CHICAGO | Cirrus & Cascade (LSE) | 562' & 403' FT | 52 & 37 FLOORS - Page 2

rivernorthlurker · #1 Posted **Aug 17, 2019, 8:47 PM**

Whelp, that was fast.

Yes I read Zerohedge, don't judge me.

SamInTheLoop · #2 Posted **Aug 19, 2019, 7:34 PM**

Curious if Magellan/LendLease are advertising this on 8chan and Sputnik as well?

I like the interiors generally. Looks good.

Just wish Magellan didn't hold this seemingly intractable belief that a residential high-rise needs balconies to move units in Chicago. It's just not a thing.

Also, that sub-9' ceilings don't hinder the movement of units........I puzzle over that one re Magellan as well....

rivernorthlurker · #3 Posted **Aug 17, 2019, 9:17 PM**

Via https://cirruscondos.com/

cozy · #4 Posted **Aug 18, 2019, 3:51 PM**

^ "A natural staircase leads directly to Chicago's lakefront & riverwalk"

What? Lol. Weird to call a staircase natural, and that staircase is on the other side of lakeshore east.. Why not put renderings of the ... nevermind. You guys know what I mean. Funny stuff

HomrQT · #5 Posted **Aug 18, 2019, 6:29 PM**

Quote:

Originally Posted by cozy

^ "A natural staircase leads directly to Chicago's lakefront & riverwalk"

What? Lol. Weird to call a staircase natural, and that staircase is on the other side of lakeshore east.. Why not put renderings of the ... nevermind. You guys know what I mean. Funny stuff

Right? Wouldn't a "natural staircase" be like stacked rocks or something?

the urban politician · #6 Posted **Aug 19, 2019, 9:31 PM**

Quick question:

Why is construction about to start so quickly on a condo tower? Don't they usually need a certain amount of presales before financing?

SamInTheLoop · #7 Posted **Aug 20, 2019, 12:47 AM**

^ I was just going to comment on that very thing.

It is unusual. It could be that LendLease is simply not doing the formulaic Chicago condo tower financing here. Internally financed? Seeking appreciably lower LTV? Foreign debt source? Vista did their own thing as well - they launched with presumably no or very little in the way of pre-sales (relative to typical Chicago deals).

LendLease is also a global development behemoth.
Development pipeline of AUD$71 bil as of end-2018.
Not your typical outfit that's putting up a Chicago condo tower, to say the least.

BonoboZill4 · #8 Posted **Aug 20, 2019, 1:27 AM**

Quote:

Originally Posted by SamInTheLoop

^ I was just going to comment on that very thing.

It is unusual. It could be that LendLease is simply not doing the formulaic Chicago condo tower financing here. Internally financed? Seeking appreciably lower LTV? Foreign debt source? Vista did their own thing as well - they launched with presumably no or very little in the way of pre-sales (relative to typical Chicago deals).

LendLease is also a global development behemoth.
Development pipeline of AUD$71 bil as of end-2018.
Not your typical outfit that's putting up a Chicago condo tower, to say the least.

Perhaps they leveraged the rest of LSE's success and got their financing off that sort of argument with a bank? I could see the argument of it being a money machine with the location and history... if that's something that is even possible to argue that is lol. Otherwise it's probably like you said, internally financed.

Tom In Chicago · #9 Posted **Aug 21, 2019, 6:01 PM**

Quote:

Originally Posted by the urban politician

Quick question:

Why is construction about to start so quickly on a condo tower? Don't they usually need a certain amount of presales before financing?

They only have permits to work on the foundation up to the 3rd floor - or what I assume is upper Harbor Drive - the common components of both buildings. . .

They could continue to build the Cascade building while pre-leasing continues at Cirrus. . . I'd be surprised if they built both towers at the same time, but it's not impossible. . .

How or when they're financing it is a question I can't answer. . .

. . .

BonoboZill4 · #10 Posted **Aug 21, 2019, 6:07 PM**

Quote:

Originally Posted by Tom In Chicago

They only have permits to work on the foundation up to the 3rd floor - or what I assume is upper Harbor Drive - the common components of both buildings. . .

They could continue to build the Cascade building while pre-leasing continues at Cirrus. . . I'd be surprised if they built both towers at the same time, but it's not impossible. . .

How or when they're financing it is a question I can't answer. . .

. . .

Unless my memory is totally failing me, they've been stating they'd build both simultaneously for a while now. I see no reason to not expect both to be built. It's not like we don't see the initial permit of foundation to third floor happen all the time on other buildings that don't have a second tower anyway. No reason that it should indicate them not building both at the same time to me

LouisVanDerWright · #11 Posted **Aug 21, 2019, 6:16 PM**

Given their string of highly successful rental projects (Gino's, wpw, coast, etc) it's probable that Magaellan has enough cash to do whatever the fuck they want here. They probably have nine figures in cash at any given time just marinating in a bank account. They can put up 100% of the costs of this tower, the bank is probably financing both buildings off their rental resume and cash pile as a line of credit.

SamInTheLoop · #12 Posted **Aug 21, 2019, 10:04 PM**

Quote:

Originally Posted by LouisVanDerWright

Given their string of highly successful rental projects (Gino's, wpw, coast, etc) it's probable that Magaellan has enough cash to do whatever the fuck they want here. They probably have nine figures in cash at any given time just marinating in a bank account. They can put up 100% of the costs of this tower, the bank is probably financing both buildings off their rental resume and cash pile as a line of credit.

LendLease is in all probability the real equity money here.

Tom In Chicago · #13 Posted **Aug 21, 2019, 6:27 PM**

Quote:

Originally Posted by BonoboZill4

Unless my memory is totally failing me, they've been stating they'd build both simultaneously for a while now. I see no reason to not expect both to be built. It's not like we don't see the initial permit of foundation to third floor happen all the time on other buildings that don't have a second tower anyway. No reason that it should indicate them not building both at the same time to me

I'm not suggesting that they're /not/ going to build the buildings. . . I'm suggesting that they have yet to file permits to do so. . . I'm sure they'll find the money, but I could see a very realistic scenario where they build Cascade before Cirrus. . .

. . .

maru2501 · #14 Posted **Aug 20, 2019, 11:49 AM**

wow.. it will have the views

aaron38 · #15 Posted **Aug 21, 2019, 4:18 AM**

On financing, let's be honest. The only thing that will drop land values at that spot in Chicago is turmoil to the point that banks get bailed out or it doesn't matter.
So let it ride.

the urban politician · #16 Posted **Aug 23, 2019, 12:51 AM**

^ Sales center?

r18tdi · #17 Posted **Aug 23, 2019, 1:04 AM**

Quote:

Originally Posted by the urban politician

^ Sales center?

The sales center already exists. It's in Aqua.

BonoboZill4 · #18 Posted **Aug 23, 2019, 3:43 AM**

Here's the big update, friends:

Deep down they go!

Here's some foundation stuff:

Set sail! Next port, caissonville

trvlr70 · #19 Posted **Aug 23, 2019, 12:58 PM**

I'm totally intrigued by what's possibly going in on the small corner site.

ChiPlanner · #20 Posted **Aug 23, 2019, 1:27 PM**

Quote:

Originally Posted by trvlr70

I'm totally intrigued by what's possibly going in on the small corner site.

Sales Center
Permit issued: 7/22/2019
Address: 408 E South Water St
NEW CONSTRUCTION OF A TRIPLE-WIDE TRAILER FOR USE AS A 3-YEAR TEMPORARY SALES CENTER FOR LENDLEASE AS PER PLANS.