A low-rise medical office at 2800 N. Sheridan Road, at the corner of Diversey Parkway and Sheridan, just west of Diversey Harbor, may be on borrowed time. A Chicago developer has bought the six-story building and is pitching a plan to replace it with an approximately 300-unit apartment tower that would include some ground-floor retail.
If it moves forward, the project would significantly reshape a key lakefront gateway that sits between Lakeview and Lincoln Park. For now, everything is preliminary and will hinge on community meetings and a full round of city approvals.
According to CoStar, Continuum Development paid $17.25 million for the property, which Ascension Health sold this week, with Cushman & Wakefield brokers Cody Hundertmark and Tom Sitz representing the seller. The building currently operates as a medical office complex near the Lake Michigan shoreline. Continuum has not filed final plans and says the number of apartments and the building’s design are still subject to change.
“This corner represents a gateway into Lakeview but is currently underutilized,” Evan Meador, co-founder and managing member of Continuum, said in an emailed statement. The firm told CoStar it expects to begin public meetings in 2026 as it works with Chicago Development Partners on design. Continuum also says the envisioned tower would fit within the site’s existing zoning density, and that neighborhood groups, along with the alderman’s office, will be involved in the review.
Continuum's recent buys
Continuum has been busy around the region. In September, the firm paid $31.2 million for Church Street Plaza in Evanston and has proposed a 27-story, 358-unit tower at that site, according to Taylor Johnson. The company says its development arm operates as Continuum Development and that the business grew out of Michigan Avenue Real Estate Group.
What comes next
Knocking down the existing medical offices and putting up a new tower will require city permits and neighborhood review. For this stretch of the lakefront, the 44th Ward office oversees local outreach and development processes. The ward’s website explains how infrastructure and landmark reviews are handled in the area. The Cushman & Wakefield brokers who worked on the sale are part of a Capital Markets team that has handled several major Chicago transactions this year, according to Connect CRE.
Why it matters
An approximately 300-unit building at Diversey would add a sizable batch of new rentals near the lakefront and could spark fresh interest in redeveloping other sites along Sheridan Road. As the approval process plays out, neighbors are expected to focus on building height, traffic, and how any ground-floor retail or public spaces might serve the surrounding community.
