Chicago-based
North Wells Capital, the same firm that redeveloped the former Boston Store building in downtown Milwaukee which is now occupied by a Kohl's store and Fiserv's corporate headquarters, is planning to develop a new office building in Deer District.
The building is planned for a site on what's known as Block 6 of Deer District, located at West McKinley and North Vel R. Phillips Avenues, according to multiple commercial real estate industry sources. The southern portion of the block is occupied by The Trade hotel, which opened in 2023, but the northern two-thirds of the block remains vacant. The land is currently owned by the
Milwaukee Bucks.
The Bucks are the lead developer for Deer District and have long included an office building in the district's master plan.
According to multiple sources, the Milwaukee Bucks would move their offices to the building from the nearby Schlitz Park complex.
North Wells Capital and Milwaukee-based commercial real estate firm
Founders 3 are in talks with other potential anchor tenants to occupy the Deer District office building, according to sources.
When concept plans for Deer District were released by the Bucks in 2019, it was envisioned that office buildings would be part of the 30-acre redevelopment effort. However, no office building plans have moved forward there so far.
There is still a listing for office space on Deer District's website that says 242,500 square feet of office space could be developed. A source said North Wells Capital's Deer District office building could total around 200,000 square feet. That would be similar in size to the 200,000-square-foot Two-Fifty office building at 250 E. Wisconsin Ave. in downtown Milwaukee.
"Our intent for Deer District has always been to have a best-in-class office building," a Milwaukee Bucks spokesperson said. "We continuously are exploring this potential and there has been significant interest as of late."
North Wells Capital and Founders 3 did not immediately respond to requests for comment.
[caption id="attachment_452020" align="aligncenter" width="1024"]
A rendering of the conceptual plan for Deer District in 2019. Block 6 is at the right half of the image. Rendering from Eppstein Uhen Architects[/caption]
North Wells Capital is a private equity real estate company that focuses on office and multifamily investments including value-add, redevelopment and new construction, according to its website.
The firm redeveloped the HUB640 building in downtown Milwaukee's Westown neighborhood. The building is now home to a Kohl's store and the
headquarters of fintech company Fiserv.
The Deer District office building could be the first new office development in downtown Milwaukee since the COVID-19 pandemic rattled the office market. Earlier this summer, the
City of Milwaukee selected Madison-based development firm Neutral to redevelop the Marcus Performing Arts Center parking garage with a mixed-use project that could include 190,000 square feet of office space, though a detailed timeline for that project has not been released.
Office brokers told BizTimes the possibility of a new office building downtown is a result of the flight to quality trend as more companies opt for higher-quality office space — often in downtown Milwaukee — and the supply of existing class A downtown office space, especially contiguous space, fills up.
North Wells Capital's development comes as Madison-based Frank Productions is
currently under construction on a live music venue in Deer District, south of Fiserv Forum, and Milwaukee-based J. Jeffers & Co. is planning a 2025 construction start on a
mixed-use apartment building on Block 5, which is immediately east of Block 6.
