Kiser Group, Chicago’s leading mid-market commercial real estate brokerage firm, announces seven Chicago-area apartment sales valued at nearly $32 million that closed in the fourth quarter of 2014. The sales include a 249-unit, three-building apartment complex in Hoffman Estates, Ill., and six Chicago properties including a 69-unit mid-rise in South Shore; a 77-unit, two-building portfolio in Hyde Park; a 34-unit walk-up in East Rogers Park; six-flat and a three-flat in Lakeview; and a 16-unit building in South Shore.
600-750 N. Salem Ridge Drive – Hoffman Estates, Ill.
Located at 600-750 N. Salem Ridge Drive in northwest suburban Hoffman Estates, the brick three-building complex built in 1974 includes 24 studios, 155 one-bedroom units, and 70 two-bedroom apartments. New appliances were recently placed in all the units. New elevator mechanicals were installed in 2011, new windows in 2012, and a roof overlay in 2007. New boilers were also put into each building within the past seven years. The complex sold for $17.45 million.
“Salem Ridge Apartments has been well-maintained, but there is still significant value-add opportunity for the buyer,” said Brian Mond, managing director of Kiser Group, who represented the buyer and the seller in the sale. “The property’s location near shopping, employment and schools also makes it a stable investment.”
Each apartment has a steel and concrete balcony and wall-to-wall carpeting. Other property features include two hydraulic elevators in each building, tenant storage and a laundry room. Rents range from $625 to $888. The property is 95 percent leased.
6900 South Shore Drive – South Shore
Located at the corner of 69th Street and South Shore Drive, this seven-story, 69-unit apartment building overlooks the historic South Shore Cultural Center and Golf Course and offers views of Lake Michigan. 6900 South Shore Drive includes one studio, 56 one-bedroom and 12 two-bedroom apartments. Amenities include a laundry room, bicycle storage, storage lockers, and a private outdoor patio. The property sold for $4.8 million.
“The lobby, common areas and the apartment units all underwent extensive renovations recently, yet the seller still retained the property’s vintage charm,” said Bill Baumann, senior managing director of Kiser Group. He and Noah Birk, managing director of Kiser Group, represented the buyer and seller in the transaction.
“The location provides easy access to downtown via the South Shore Metra line and bus lines,” added Birk.
5135 South Blackstone and 5111 South University – Hyde Park
This two-building apartment portfolio in Chicago’s Hyde Park neighborhood includes 77 units. 5135 S. Blackstone has 33 studio apartments and three one-bedroom apartments, and 5111 S. University contains 41 studio apartments. Each building has on-site laundry. The portfolio sold for $4.25 million.
“This sale provided the opportunity to acquire a large number of studio apartments, which are in high demand from students at the nearby University of Chicago campus,” said Lee Kiser, principal of Kiser Group. He and Baumann represented both the buyer and seller in the transaction. “The buildings are also close to the 51st Street Commercial District and are only one block from the new Whole Foods store.”
1145 W. Morse – East Rogers Park
This 34-unit walk-up apartment building at 1145 W. Morse in East Rogers Park sold for $2,675,000. Brian Semel, senior managing director, represented both the buyer and seller in the transaction.
1134 W. Barry – Lakeview
This six-flat at the corner of Clifton and Barry avenues in Chicago’s Lakeview neighborhood includes three two-bedroom apartments and three studios. It sold for $1.4 million.
The recently renovated units offer new stainless steel appliances, hardwood floors and updated bathrooms. The property includes two outdoor parking spaces.
“The building’s location on a corner lot brings lots of natural sunlight into all the units,” Michael D’Agostino, managing director, who represented both the buyer and seller in the transaction. “Also, its proximity to the Belmont Avenue ‘L’ stop makes it convenient for tenants to commute downtown.”
2965 N. Lincoln – Lakeview
This three-unit mixed-use building in the heart of Lakeview at 2965 N. Lincoln Ave. is comprised of a ground-floor commercial space, one three-bedroom unit and one one-bedroom plus den apartment. It sold for $700,000.
The apartments were recently rehabbed and feature granite countertops, stainless steel appliances, individual furnaces and updated bathrooms. The restaurant BistroDre’, owned and operated by acclaimed chef Andre’ Christopher, occupies the commercial space.
“This property provides a stable investment in a popular location,” said Matt Jones, managing director of Kiser Group, who represented both buyer and seller in the transaction. “Bistro Dre’ has been at this location since 2012 and has three years remaining on its lease, with options after that. Also, the property had at an attractive 8.4 percent cap rate at list price.”
7656 S. Kingston – South Shore
This 16-unit building in Chicago’s South Shore neighborhood recently underwent a rehab of 14 units, with long-term tenants occupying the other two units. Updates include hardwood floors, new kitchens and bathrooms, new boiler and newer roof and windows. It sold for $575,000.
“This building had above a 12.5 percent cap rate at list price and a 29 percent cash return with the proposed financing, so it provides a rare chance to own a well-maintained building with an excellent cash flow,” said Birk.
All the names of buyers and sellers involved in these transactions are not available at this time.
