Associated Bank announced completion of a $43.8 million financing package to CEDARst for the historic redevelopment of the Bridgeview Bank building, 4753 North Broadway, Chicago.
Associated Bank will act as lead arranger for a $35.4 million construction loan as well as a Federal Historic Tax Credit Bridge loan of $3.4 million. Associated Community Development will provide $5 million in Federal Historic Tax Credit Equity.
The property is an existing twelve-story, mixed-use retail and office building. The first eight floors were built in 1924 and four stories were added in 1928. The City of Chicago granted the property landmark status in 2008. The project is the adaptive reuse of approximately 134,731 square feet of mixed-use space, including 176 apartment units consisting of 20 of micro-studio, 100 studio, 48 one-bedroom and eight larger one-bedroom units. Additionally, the project will have 20,484 square feet of traditional- and 21,184 square feet of shared-office space. Amenities will include an activated lobby, fitness center, roof deck and a resident lounge. There will be 45 surface parking spaces.
No changes are planned for the current 15,195 square feet of ground-floor retail space and offices on floors two through four. Atrium and mezzanine levels on floors two and three will be converted into shared-office space managed by an affiliate of CEDARst. Floors five through twelve will be converted to multifamily units. Work will commence immediately, with Phase 1 construction of the offices slated for completion in the second quarter of 2022. Phase 2 will be the construction of the residential portion which is targeted for completion in the first quarter of 2023. Six existing commercial tenants will remain in the building upon completion.
The property is located at the intersection of North Broadway and West Lawrence streets in Chicago’s Uptown neighborhood, approximately six miles north of Chicago’s central business district with its many entertainment venues, restaurants and nightlife, as well as its proximity to Lake Michigan. It is adjacent to the Lawrence Red Line station, which provides direct access to Chicago’s downtown.
CEDARst sources, acquires, capitalizes and develops multifamily properties throughout the U.S. They were a pioneer in micro-unit multifamily development in Chicago, identifying an unmet demand for high quality apartments at an approachable price point. CEDARst today has a national footprint with a focus on Midwest and West Coast markets.
In 2019, Associated Bank provided CEDARst with a $13.1 million acquisition loan to purchase the building. Dan Barrins, a senior vice president with Associated Bank’s Commercial Real Estate group, handled the current loan arrangements. Teresa Rubio, a senior vice president for Associated Community Development, LLC, the bank’s community development corporation, managed the equity investment.