Cushman & Wakefield’s Allen McMurtry and David Kliewer Negotiated the Sale of The Clare, an Iconic Chicago High-Rise and One of the Nation’s Most Prestigious Senior Living Communities
CHICAGO, IL, January 10, 2020 — Cushman & Wakefield has negotiated the sale of The Clare, a luxury, 338-unit high-rise continuing care retirement community (CCRC) in the heart of Chicago’s affluent Gold Coast neighborhood.
The Tampa, FL-based Cushman & Wakefield Senior Housing team led by Executive Director Allen McMurtry and Senior Director David Kliewer represented a joint venture between New York-based alternative asset manager Fundamental Advisors LP and Harrison, NY-based owner and developer Senior Care Development, LLC (SCD). Under the direction of the ownership team, occupancy increased from ±34% at the time of acquisition in 2012 to the current occupancy of ±99%.
Des Moines, IA-based senior living company LCS, which was a minority investor in the SCD acquiring entity in 2012, purchased the asset as the new majority owner with SCD retaining a minority investment moving forward. Life Care Services, the management arm of LCS that had previously managed the property under the sellers’ ownership, will remain as the manager.
The Clare is a high-end CCRC with luxury interiors, offering residents premier views of the Downtown Chicago cityscape and Lake Michigan, as well as walkable access to nearby downtown amenities, all within a full continuum of care. Located within the Gold Coast, the seventh most affluent urban area in America, The Clare is situated one block from The Magnificent Mile and just over a mile from Navy Pier.
At 55 East Pearson St., The Clare was developed in 2008, and is a ±700,000-square-foot, 53-story high-rise. The property’s unit mix includes 248 independent living apartments, 26 assisted living units, 14 memory care units and 50 skilled nursing beds. The Clare offers a selection of one-, two- and three-bedroom independent living units averaging ±1,200 square feet. It was ±99% occupied with a waiting list at the time of sale.
The Clare shares a portion of the development with Loyola University’s Water Tower Campus. Loyola and The Clare have a lease agreement for the parcel’s land/development rights on which the building was developed.
“The Clare is widely recognized as the premier Senior Living high-rise in the nation. The successful turnaround of this trophy asset represents a tremendous accomplishment for the senior living industry and, in particular, the entrance-fee CCRC operating model,” said Mr. McMurtry. “The team of Fundamental, SCD and LCS executed a multi-year strategic plan resulting in not only an exceptional financial outcome, but a thriving community for the residents and staff of The Clare.”
Added Mr. Kliewer, “The Clare is truly a one-of-a-kind senior living asset in one of the most affluent and highest barrier-to-entry locations in the country. With Life Care Services continuing to operate the community going forward, it is well-positioned for future success.”
About Cushman & Wakefield
Cushman & Wakefield (NYSE: CWK) is a leading global real estate services firm that delivers exceptional value for real estate occupiers and owners. Cushman & Wakefield is among the largest real estate services firms with approximately 51,000 employees in 400 offices and 70 countries. In 2018, the firm had revenue of $8.2 billion across core services of property, facilities and project management, leasing, capital markets, valuation and other services. To learn more, visit www.cushmanwakefield.com or follow @CushWake on Twitter.