(The Center Square) – After years of costing state taxpayers in annual maintenance, the sale of the James R. Thompson Center in Chicago is final and Google will soon move in.
The building sale to JRTC Holdings totaled $105 million, comprising $30 million in cash and title to the property located at 115 S. LaSalle, which both parties agree has a value of $75 million, Gov. J.B. Pritzker’s office said in a statement.
JRTC Holdings will perform the renovations to accommodate the state’s operations after BMO Harris Bank vacates the building.
The improvements are expected to take about 18 months, with partial occupancy expected within eight months from the sale closing.
JRTC Holdings owner and longtime Chicago developer Michael Reschke explained why he decided to stick in Chicago.
“I have been developing and investing in downtown Chicago for four decades,” Reschke said. “I live in the city. My kids grew up in the city and now work here. I love the city and am proud to call it my home.”
Reschke also said this investment sets the table for future investments by other companies.
“With one of the top locations in downtown Chicago, we knew after the planned renovation that the iconic building would attract world-class tenants,” Reschke said. “These transactions are transformative for the state and the city and will create key anchors for the future success of Chicago’s downtown district and LaSalle Street for many more generations.”
Google will take over the building on Lasalle street with a build-to-suit agreement, their second location in the city, as their Fulton office currently has nearly 2,000 employees.
Pritzker said Google has always been loyal to the city.
“Google is one of Chicago’s most important companies,” Pritzker said. “You are an integral part of our community and have invested in your future while investing in ours.”
Karen Sauder, president of Global Clients and Agency Solutions and Site Lead of Google in Chicago, called the city home.
“We have been lucky enough to call this our home for the last 20 years, and we have loved being a part of Chicago’s diverse and vibrant communities,” Sauder said. “Googlers love Chicago and all that it has to offer.”
Taxpayers were on the hook for more than $17 million in annual operating costs due to the building’s operational inefficiencies.
