Downtown post office building owner purchases Third Ward commercial building

Acquired for $9.65 million

214-228 E. Erie St.
214-228 E. Erie St.

Last updated on January 3rd, 2020 at 11:59 am

The Chicago-based investor and developer that plans to redevelop the downtown Milwaukee Post Office building has purchased a commercial building in the Historic Third Ward.

According to state records, an affiliate of R2 Companies purchased the 88,900-square-foot building at 214-228 E. Erie St. for $9.65 million. The building, constructed in 1891, is assessed at $7.27 million, according to city records.

R2 purchased the building from an affiliate of Chicago-based real estate development and investment firm Golub & Co.

This makes at least the third property that R2 owns in Milwaukee. It also purchased The Tannery, a multi-building office complex in Walker’s Point, for $24.5 million in 2018.

The company also owns the post office facility at 341 W. St. Paul Ave., and in 2016 unveiled plans to dramatically redevelop the site. R2 sought to evict USPS from the building over maintenance issues but that lawsuit was recently dismissed.

The postal service, meanwhile, is working to construct a 423,000-square-foot mail processing annex in Oak Creek, which could eventually expand to 935,000 square feet. The new building is meant to replace an existing operation out of a facility USPS is leasing in Oak Creek, but if expanded it would consolidate all Milwaukee-area operations — including those currently located in the downtown facility.

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Alex Zank
Alex Zank covers commercial and residential real estate for BizTimes. Alex previously worked for Farm Equipment magazine and also covered statewide construction news at The Daily Reporter. He graduated from the University of Wisconsin-Eau Claire, where he studied journalism, political science and economics. Having grown up in rural western Wisconsin, Alex loves all things outdoors, including camping, hiking, four-wheeling and hunting.