City funding awarded for redevelopment at 2618 N. Milwaukee

The City of Chicago has awarded a $3 million Community Development Grant for the redevelopment of the former Grace’s Furniture building at 2618 N. Milwaukee. Planned by Bluestar Properties and Marc Realty, the building was built in 1914 as a storage warehouse and sits within the Logan Square Boulevards District.

With K2 Studio serving as the architect, the existing structure will be converted into a four-story health club with a ground floor restaurant and cafe. Set to be known as Logan Square Athletic Club, the health club will be operated by Chicago Athletic Clubs. 

The redevelopment will rehabilitate the existing brick facade along N. Milwaukee Ave while creating a new brick facade on the south elevation.

The $11 million development will be supported in part by the $3 million Community Development Grant, which is funded through the city’s Housing and Economic Development bond.

According to Block Club Chicago, the project is expected to begin construction in Fall 2026 with construction expected to last for one year, with the gym set to open in late 2027.