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Derry Hegarty’s to become Burke’s Irish Castle

When the iconic Derry Hegarty‘s Irish Pub, 5328 W. Blue Mound Rd., went up for sale, Sean Burke knew it was a good fit for him. “I’m a proud Milwaukee Irishman and I’m honored to carry on the great Irish tradition here,” says Burke, who acquired the large bar and banquet hall in April. It all happened very quickly. What started out as a conversation at a bar, with notes on a bar napkin, ended in a building closing just one month later along with chef and business partner, Shane Valenti. Currently, the bar and restaurant is undergoing major renovations, and will soon sport a new name, Burke’s Irish Castle. A grand opening party is planned for the weekend of Sept. 14-16. The renovations have turned into what Burke calls “a very large project.” The entire facade is under construction, and so far, there’s one new “garage door” in the front of the building with four more on the way. The front bar, which originally featured blonde wood and glass cabinetry, was transformed into a simpler, sleeker build with a dark stain. Burke is still waiting for his new chairs to arrive, but recycled handmade tables – parts of which came from Glocca Morra, Hegarty’s brother Joe’s former bar in the Marquette neighborhood – are stenciled with Burke’s lion-and-shield logo. Burke found boxes of broken light fixtures hidden away and repaired them. Now, vintage chandeliers hang in the dining area with more unearthed antique lighting now hanging over tables in the room adjacent to the bar. “We re-purposed as much as we could,” says Burke. The only problem with all of the retro lighting is that the original, modern-looking lights that Burke hung over the bar before he found the cooler, old stuff has to go because it no longer fits in with the decor. Burke says he intends to use the massive banquet space – complete with a large, stone fireplace – most nights of the year. It will still be available for private rental, but will also serve as a primary drinking and dining area, especially during Friday night fish fries, which Burke anticipates will be very popular. There’s also a bar in the basement, with a stone fireplace and stained glass windows, that Burke hopes to renovate someday. A rooftop patio is also in the longer-term plans. Burke rented a nearby parking lot and valet parking will be available in the near future, too. “At this point, there’s not a stone here that’s been left unturned,” he says. A larger patio and a full kitchen to replace the very small kitchen are in the works as well. Hegarty’s offered simple pub fare, like burgers and chicken sandwiches, but Burke says he plans to offer an extended “gastropub” menu with an emphasis on locally-sourced food. Look for upscale brunches, lunches and dinners – including a Friday fish fry with fresh fish from Central Green Aquaponics, opening across the street in September. The alcohol offerings have already changed, and […]

First Financial Centre office in downtown Milwaukee changes hands

The Charlotte-based owner of the 14-story First Financial Centre office at the main crossroads of downtown Milwaukee gave the building back to a trust to avoid a foreclosure. The building at 700 N. Water St. stands at the northeast corner of North Water Street and East Wisconsin Avenue. It used to belong to an affiliate of Allegiance Realty Corp., which bought the property in early 2007 for $10.65 million, according to the company’s website. Allegiance, Charlotte, N.C., on July 24 gave the building to a trust created in 2007 by J.P. Morgan Chase Commercial Mortgage Securities Corp. that owns the First Financial Centre’s mortgage, according to state records. The property, valued at $9.2 million, was handed off to avoid a foreclosure. The First Financial Centre’s difficulties are a symptom of the broader challenges of the market for Class B downtown offices, said Marianne Burish, principal and director of office properties for Siegel-Gallagher Inc., Milwaukee, which has an office in the building. Siegel-Gallagher handled leasing and management of the First Financial Centre and will continue to do so under the new ownership. “The situation would be helped by either job growth or a lot of functionally obsolete office buildings that are still in our inventory being converted to other uses,” she said. The First Financial Centre, at 153,200 square feet, is less than 60 percent occupied. It lost the Milwaukee Symphony Orchestra as a tenant in January. The orchestra offices occupied 18,376 square feet. Current tenants include an Associated Bank branch on the building’s first floor. Burish said the rents that a Class B office can command are too low compared with the price of renovating space for a new tenant, operating cost, taxes and debt service. That disconnect makes it difficult for a building owner to squeeze money out of a building. Burish said the situation is amplified by a large number of buildings that are included in the downtown inventory but, in reality, have little hope of attracting tenants. By including those buildings in the data for the downtown market, the vacancy rate seems occupied, putting tenants on a stronger footing to negotiate rents, she said. “As a practical matter, the universe of truly leasable and attractive spaces is much smaller,” Burish said. “There’s a perception that I should be able to get any space for a killer deal.” More of the obsolete downtown offices should be converted to other uses, Burish said. An example is the Loyalty building, which is being converted into a hotel, and the building on West Wisconsin Avenue that Gorman & Co. Inc. converted into the Majestic Lofts apartments. “That was not going to lease up as an office building,” she said. “I don’t think there’s anything wrong with the First Financial Centre. Part of the challenge is you have to evaluate every building’s lot in life on a building-by-building, owner-by-owner basis.” Bank office to water lab Watertech of America Inc. in mid-August will move to Greenfield into an office building the company bought […]

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