Plans have been announced for a major remodel of Water Tower Place at 835 North Michigan Avenue in the Magnificent Mile area. The historic vertical mall has been one of the core anchors of the shopping district since its completion in 1975. The remodel is being led by the mall’s current owner, MetLife Investment Management.
Current view of Water Tower Place via Google Maps
Often considered the first vertical mall in the world, Water Tower Place was originally conceptualized to bring the essence of a suburban mall into the city, a concept that has since been recreated multiple times on the strip. Since then, the eight-story mall has experienced varying levels of popularity, struggling in recent years to maintain foot traffic and retain tenants.
As a result, the mall’s previous owner, Brookfield Properties, surrendered the property to its lender, which is now the current owner. Since taking control, MetLife has explored various ways to reposition the property, with plans becoming more concrete following the announcement of a $170 million renovation. Efforts began a few years ago, with MetLife marketing the upper five floors as office or medical space separate from the mall.
Interior of Water Tower Place via Themagnificentmile.com
This will leave the lower three floors for retail use. The renovation aims to fully activate the first two floors, which are currently bypassed by escalators leading directly to the third floor. This will be achieved by removing the escalators and creating a new pedestrian arcade that cuts through the structure, connecting to the Ritz Carlton and the Broadway Playhouse. Surrounding the arcade will be reconfigured retail space aimed at apparel brands seeking spaces ranging from 1,000 to 7,000 square feet.
Rendering of Water Tower Place renovation via MetLife
At the center, a reconfigured atrium will vertically cut through the mall. A new restaurant component is planned for the mezzanine level, utilizing the former FoodLife space and offering high visibility. This space will be targeted toward local restaurants. Additionally, within the former 324,000-square-foot Macy’s, the first two floors will be combined for a new anchor tenant, while the third will be reserved for a future experiential tenant.
An updated entrance and new signage will also be added along Michigan Avenue. Construction is expected to close most of the mall’s interior, though the owners plan to accommodate tenants as much as possible. The mall is currently around 70 percent occupied, excluding the Macy’s space. Plans are still in development, with construction set to begin in 2027 and be completed by the end of 2028.
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If only they could do something about how it looks from the outside. Hideous exterior design since new and always has been obstructive of the Mag Mile on that tight end near the actual water tower. Would love to see the stoic grey marble be interspersed with windows at least, or a partial demolition to alleviate mall space that’s hard to rent and rework the podium into a terraced array of setbacks that complement the tower. With that re-massing the programming could take on a mix of retail and residential perhaps.
I am guessing we will see that for a portion of the floors being converted to office & medical space. Unlikely for the retail & “experiential” tenant floors.
Absolutely agree, you touch on exactly why parking podiums are also so hideous from the street level – same issue. They destroy street vibrancy and visual appeal, feeling more like a fortress than a welcoming place that invites foot traffic inside.
There are very few things that should be legislated in zoning code, but fortress wall podiums of any kind should be made illegal.
Agree with the above comment. Do something with the giant cube on Michigan Avenue. There could be a real opportunity here to reimagine the space and make something magnificent. Wish they would hire an amazing architecture firm to think outside the box and create an incredible destination. The foot traffic would support it if done well.
I’m sure this comment section will be filled with negativity, for whatever reason…
It’s great to see a large investment into Water Tower, especially while Michigan Ave continues to see a boost in leasing activity and foot traffic. Hope this turns out to be a great project!
It is great to see investment indeed, but that doesn’t mean that some criticism isn’t still called for.
More good news for mag mile! I hope it succeeds. The foot traffic down there lately has been crazy.
Great news, I think this is a good plan. Also make sure there is security at the entrance and a rule against allowing unaccompanied teens would be an important step to improve the shopping environment
Man, let kids be kids.
You’re allowed to say that as long as you pay for the damaged glass, floors, and for the cost of theft at the next ‘teen takeover’.
Until that’s the case, this is a private property and they are well within their rights to have a policy limiting access from teens who aren’t accompanied by adults. Many malls already have such a policy. I’m glad for them.
I want Mag Mile retail to thrive. And unfortunately today, because of the disgusting conduct of too many young people, we are forced to limit access in order to allow us all to have nice things.
This is America, not Russia. You can’t stop people from entering a mall because they “look” like teenagers. And who do you think will be stopped more often,being realistic, white teens or Black teens? You’re asking for it.
Very curious about the phasing of this project. How will the existing retailers remain open during this project? For example, I swear that one out of every three bags I see someone carrying on Michigan Ave is from the Lego store. I can’t imagine a place that popular will want even a moment of disruption.
The article says the new interior will connect to the Four Seasons – I assume they mean the Ritz Carlton, as the Four Seasons is across and up the street in the 900 N Michigan shops. Minor error.
Good catch! Updated
If the mall is 70 percent leased, why would they chop off five floors? On the other hand, my dentist is in one of the two floors of offices in the building. Most of the tenants are medical or dental professionals. Health care is one of the few services that must be delivered in person. Water Tower Place still retains enough of its glamor that doctors and dentists want space in the building as it gives them immense prestige. I am glad the new owner is going to connect the hotel to the mall. The separation of the three elements of the building: mall, hotel, and residences seemed to be a mistake. The developer corrected this when he built 900 N. Michigan 15 years later, another skyscraper with an indoor mall, hotel, offices, and residences. For those complaining about the fortress appearance, it is useful to remember that America had a hostel attitude toward big cities in the 1970s and 1980s. President Ford is well known for his 1975 refusal to approve an emergency lending facility for New York city as it faced the possibility of defaulting on its municipal bonds and declaring bankruptcy. The entrance of Presidential Towers in the West Loop that opened in 1986 was fortress like. A new owner has tried to open it up in recent years.
This building should be torn apart, not renovated. One of the ugliest structures anywhere in the city.
So,they’re basically copying 900 N. Michigan’s first floor layout. Good plan. They survived Covid and urban unrest while the others went out of business.