Construction loan monitoring for the renovation/redevelopment of a historical industrial building into a concert venue and office development in Chicago, Illinois.
One of the many iconic buildings located along the highway into downtown Chicago, the Morton Salt Shed was vacant from 2015 to 2020 before interest was shown in the capabilities of this distinctive building. Originally a storage and distribution space for salt, the transformation of the building created an opportunity for a unique multi-space concert venue and associated office space.
The renovation of this 100-year-old industrial complex presented various challenges in preserving the structural components while accommodating updated interior spaces. AKT Peerless consistently followed up with the general contractor and developer on updates regarding design modifications and project schedules to assess any impacts on the construction budget. Additionally, municipal requirements were routinely discussed due to the nature of this type of construction. AKT Peerless provided the lender with ongoing on-site expertise in meticulous progress monitoring and initial cost documentation. Furthermore, AKT Peerless effectively communicated any potential budget changes to the project and offered insights into new secondary scopes of work as the project progressed.
The indoor concert hall seats 3,600 people, while the renovated outdoor concert area has a capacity of 5,000. The complex also includes several renovated outlot structures utilized for retail and restaurant tenants, accommodating events throughout the year. Additionally, the interior provides commercial office spaces for nine tenants. The shell of the project was successfully completed in June 2023, with growing interest from potential tenants every day. Remarkably, the project remained within budget, and this new venue has already begun to influence the value of the surrounding Chicagoland area by hosting various newsworthy concerts and events.
