As the real estate market sputters back to life, small condo developments have resurfaced in previously-hot neighborhoods. But today's announcement really blindsided us: a New York-based investment tag team is poised to purchase the Congress Plaza Hotel for $275M and convert some or all of it to condos. So reports Crain's, without a ton of supporting details. The 16-story landmark building at 520 S Michigan Ave has 871 rooms— fit for three or four hundred condos, one would think. Initially the venture—of Aimcap and Halcyon Development—will continue to operate the hotel and look for ways to boost revenue (current ownership has been battling with a union since 2003, which may abruptly end with a sale). After a year or two condos will be on the menu for some portions of the hulking structure, with new retail as well. If this is as real as it sounds, expect more details in the near future.
·Buyer plans to convert Congress Plaza to condos, retail [Crain's]