Skender Starts Conversion of Iconic Magnificent Mile Office Tower Into 320 Luxury Residences

Skender, along with Chicago Mayor Brandon Johnson and other officials, today celebrated the start of the 500 N. Michigan Avenue adaptive reuse project, a transformative conversion of a 400,000-square-foot office tower into 320 residential units on Chicago’s iconic Magnificent Mile. Developed by Connecticut-based Commonwealth Development Partners and designed by GREC Architects, the 24-story building will be reimagined as a vibrant residential community with world-class amenities, with completion targeted for late 2027.

Originally designed by Skidmore, Owings & Merrill (SOM) and completed in 1968, the 304-foot-tall tower sits at the corner of N. Michigan Avenue and E. Illinois Street. The conversion will transform vacant floors 3 through 23 into 320 residential dwelling units, while a new 25th floor featuring indoor and outdoor amenity space — including a rooftop pool — will be constructed atop the building, adding 17 feet to its height. Level 24 will house mechanical systems, and Floors 2 through 5 will include additional residential amenity programming. Ground-floor retail will be retained, preserving the building’s longstanding role as a Mag Mile landmark.

Skender’s scope encompasses full interior demolition of the existing vacant office spaces, elevator modernization throughout all 25 floors, and the complete buildout of residential units and amenity spaces. The project represents one of the most significant office-to-residential conversions underway in Chicago’s downtown, part of a broader city initiative to address office vacancy and expand the supply of high-quality urban housing.

“Projects like 500 N. Michigan represent exactly the kind of work Skender was built for,” says Alex Panici, vice president, Skender. “Adaptive reuse conversions demand a level of precision, creativity and problem-solving that goes far beyond standard construction, because you’re working with an existing structure that has its own history, quirks and constraints. Our teams have deep experience navigating exactly these challenges, from complex MEP retrofits and elevator modernization to phased demolition sequences in buildings that remain occupied. We’re proud to partner with Commonwealth Development Partners to breathe new life into this Magnificent Mile landmark and contribute to Chicago’s continued downtown transformation.”

Skender brings a proven track record of complex adaptive reuse and multifamily construction to the project. In addition to this office-to-residential conversion, the firm’s growing portfolio of building conversions includes:

• 210 N Peoria – Skender completed a highly unusual residential-to-office conversion when 89 loft apartments in Chicago’s 1880s Schwinn bicycle factory building were transformed into a premium mixed-use office and retail space.
• Maywood Supportive Living – Skender transformed a 93-year-old retirement home in Maywood, IL into a 100-unit affordable assisted living facility with modern amenities.
• Elgin Tower – Skender transformed a 1929 Art Deco building in Elgin, IL, previously a bank and office, into 44 market-rate apartments.

Skender’s Lean construction methodology, rigorous safety program, and integrated field operations teams are central to delivering these complex projects on schedule and on budget.