Edwards Realty Company Buys Block 37 Retail Mall in Downtown Chicago for $30 Million
Edwards Realty Company has acquired the retail component of Block 37 in downtown Chicago for $30 million, the company announced Wednesday. The deal, which closed Tuesday, Oct. 6, 2026, transfers the five-level shopping mall at 108 N. State St. from CIM Group to the Orland Park-based, Chicago-area real estate firm.
Edwards Realty Company plans to revamp the property and reposition it as an experiential destination in the Central Loop.
Block 37 Sale Details
The sale covers the retail portion of Block 37, which occupies the block bounded by North State, West Washington, North Dearborn and West Randolph streets in Chicago's Loop. The mall totals approximately 275,373 square feet across five levels, and the $30 million price implies roughly $109 per square foot.
The property is approximately 65% leased. The separate 38-story, 690-unit Marquee apartment tower on the block is not part of the transaction, meaning Edwards Realty Company is acquiring the mall rather than the entire mixed-use development.
The deal represents a significant reset from the property's earlier history. CIM Group acquired Block 37 in 2012, after Bank of America foreclosed following developer Joseph Freed & Associates' default on debt estimated at $206 million. At that time, the roughly 275,000-square-foot mall was about 30% occupied. CIM later added the residential tower in 2016 and improved the retail component.
Edwards Realty Company's Plans for the Chicago Mall
Edwards Realty Company intends to move Block 37 away from a conventional mall format and toward what the firm describes as a modern experiential destination. Planned changes include:
- Maintaining retail uses on the first and second floors.
- Repurposing the vacant third floor, formerly occupied by the Latinicity food hall, for entertainment and experiential uses.
- Recruiting additional retailers, restaurants and experience-based operators.
- Adding culture, media, strategic partnerships and year-round programming.
- Renaming the property, with a new name yet to be announced.
Current and recently reported tenants include AMC Theatres, Five Iron Golf, First Ascent Climbing Gym, Magnolia Bakery, Sephora, Akira, Zara, Banana Republic Factory Store and State Street Souvenirs.
Downtown Chicago Retail Market Context
Block 37 sits in the State Street retail district, across from Macy's flagship store. The property is a prominent Loop asset that has often functioned more as a passageway than as a major draw for residents and tourists.
Downtown Chicago retail has faced elevated vacancy. The downtown retail vacancy rate was 29.76% two years earlier, improving modestly to 28.53% in 2025. Block 37's approximately 65% occupancy leaves substantial space available for leasing and repositioning.
The adjoining Marquee tower, though excluded from the sale, supplies approximately 690 residential units and more than 1,000 residents near the mall.
Outlook for Block 37 Under Edwards Realty Company
The acquisition is a value-add retail play: Edwards Realty Company is taking on current vacancy and the cost of repositioning in exchange for control of a highly visible full-block property in the Central Loop at a basis of roughly $108 to $109 per square foot. The results of the planned leasing, programming and redevelopment efforts will determine how the property performs as a destination in the Loop's retail corridor.
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