RBC Walks Into 84,000 SF at Merchandise Mart

While a confidentiality agreement keeps lease terms under wraps, Equis Corp. associate Joseph Zona tells GlobeSt.com the deal is for more than 10 years, and at a price below the going rate for space at the 3.46-million-sf Merchandise Mart and River North submarket. Published gross lease rates at the landmark property owned by Paramus, NJ-based Vornado Realty Trust range from $23 per sf to $27 per sf.

"There probably were over 80 buildings that could've handled their requirements, but only a handful that could handle the deal we were able to negotiate," Zona tells GlobeSt.com. The competing properties were in and around Downtown, as well as the suburbs, Zona adds.

In the end, however, the Merchandise Mart's location made the most sense for the company that recently acquired Prism Mortgage here. "Their existing location is a stone's through away," Zona says. "[The Merchandise Mart] has direct access to the El and it's a short walk to the train stations."

Two Chicago Transit Authority elevated train lines make a stop at the Merchandise Mart, and Metra's two commuter rail terminals that have made the West Loop attractive to potential office tenants is little more than a half-mile away.

Also, Zona reports RBC Mortgage takes over space built out for Bankers Life & Trust.

Zona represented RBC Mortgage along with executive vice president John Niemi and senior vice president Kevin Duckler, while John Dempsey of CB Richard Ellis represented RBC Mortgage.