Kiser Group recently brokered the sale of Blue Station Apartments, located at 2130 W. 122nd Street in Blue Island, Illinois, for $18.6 million. The buyer, an undisclosed national portfolio owner, purchased the 345-unit apartment complex from Kinzie Realty Corp. The deal was brokered by Kiser Group’s principal and managing broker, Lee Kiser, and broker, Matt Halper.
“Kinzie Realty Corp. took an institutional approach to a non-institutional part of the market making the workforce housing complex a community, complete with a full staff and tenant services,” said Kiser. “This isn’t a typical investment strategy for workforce housing, but it has worked well for Kinzie Realty Corp.”
Kinzie Realty Corp. assembled the apartments through multiple acquisitions, then branded and managed the assets as Blue Station Apartments. Community amenities include an on-site convenience store and daycare center. Blue Station Apartments offers tenants easy access to the city with Metra stops steps from the complex—at both 119th Street and 123rd Street. The complex is also a half mile from I-57 and three miles from I-294.
“This deal is a good example of a win-win. Kinzie Realty Corp bought the distressed units and had a strategic plan to renovate,” said Halper. “They were able to make good returns on their successful value-add strategy, and [the] buyer was able to get a very attractive cap rate on the acquisition.”