John L. Marks wanted to purchase and redevelop the commercial property at Marina City as early as 1992.

His company, Mark IV Realty, had been in business since 1979. In 1988, it acquired a poorly-maintained, 37-percent occupied 198-unit apartment complex in Vail, Colorado. He not only renovated, but re-positioned its marketing, turning away from individual renters and toward the corporate housing market. For the next 15 years, the complex was 100-percent occupied.

In 1992, Mark IV Realty acquired an abandoned 135,000 square foot industrial property on Chicago’s near north side and turned it into the city’s first Home Depot store.

In 1993, after two failed attempts by other developers to acquire Marina City’s commercial property, Marks saw his chance. Another of his companies, Niki Development Corporation, named after his wife, was appointed property manager by the bankruptcy trustee, Ilene Goldstein. A contract for Marks to buy the property, good until October 11, 1994, was approved in federal bankruptcy court.

Marks would buy the property for $3 million, which included a $700,000 electric bill to be paid to Commonwealth Edison and a $700,000 settlement with Cook County for property taxes that at one time exceeded $7 million.

The only holdup was a rival group that wanted to buy the property, too – a group that included Bertrand Goldberg. Along with Marina Towers Condominium Association, Marina City Venture hired former United States Attorney Anton R. Valukas, a partner (now chairman) with the law firm Jenner & Block, to look into allegations of fraud with the Marks contract.

Among other issues, they were concerned about why the tax-delinquent property did not go to auction. They asked for a court hearing on the matter.

(Left) Anton R. Valukas

Goldstein said bankruptcy regulations take precedence over other statutes that normally would have disposed of the property, so it was not unusual that a contract was signed with a developer instead of selling to the highest bidder at an auction. She also pointed out that Marina City Venture made a bid that was rejected by the bankruptcy court before the Marks contract was approved.

Around this time, October 1994, the plaza around the towers was, said Roger Levin, president of Marina City Venture, “a sea of broken concrete and asphalt.” Rotting stairs leading to the walkway along the river had been closed for more than three years. A portion of the steel-mesh vehicle ramp at the State Street entrance, opened after repairs were made to rusting supports a year earlier, was closed again.

In early November 1994, the commercial property was sold for $3.35 million to John Marks, who announced plans for a $70 million facelift.

“Our goal is to return Marina City to the great complex it once was in the eyes of many people,” said Marks.

The Chicago Tribune said the acquisition by Marks “almost certainly dashes any hope by Bertrand Goldberg, the complex’s architect and one of the acknowledged geniuses of 20th Century design, to be involved in the renovations.”

According to bankruptcy trustee Goldstein, Marks had the inside track with a solid cash offer – and that as property manager he had spent thousands of dollars of his own money to keep the complex afloat.

By this time, the county had backed out of a deal to accept $700,000 as payment for past-due property taxes. The title Marks was given was free of liens, so this was a detail to be worked out between Goldstein and Marina City’s creditors.

Marks would keep the theater building, possibly convert the office building to another use, add three or four restaurants, build new entrances at State and Dearborn Streets, and refurbish the river walkway. The unused skating rink would be covered and become part of the restaurant space.

Although he respected Goldberg’s design, Mark said he did not plan to consult with him about the redevelopment.

“I have due respect for his creative genius in creating buildings like this,” Marks told the Chicago Tribune. “Our decisions on the changes to be made will in the long run basically go with the architectural genius of what he created there.”

Levin (now a real estate developer in Northbrook, Illinois) broke the news to Goldberg, who was said to be “very disappointed and surprised.”

Marks said he would begin cosmetic improvements to the lobby area in the next month or so, and that “individual unit owners and residents will be pleased” with the redevelopment.

“We’re going to electrify the city with this”

On September 14, 1995, Marks and entrepreneur Isaac Tigrett announced plans for a 1,500-seat concert hall, 400-room hotel, nightclub, restaurant, and a dock for a boat that would provide music and live entertainment on the Chicago river.

Born in Jackson, Tennessee in 1947, Tigrett had started the first Hard Rock Cafe, a theme restaurant that combined rock music, memorabilia, and American cuisine. In 1988, Tigrett sold his interest in Hard Rock Cafe and used money from the sale to establish medical facilities in India. Isaac Tigrett

In 1992, he started HOB Entertainment, Inc., with actor Dan Aykroyd and designer James Cafarelli. Differences of opinion with his fellow founders would prompt Tigrett to leave this venture in 1997.

Investors included Harvard University, The Walt Disney Company, and Chicago restaurant developer Larry Levy. HOB is currently owned by Live Nation, Inc., which was once a part of the Clear Channel Communications empire.

Tigrett’s wife, Maureen, had died the previous year. Maureen Tigrett had previously been married to former Beatle Ringo Starr.

Tigrett arrived at the September 14 groundbreaking ceremony in a vintage railroad car, on tracks located below the plaza that led to a loading dock.

With him were actors and HOB investors Dan Aykroyd, Jim Belushi, and John Goodman. Belushi is the brother of John Belushi, who performed with Aykroyd as the original Blues Brothers. They wore black suits, black hats, and black sunglasses.

Left to right, John Goodman, Dan Aykroyd, and Jim Belushi, performing at HOB Chicago. Said Goodman at the 1995 groundbreaking, “Chicago’s certainly the home of the blues, so we’re bringing the House of Blues to the home of the blues. I think it’s just one more jewel in the crown.”

“This was the city where blues got plugged in,” Aykroyd told the Chicago Tribune. “It became electric here in Chicago. And we’re going to electrify the city with this.”

Also making the train trip were blues guitarist R. L. Burnside, guitarists Steve Cropper and Matt Murphy, bassist Donald “Duck” Dunn, drummer Steve Potts, and Mayor Richard Daley, who was given honorary “fourth Blues Brother” status by Aykroyd.

Local musicians included Junior Wells and Buddy Guy, who himself had a blues club in Chicago. “I think it’s good for the blues,” said Guy. “Whatever can be done to help the blues, I’m for it 100 percent. I welcome them here with open arms.”

82-year-old Bertrand Goldberg was at the groundbreaking. Asked who his favorite musician was, Goldberg said Miles Davis.

HOB had sites in Cambridge, Massachusetts, New Orleans, and Los Angeles, but Tigrett said Chicago would be the most important. “Chicago is culturally behind the blues, and it’s an honor to be bringing something that people here love so much. We have to be careful to create something that people will be proud of.”

Tigrett said he looked around Chicago for two years before settling on the Marina City location. “To find a piece of real estate derelict and abandoned in the middle of a great city is extraordinary. It has the potential to be one of the great landmark locations.”

Even as The Blue Brothers performed what the Chicago Tribune described as “shtick-heavy renditions” of “Flip, Flop and Fly” and “Money (That’s What I Want),” Marina Towers Condominium Association was still appealing the decision of the federal bankruptcy court to sell the commercial property to Marks. The MTCA was also going to ask the city to deny Marks zoning rights to change the office building to a hotel.

But Marks was undeterred. “We have the title and the deed and we’re moving forward with great excitement,” he said.

He had an important ally. Bertrand Goldberg had defected from the rival group and agreed to work with Marks to convert the office building. Chicago was shifting from a manufacturing hub to a tourist center, and Goldberg said converting his creation to a blues center went along with that.

Work on the theater building would cost $15 million and the hotel transformation would cost $38 million. The hotel would be the first House of Blues hotel for Tigrett, who was planning to open three more hotels in the U.S., targeting the 25-45 age group.

On December 14, 1995, the Chicago Plan Commission unanimously approved the Marina City renovation plan. The zoning amendment was backed by 42nd ward Alderman Burton Natarus. The plans would be approved by the City Council Zoning Committee and the full city council.

Burton F. Natarus, 42nd ward Alderman from 1971 to 2007.

A 30-foot high translucent structure would be built on the plaza beneath the residential towers, leading to the parking office, elevator, escalators, and stairs down to restaurants, shops, and marina.

A new facade for the theater building would feature a porch, neo-classical columns and pediment – like at an opera house. The facade, said Goldberg, would reflect “the history of opera houses throughout the world.”

Improvements would be made to the landscaping and public walkway along the river. The marina would be turned into a center of operations for entertainment boats and water taxis. Restoration would include the 19-story parking ramps at the base of each tower.

Correcting what Goldberg said was a flaw in the original design, new accessibility would be added for the physically impaired.

And they were planning on building a driveway for the exclusive use of condo residents, as a concession to the MTCA.

HOB opened in November 1996. In September 1997, plans were announced to turn the office building into a 360-room, 30-suite House of Blues hotel. John Marks’s Niki Development Corporation would be a limited partner in the hotel. Also involved in the deal would be Nomura Asset Capital Corporation (now Nomura Holdings Inc.).

Retail space and restaurants would be finished in 1998. The total bill for redevelopment of Marina City would come to $125 million.

(Above left) Theater building at sunset with parking ramp of west residential tower in background (July 2007). East ramp at left. (Above right) Aerial view of Marina City plaza between residential towers (November 2007). Entrance to lower levels at left. West tower at top of frame. Theater building at right. (Below) Receiving area at House of Blues on marina level of Marina City (September 2007).