News release
JLL Capital Markets led the sales efforts for Hawthorne Commons, anchored by Northwestern Medicine, in Vernon Hills, Illinois
CHICAGO, Sept. 10, 2024 – JLL Capital Markets announced today that it has completed the $18.75 million sale of Hawthorne Commons, a 48,942-square-foot, Class A mixed-use/medtail property anchored by Northwestern Medicine in Vernon Hills, Illinois.
JLL represented the seller, a joint venture between Centrum Realty and Hubbard Street Group. Elliott Bay Capital Trust, in a joint venture with Pantheon, purchased the asset.
“This property’s prime location in the Vernon Hills retail corridor and its best-in-class anchor tenant, Northwestern Medicine, presented a compelling investment opportunity,” said Christian Whipple, CEO, Elliott Bay Capital Trust. “We are excited to be part of a market that is experiencing dynamic growth and redevelopment, particularly with the transformative Hawthorn Mall mixed-use project adjacent to the property. This acquisition not only reflects our strategic approach to identifying high-value assets but also reinforces our confidence in the future of this vibrant submarket of Chicago.”
“We are proud of the completed project and believe it reflects strong collaboration with the village board,” added Larry Powers, Centrum Realty & Development. “We value our relationship with Northwestern Medicine, and it was important to us that the next owner of this property understood the needs of medical office. From the onset of our discussions, it was clear that Christian had the ideal background and expertise to own and manage this asset.”
Completed in 2016, Hawthorne Commons is a two-story building featuring a mix of medical, retail and restaurant offerings. The property is 88% leased to eight tenants, including anchor tenant Northwestern Medicine, T-Mobile and Uncle Julio’s Mexican Restaurant.
The property sits on a 2.86-acre site at 850 N Milwaukee Ave. in an affluent North Shore community of Chicago where the average household income is approximately $153,000. Hawthorne Commons is positioned at a highly visible intersection seeing more than 61,000 cars per day and is within a dominant retail corridor of Vernon Hills. Within a one-mile radius of Hawthorn Commons there is more than four million square feet of institutionally owned Class A retail, including Mellody Farms and Hawthorn Mall, which see more than six million visitors per year and drive exceptional traffic to the property. The immediate area has also seen a surge of residential development with close to 1,000 new units being delivered or under construction.
The JLL Capital Markets Investment Sales and Advisory team representing the seller was led by Senior Managing Director Alex Sharrin, Managing Director Keely Polcyznski and Senior Director Michael Nieder.
“There has been a growing trend over the past few years towards medtail properties, which are traditional retail assets anchored by healthcare tenants ranging from flagship health systems to local / regional operators that want to be more in sight / in mind for their consumer,” Sharrin said. “The defensive nature of the healthcare industry makes these assets extremely attractive to a variety of investors and we continue to see more and more of this subtype emerge across the U.S.”
JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm’s in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.
For more news, videos and research resources, please visit JLL’s newsroom.
– ends –
About Centrum Realty
Centrum Realty is a Chicago-based real estate investment company founded more than 30 years ago by Arthur Slaven. For more information, please visit: centrumrd.com.
About Hubbard Street Group
Hubbard Street Group has more than 95 years of experience developing more than $3 billion in real estate across seven different states. For more information on Hubbard Street Group, visit: hubbardstreetgroup.com.
About Elliott Bay Capital
Elliott Bay Capital Trust is a real estate investment company that acquires, develops and manages healthcare real estate across the United States. Elliott Bay is one of the country’s most active healthcare real estate investors and manages a diversified portfolio of mission-critical outpatient properties leased to leading health systems, national sector-leading companies and regional care providers. Elliott Bay invests in properties that are mission-critical to healthcare providers’ operations, provide superior services to patients and are integral for the future of healthcare delivery.
About Pantheon
Pantheon’s real estate strategy launched in 2021 to invest in real estate properties, portfolios and platforms by providing strategic liquidity and growth capital solutions, with a focus on sectors that benefit from structural, secular tailwinds and societal shifts. To learn more, please visit: pantheon.com.
About JLL
For over 200 years, JLL (NYSE: JLL), a leading global commercial real estate and investment management company, has helped clients buy, build, occupy, manage and invest in a variety of commercial, industrial, hotel, residential and retail properties. A Fortune 500® company with annual revenue of $20.8 billion and operations in over 80 countries around the world, our more than 110,000 employees bring the power of a global platform combined with local expertise. Driven by our purpose to shape the future of real estate for a better world, we help our clients, people and communities SEE A BRIGHTER WAYSM. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.
Contact: Kristen Murphy, Director, Public Relations
Phone: +1 617 848 1572
Email: Kristen.Murphy@jll.com
The full content of this article is only available to paid subscribers. If you are an active subscriber, please log in. To subscribe, please click here: SUBSCRIBE
