With six finalists for the LaSalle Reimagined presenting their plans to the community, Urbanize is breaking it down by proposal to highlight the design and benefits of each one as the city considers which three to name as winners.
Plagued with vacancies, the corridor is littered with empty historic office buildings that no longer meet the current market demands of new office tenants. Originally announced at the end of September 2022, Mayor Lightfoot and the Department of Planning and Development are offering city funding for proposals along the LaSalle Street corridor. Public resources are expected to include federal tax credits, Cook County property tax incentives, TIF funding, PACE financing, Low Income Housing Tax Credits and other tools. With a large focus on housing and specifically affordable housing, all proposals must include 30% affordable housing to receive the city support.
Today we’re looking at The LaSalle Residences, proposed by The Prime Group. Located within 208 S. LaSalle, the plan calls for converting a middle chunk of floors into 280 residential units. Originally acquired in 1996, The Prime Group has already converted the lower 12 floors into a JW Marriott Hotel and just opened floors 18-22 as The LaSalle Hotel with 232 keys. The building was Burnham’s last design before he died, built in 1914 for the Continental and Commercial National Bank.
With Lamar Johnson Collaborative and Lucien LaGrange Studio working on the project, floors 13 through 17 will be the ones renovated as part of this proposal. Set to produce 280 apartments, 30% of them will be set aside as affordable. The mix includes 111 studios, 120 one-beds, and 49 two-beds.
On the ground floor, residents will enter through a lobby facing S. LaSalle St, sharing with the new hotel. A dog run and dog spa will be included, with a bike storage room also included.
Set to cost $130 million, the rehab would be funded by $74 million in tax-exempt housing bonds, $10 million in Low Income Housing Tax Credits, $33 million in TIF funding, and just $13 million in sponsor equity.
Since The Prime Group already owns the building, they would look to start construction by the end of 2023. With W.E. O’Neil on board for construction, the team expects an 18-20 month construction timeline, with first units set to open Summer 2025.
The city is currently reviewing the six proposals and plans to select up to three of the finalists to receive city financing. Once that decision is made by the end of month, the city will go through an underwriting process that will take a few months. The proposals will then need approval from the Community Development Commission and City Council for the appropriation of the city funding.