investment with opportunity zone funds, Newman said. Goldman Sachs Urban Investment Group, which invests in underserved communities, is the largest equity partner in the Prairie Shores ownership venture.

The new owners could face a difficult balancing act. They want to increase the property’s value, but could face blowback if they hike rents too much. Apartments there are relatively affordable, with the average unit renting for $1,158 per month, or $1.91 per square foot, according to a brochure from HFF, now part of Jones Lang LaSalle, the broker that arranged the sale. The property is 94 percent occupied.

Apartment investors will often boost the value of properties they acquire by fixing up their apartments and adding new amenities and then raising rents. That would be an option at Prairie Shores: Draper & Kramer has already refurbished 54 apartments there; renovated units now rent for $260 more per month on average than unrenovated ones, the HFF brochure says.

With the brewing debate over gentrification and affordable housing in Chicago, Golub and its partners will need to be careful if they decide to go that route, doing it in a way that doesn’t raise the ire of housing activists and politicians. Their go-slow approach shows an awareness of the potential sensitivities.

“We’re not going in with too many pre-conceived ideas,” Newman said. “We want to get the feedback.”  

Link: Golub venture takes over massive Near South Side apartment complex