Crain’s is reporting that Houston-based Hines Interests is having difficulty financing a 60%-leased 52-story office tower at 444 W. Lake St.
That may be more bad news for Chicago’s troubled downtown condo market, since an increased supply of downtown office space has always correlated strongly with increasing demand for downtown housing.
But this has nothing to do with lack of demand for Class A Office Space. It has to do with banks not willing to lend in this environment. Look at the tenants Hines has lined up, both rock solid.
Termy,
Great tenants indeed – but both are in sectors (finance, law) that are being heavily hammered in this economy.
This may also be a Hines PR initiative to discourage additional competition in the market.