Essex Realty Group arranged the sale of a 32-unit apartment building at 2240 W. Morse Street in Chicago’s West Rogers Park neighborhood, making this the second time Essex has successfully facilitated a sale of this property.
In 2009, Essex brokered the sale of the property from a now-defunct lender to a division of Marc Realty Residential, the current seller. Originally developed as condominiums, Marc Realty completed construction and leased the building as luxury apartments. After completing renovations in 2010, Marc Realty was able to transform the property into a turnkey, stabilized property.
“The quality of renovations is nearly unmatched in the surrounding area,” said Essex principal Jordan Gottlieb, who represented the seller along with Essex principal Jim Darrow. “The sellers had the foresight to purchase this property during the lowest of times during the 2008-2009 financial crisis and were rewarded for it. Even during a pandemic, they were rewarded for that risk, which we love to see for our clients.”
In an off-market transaction, the buyer, a local investor, purchased the property for approximately $5,475,000 which equates to $171,094 per unit. Essex principals Doug Imber and Kate Varde represented the buyer.
Each unit features new hardwood floors, extensive crown molding, new high-end cherry cabinets with auto close feature, granite countertops with undermount sinks, GE stainless steel appliance packages, spa-like bathrooms, in-unit washer/dryer and spacious living areas with fireplaces.
The firm has also been exclusively engaged to market a 14-unit apartment building in Ukrainian Village that hasn’t been listed in over 30 years.
Listed for $2,899,000, the property is located at 2335-2337 W. Superior Street and consists of 12 two-bedroom/one-bathroom units and two one-bedroom/one-bathroom plus den first-floor units situated on a double lot with a landscaped backyard in the Ukrainian Village. Owned by the same family for over 30 years, the property provides investors an opportunity to acquire a rarely available asset and achieve immediate scale in the neighborhood.
The immaculately maintained property has received extensive capital improvements over the years that include a new tear-off roof, separate (tenant-paid) gas-forced heat in every unit and central air conditioning to half of the units, upgraded 460 AMP electric, separate hot water tanks, concrete and tuckpointing.
Listed by Essex principal Doug Fisher and director Abe Eilian, the team identifies 2335-37 W. Superior Street as an opportunity to acquire a multifamily property with significant rental upside. Since most capital expenditures have already been updated, a new owner can focus on making interior improvements to increase yield substantially.
“There is a lack of supply in Ukrainian Village when it comes to larger apartment buildings, so this property presents a unique opportunity to acquire 14 units all under one roof,” said Eilian. “Plus, this property is situated in a great pocket of Ukrainian Village surrounded by hip ‘destination’ restaurants.”
Should the ADU ordinance pass, a large unused basement space with high ceilings may make it possible for a new owner to either duplex down into this space or add an ADU unit, all steps from restaurants on Chicago Avenue and Western Avenue Metra station.
