Interra Realty, a Chicago-based commercial real estate investment services firm, facilitated sale of 500 Des Plaines Avenue, a 39-unit apartment building in Forest Park, Illinois. The asset sold for $3.15 million.
Interra Realty senior managing partner, Joe Smazal, was exclusively engaged to market the property on behalf of the private seller, while managing partner, Pat Kennelly, and director, Paul Waterloo, represented the undisclosed buyer, who plans to make modest renovations to the building’s kitchens and baths to raise rents to market level.
“This is a well-located, well-priced asset in a community close to downtown Chicago offering a value-add opportunity, predictable income and likely long-term growth,” said Smazal. “We began marketing it before the COVID-19 pandemic, but the crisis had minimal impact on the deal terms. We were able to procure multiple offers for it and close in the midst of the pandemic.”
Built in 1931, 500 Des Plaines Avenue has 33 studios and six one-bedroom units. The building last sold for $2.4 million in 2015—a transaction also brokered by Interra Realty.
“This solid appreciation demonstrates the overall strength of these assets and continued appetite for them even in challenging times,” Kennelly said. “Both long-time investors and newcomers to the space are drawn to the stability they offer in fulfilling a fundamental need: housing.”
The property is located near Pace bus routes and the CTA Blue Line while the Oak Park Metra station and Eisenhower Expressway are both less than two miles away. In addition, 500 Des Plaines is a short walk from Forest Park’s Madison Street entertainment district.