A California investor has scooped up Conway Park, the two-building office campus on Lake Forest’s Field Drive, for just over $9.3 million, taking control of a heavily discounted suburban complex that has been fighting vacancy and lender pressure. The twin Class A buildings total roughly 225,354 square feet and have been grappling with low occupancy and loan trouble, setting up a classic value-add play for anyone confident they can fill the empty space. Local market watchers say the sale is another sign that opportunistic buyers are circling lightly leased suburban campuses while the broader office market continues to recalibrate.
Deal details
The buyer, identified in reporting as an STG Group venture, paid slightly more than $9.3 million for One and Two Conway Park, according to Crain's Chicago Business. The sale followed lender action and a receiver and auction process that ultimately brought the campus to market. Pricing and offering materials together point to a very low purchase basis for the property, a reality that will shape how the new owner approaches leasing strategy and capital spending.
Buildings and tenants
Listing information on LoopNet shows the two buildings at 100 and 150 N. Field Drive, combining for about 225,354 square feet. Marketing materials distributed by the broker and posted on listing platforms put campus occupancy at roughly 43 to 45 percent. They identified Truist and Stifel as among the largest existing tenants, according to the offering on Brevitas.
Why buyers are circling
Investors from California and other coastal markets have shown they are willing to buy suburban Chicago office properties at distressed prices and try to turn them around, often betting that new leasing activity or relatively modest renovations can bring cash flow back to life. A recent, higher profile example: a California private equity firm paid $59 million for Mid America Plaza in Oakbrook Terrace earlier this year, a transaction covered by CoStar News, highlighting how outcomes can vary widely for suburban assets depending on occupancy and location. For buyers who step into lightly leased campuses like Conway Park, the path to returns typically runs through aggressive leasing, targeted capital improvements and time.
Legal backdrop
The Conway Park buildings had been owned by an affiliate of Pembroke IV and landed in trouble after loan payments fell behind. A foreclosure complaint filed in 2024 alleged that roughly $28 million remained outstanding on the loan, according to reporting. Crain's Chicago Business detailed the prior financing history, and Pembroke IV's portfolio pages list One and Two Conway Park among its former assets. That mix of heavy leverage and falling occupancy is what ultimately pushed the campus into a receiver and auction process.
Frontline's offering materials projected that the property would generate just over $600,000 in net operating income in the prior year, setting a baseline that the new owner will need to improve through lease up or expense cuts, per the listing on Brevitas. With such a low purchase basis, STG and similar private buyers are likely to experiment with a mix of leasing incentives, amenity upgrades and selective capital projects to win tenants back or, if needed, repurpose portions of the space for alternative uses.
