GlobeSt.com

September 12, 2006

Palladian Plans $500M Hotel/Residential Condo
By Marita Thomas


Mandarin Oriental Tower CHICAGO

Locally based Palladian Development has finalized plans for Mandarin Oriental Tower, Chicago, a 74-story building in the East Lakeshore neighborhood that will combine 250 condo hotel units with 250 residences. Hong Kong-based Mandarin Oriental Hotel Group will manage the property.

This follows plans for US Mandarin brand luxury hotels and residences scheduled to open in Boston, Las Vegas and Dallas between 2008 and 2009. Other under development include Mexico and Barcelona in 2007, Grand Cayman in 2008 and Macau in 2009.

The Chicago property will be located at an existing parking lot in the East Lakeshore neighborhood adjacent to Millennium Park. There will be separate entrances at 210 N. Stetson and 230 N. Stetson for the hotel and residential components, respectively. A Palladian spokeswoman tells GlobeSt.com the estimated development cost of the project ranges between $400 million and $500 million.

Unit pricing is equally stellar. The 150 Tower Condos, which occupy floors 55 through 74, range from one-bedroom units to four-bedroom layouts. Prices begin at $600,000 and reach to $21 million. Prices for the 100 other residential condo unit on floors 41 through 54 begin at $1.2 million.

The 250 hotel condo suites occupy floors 28 through 40 and range from about 572 sf to 793 sf. Prices for these begin in the $600,000s and reach to $7 million. Hotel unit buyers can enroll in Mandarin?s rental program, which provides management, maintenance and leasing of units when owners are away. Hotel and residential owners share all of the hotel?s amenities, and it is designed as a five-star property.

The lower floors, one through 28, will contain two restaurants, a spa, fitness center and additional service retail along with parking space. Martin Wolf of locally based Solomon Cordwell Buenz is the lead architect.