Draper and Kramer, Incorporated, a national full-service real estate firm, announces a team led by Matt Wurtzebach, senior vice president with the firm’s Commercial Finance Group (CFG), has closed a $64.78 million HUD construction loan on behalf of Riverside Investment & Development for a new 12-story, 199-unit multifamily building at 566 W. Van Buren St. in Chicago’s West Loop. Draper and Kramer, which holds the oldest active HUD multifamily license in the country, is the lender for the construction loan. In addition to Wurtzebach, the deal team included Dave Tomfohrde, Bill Barry, Jeff Ross and Kevan Briscoe.
The construction loan through HUD’s 221(d)(4) program has a fixed rate with interest-only payments during construction and converts to a fully amortizing 40-year permanent loan that is open to prepayment without penalty after year 10.
Slated for delivery in 2027, the $85 million project at 566 W. Van Buren St. joins a limited pipeline of approximately 2,100 multifamily units expected to deliver that year, according to Integra Realty Resources. Its West Loop location will put residents a short walk from the Loop and just two blocks from the Chicago River, Union Station, the Old Post Office and new Class A office space like BMO Tower.
