The agreement reduces customer transition charges that would have been paid if tenants switched from regulated rates to those market rates. ComEd will supply the power in either case, but would be selling power provided by a third party if customers chose the unregulated rates.
"Sears Tower was a pioneer in seeking to obtain reasonably priced electricity for its tenant customers," says attorney Patrick Giordano, who has worked on the Sears Tower electricity case since 1996. "In 2001, Trizec challenged ComEd's proposed rate hike for delivery charges on behalf of all of its tenants in all of its Chicago buildings. The company has played a leadership role ever since in bringing that effort to a successful conclusion."
The REIT is expected to assume ownership of the 3.5-million-sf Sears Tower this quarter. Trizec Properties, Inc. already owns three other West Loop properties - 10 and 120 S. Riverside Plaza and 550 W. Washington Blvd. - as well as 2 N. LaSalle St.
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