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Pepper Construction Selected for $170M Mixed-Use Redevelopment of Water Tower Place

MetLife Investment Management plans a $170M redevelopment of Chicago's Water Tower Place to transition from a retail-heavy mall to a mixed-use property.

By Colin Percy · May 19, 2026

Water Tower Place in Chicago is set for a $170-million revitalization, with construction slated to begin in 2027 and reach substantial completion by 2028. The redevelopment aims to transform the eight-level shopping center by consolidating retail and dining options into the first three floors. The upper levels will be repurposed to accommodate office, medical, and other commercial uses, reflecting a broader market shift toward urban mixed-use environments.

Pepper Construction has been selected as the general contractor, with architectural services provided by Neumann Smith. The design includes a full renovation of the building's entrance, featuring high ceilings and improved natural light to enhance visitor experience. Existing retailers will remain operational throughout the construction process.

Companies mentioned

architect

Neumann Smith

owner

MetLife Investment Management

general contractor

Pepper Construction

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