CHICAGO-A recent arbitrator’s ruling could be the catalyst to ending a dispute that has prevented retail and condominium owners from taking occupancy of the Ritz-Carlton Residences on North Michigan Avenue here.
Following an arbitrator’s decision last month, Prism Development Co. of Chicago and the Terra Foundation for American Art are in negotiations to end a dispute that has dragged on for nearly five-months that prevented new condo residents and Tommy Bahama and Loft, which had signed leases for stores at the property, from entering the recently completed building, according to Chicago Real Estate Daily.
The dispute between Terra Foundation and Prism centers over a deal the two reached in 2005 that allowed Prism to tear down an existing building on the property owned by the foundation. Terra had agreed to buy the office and retail space in the new tower, while Prism would develop and sell the condos. Last September, Terra alleged that Prism hadn’t fully built out the office and retail spaces and refused to close on the transaction, preventing Prism from selling condos under contract, the newspaper reports.
If a settlement is reached, Prism could begin closing on the condo units at the 89-unit building at 664 N. Michigan Ave. See story in Chicago Real Estate Daily.