Auctions by ATG has announced the March 12 auction of a 14 unit apartment building directly across the street from historic Humboldt Park on the west side of Chicago. The offering of 3155 W. Augusta Blvd. continues to showcase that traditional properties without distress represent an increasing number of properties available for auction, according to Auctions by ATG.
The fully leased apartment building features four three-bedroom and ten two bedroom units. All the units are in good condition with updates that have been completed in the last seven years. A new boiler was installed in 2014; an updated intercom system and porches for each unit were completed in 2007; and new windows were installed in 2007.
The annual rental income on the property translates to a seven percent capitalization rate. Taxes are commensurate with other comparable properties in the market area.
“This apartment building represents a tremendous value-added investment opportunity,” said Kyle Payne, director of business development for Auctions by ATG. “Rents in the building are below market rates and offer the potential for increases to be more closely aligned with the market.”
Payne added that as the economy and real estate markets continue to improve with time, the profile of properties being listed at auction is changing.
“Certainly there are still banks and owners that are looking to the auction process as a way to dispose of underperforming properties as quickly as possible. And auctions work for that,” he added. “But properties like 3155 Augusta Boulevard, which represent good investment opportunities, increasingly are leveraging an auctions accelerated marketing process and date certain sale to create broader awareness and greater interest.
