The move may be seen as a blow to the ongoing revival of State Street, where the electronics maker had also been scouting a location on in the distinguished Block 37 development, according to Chicago Business.
Recently, however, Apple agreed to a $700,000 per year lease on a corner lot bound by North and Clybourn avenues and Halsted Street that once housed a gas station.
The lease is reportedly only for the lot of land, where the Cupertino-based company now hopes to build a 15,000-square-foot store to be designed by local architectural firm Bohlin Cywinski Jackson.
That same firm has been responsible for a number of other flagship Apple store designs, namely the glass cube retail store in Midtown Manhattan and Chicago's original high-profile Apple Store on N. Michigan Ave, which will remain Chicago's largest by about 10,000 square feet.
The Clybourn Corridor is a sub-neighborhood of Chicago's Lincoln Park known for its dining and shopping destinations, many of which are distinguished by modern and flashy architecture. Other retailers in the corridor include Best Buy, Gap, Pier 1 Imports, Pottery Barn, Express, Ethan Allen, Crate & Barrel, and Whole Foods.
Apple has leased this lot, which currently contains the remains of an old gas station.
The Borders book store across the street is looking to sublet its retail space.
Still, the location Apple's selected doesn't guarantee instant success, according to the Chicago Business, which notes that furniture retailer Z Gallerie was recently forced to shut down its store in the district. Locally based Borders is also reportedly looking to sublet its space in the corridor, which sits adjacent to lot leased by Apple.