Harry Weese-designed office tower will get a $25M atrium renovation designed to lure renters with amenities

The owners of 200 S. Wacker Drive are spending $25 million to modernize the tower in a growing trend for building owners looking to attract new tenants in a downturned office market.

Chicago-based Glenstar and private investor Patrick Halloran say they will transform the Wacker Drive office tower with a multi-floor amenity package and enhanced outdoor features, including landscaping, pavers and an expanded patio overlooking the riverwalk.

Renovations to the 1980s Harry Weese-designed office tower are scheduled to start later this month and finish by the end of the year.

There have been light cosmetic projects completed at 200 S. Wacker, such as installing new floor tiles, but nothing of this scale, said Michael Klein, co-founder and managing principal of Glenstar.

“When we put our plan together … what became very apparent was we want to create something that feels [like] hospitality,” Klein said.

Renderings show high-end amenities that Klein said were becoming popular before the COVID-19 pandemic and a broad shift to remote work.

After the pandemic, many investors were unsure of how much to invest in their buildings. But new construction in Chicago and other markets signal that clients want new, modernized spaces with hospitality-like amenities, Klein said.

A renovated three-story atrium lobby will let in more light from along the river and welcome visitors to the building with warm wood tones. Existing ground floor tenant Mojo Coffee will remain and be included in the renovations.

Amenities will “unfold vertically” across five floors and further invite users in, according to Glenstar. The real estate firm said it designed spaces for “leisure, wellness and connection” — including a golf practice facility with two simulators, a full-service bar that opens onto the outdoor patio, a parlor gaming area, enclosed library and a listening lounge.

The entire third floor will become a fitness club, with spa-inspired locker rooms, cold plunges and infrared saunas.

Klein said the idea behind 200 S. Wacker’s new amenities is similar to other Glenstar properties. The firm owns Presidents Plaza, a four-tower business center located near O’Hare International Airport, in addition to a handful of other properties in Illinois and Texas. Some of the firm’s suburban properties have an amenity package that’s more spread out. Klein said the vertical approach at 200 S. Wacker will make it feel more like a club.

It’s a tough time to be an office owner in Chicago right now. Research from commercial real estate firm Cushman & Wakefield shows that the city’s office vacancy rate rose steadily over the course of 2025, ending the year at 26.9%. That figure has been on an uptick since mid-2020, according to the firm.

And absorption — the amount of office space taken over by companies versus space that’s gone back on the market — has seen downward figures since 2023. More office space was brought back onto the market than leased for the ninth consecutive quarter, according to Cushman, totaling negative 5.2 million square feet during 2025.

But the news isn’t all negative. The firm found leasing gained momentum in the final quarter of 2025, especially in “trophy” properties that are newer construction and contain high-end amenities. The vacancy rate for trophy properties was well below the market average at just 15.7%, according to Cushman. The West Loop also continues to be a bright spot, accounting for 52.8% of new leasing in 2025.

Klein identified two trends in downtown Chicago leasing: A flight to quality and location. Location usually means close proximity to public transportation, a benefit for both city dwellers and suburban officer workers who take the train to work.

“I think our location is a little better, because we're on the river,” Klein said. “But we’re already seeing it: The buildings that are well located, the buildings that are well amenitized, are going to lease. And if you don't have both of those things, it's going to be very difficult.”

Klein said he has already seen buildings such as 333 W. Wacker Drive have success after renovations. Another Wacker Drive building, 123 N. Wacker Drive, saw its leasing go up 17% in a year. Sterling Bay CEO Andy Gloor attributed the increase to building renovations.

Glenstar says 200 S. Wacker is currently about 57% leased. The firm is already seeing interest from companies after announcing the modernization effort.

Klein has faith in the building, which his firm and Minnesota-based investor Halloran purchased last year. The purchase price was undisclosed, but Crain’s Chicago Business estimated the deal was around $68 million.

“It's got amazing views everywhere, and it's got really good light and air,” Klein said. “We believe that it's going to lease.”