Mavrek Development acquires four-story building for $6.5M, plans retail upgrades
A four-story retail building in Chicago’s upscale Gold Coast neighborhood — long viewed as a possible site for a residential high-rise — has changed hands, with the new owner opting to maintain its retail use for the foreseeable future.
Mavrek Development announced last week that it has acquired the property at 12 to 16 W. Maple St. The Chicago-based firm plans to renovate the building and attract new retail and office tenants.
The property traded for $6.5 million, according to Greenstone Partners, which represented the seller in the transaction. Mavrek made the announcement alongside Mid-America Real Estate, which will handle leasing efforts for the building.
In a joint statement, Mavrek and Mid-America said they aim to take advantage of strong retail leasing demand in the affluent area. Mid-America broker Brendan Reedy noted that the site “offers a rare chance for retailers to secure space in one of Chicago’s most desirable shopping corridors.”
High-end retailers have steadily filled available storefronts along Oak, Walton and Rush streets in recent years. Rush Street, in particular, has seen a flurry of leasing activity tied to major redevelopments of well-known dining destinations.
According to Greenstone broker Malek Abdulsamad, the Maple Street property could appeal to a single large retail tenant. He described the strategy as a relatively safe investment, calling it “a low-risk project.”
Currently, Maple & Ash utilizes portions of the building for storage and locker rooms during special events held on an adjacent lot included in the sale, Abdulsamad said. CorePower Yoga is also among the existing retail tenants.
Mavrek’s acquisition comes roughly five years after former owners David Pisor and Jim Lasky — who previously co-owned the nearby Maple & Ash restaurant — relinquished the property to their lender in late 2020.
Pisor and Lasky were among several developers who had explored plans to build a condominium tower on the site. However, those plans never materialized.
The lender, an affiliate of Calmwater Capital, later engaged Greenstone Partners to market the property. The lender had also considered pursuing zoning approval for a residential tower to boost the asset’s value, Abdulsamad said.
Given today’s elevated construction and financing costs, along with condo pricing that makes new towers difficult to justify, interest shifted toward buyers focused on retail redevelopment.
“At this point, building a condo tower just doesn’t pencil out,” Abdulsamad said. “This is one of the best retail properties in Chicago, and we received six strong offers from qualified buyers without contingencies.”
Property records show that Lasky and Pisor purchased the building for $13.1 million in May 2017 and later borrowed nearly $14.9 million from the Calmwater affiliate. After redevelopment efforts stalled, the lender took control of the property through a deed in lieu of foreclosure in December 2020.
Calmwater Capital did not immediately respond to a request for comment regarding the sale.
Mavrek CEO Adam Friedberg declined to say whether the firm may eventually pursue a residential high-rise at the site.
In recent years, Mavrek has completed the 248-unit Saint Grand apartment tower near the Magnificent Mile and is working on plans to convert a largely vacant office building at 65 E. Wacker Place into 252 apartments.
For the record
The seller was represented by Danny Spitz and Malek Abdulsamad of Greenstone Partners. Leasing for the buyer will be handled by Mid-America Real Estate brokers Paul Bryant and Brendan Reedy.
Source: Original reporting by Ryan Ori, CoStar News.
