Gohagan & Co. currently is leasing between 10,000 sf and11,000 sf at 224 S. Michigan Ave. The company is expanding andchose the Roanoke building because "the owners of the company lovethe historic nature of the building," Reschke says. Additionally,the company will be leasing the second floor of the building. KevinMcCarthy and Michael Tirpak with Staubach Co. represented Gohagan& Co. Michael Watts and Lauren Alexander with JF McKinney &Associates represented Prime Group.

The building is currently 60% leased with smaller tenants, suchas service industry firms. The asking lease rate is currently $27per sf gross with the rates expected to increase to $30 per sfgross when a $25 million renovation is completed. The lobbyrenovations are expected to be completed in March with the façadework completed in April, Reschke tells GlobeSt.com. All of theelevators are also being replaced, two at a time, which willcontinue through the summer. Pierre Arnault is designing theexterior lighting for the building, which should be finished byJune 1.

The building is listed on the National Register of HistoricPlaces and Prime Group is seeking city landmark status. The ChicagoCity Council's Historical Landmark Preservation Committee approvedthe status last week, Reschke says. The designation still needsfull city council approval. With the landmark status, Prime Groupcan receive a federal tax credit of 20% of the construction costand receive approximately a 50% reduction in real estate taxes for12 years. The building was designed by the Chicago architecturalfirm of Holabird & Roche and the original 16 stories wereconstructed in 1915. In 1922, the building was increased to 21stories, and then to its current 35-story height in 1925.