Essex Developers Secure $170 Million Construction Loan

Essex on the Park will provide residents access to the park and allow those working downtown to walk to work.

CHICAGO—Officials representing a partnership of Oxford Capital Group, LLC and Quadrum Global say they have secured a $170-million loan to finance the construction of Essex on the Park, a new 56-story, 479-unit luxury apartment building at 808 S. Michigan Ave. As part of the project, the partners will also by 2019 expand and upgrade the adjacent Essex Inn at 800 S. Michigan Ave., a historic, 254-room independent hotel, to a 271-room luxury hotel called Hotel Essex.

In a mark of confidence, the developers secured non-recourse financing, meaning the lender can only get repayments from the proceeds of this particular project, not other assets. Mission Capital Advisors advised ownership and ran point in sourcing the financing from a global investment bank.