This Week's Chicago Deal Sheet
Investor appetite in suburban multifamily real estate last year built on a record-setting 2016, and that trend appears to be continuing into the new year. Azure Partners and Harbor Group agreed to buy Oaks of Vernon Hills in a $94M deal.
The developers, a joint venture of REVA Development Partners, Hamilton Partners and Deutsche Asset & Wealth Management, opened the 336-unit project in two phases between fall 2015 and spring 2016, and secured a $44.3M construction loan for the development. Investors have turned to the suburbs seeking yield, as downtown Chicago will deliver nearly 9,000 apartments through 2019, which is contributing to flat rent growth.
Avison Young's Erik Foster and Mike Wilson represented the seller in the sale of a three-building, 638K SF suburban industrial portfolio. The portfolio has a 305K SF building at 425-455 East Algonquin Road in Arlington Heights, a 176K SF facility at 8811 South 77th Ave. in Bridgeview and a 158K SF building at 7400 West 100th Place in Bridgeview.
Colliers International’s Jeff Devine and Steve Disse represented the sellers in the $95M disposition of a six-building, 1.4M SF industrial portfolio to a commingled fund managed by CBRE Investors. The portfolio has an 89K SF facility at 494 East Lies Road in Carol Stream’s Carol Point Business Center, a 130K SF facility at 2520 Diehl Road in White Oak Business Park in Aurora and four properties within Cherry Hill Business Park in New Lenox — a 690K SF facility at 2700 Ellis Road, a 187K SF facility at 2101 Haven Road, a 115K SF facility at 2201 Haven Road and a 205K SF facility at 2200 Haven Road.
Marcus & Millichap’s Kyle Stengle represented the seller in the $3.4M sale of a four-unit mixed-use building at 3452 North Southport Ave. in Lakeview.
Inland Real Estate Acquisitions’ Mark Cosenza and The Inland Real Estate Group’s Brett Smith negotiated the acquisition of Edward-Elmhurst Health Center, a 13K SF medical office building in Elmhurst. The buyer was an Inland affiliate.
First Western Properties’ Paul Tsakiris and Gene Hart were the sole brokers in the $276K sale of a five-unit apartment building at 2311 Saint Charles Road in Bellwood.
Tishman Speyer’s Joe Gordon and Justin Lewis represented ownership, and JLL’s Matt Carolan, Steve Steinmeyer and Bruce Renwick represented tenant BP Products North America, in a 240K SF lease extension at CME Center, 10 and 30 East Wacker Drive.
NAI Hiffman’s Terry Herlihy and Dan O’Neill, along with White Cube’s Tak O’Haru, represented SUS America in a 23K SF lease at 1822 Brummel Drive within Elk Grove Village’s Regent O’Hare Business Park.
Transwestern Milwaukee’s Shaun Dempsey represented both parties in a 1,800 SF lease at 1324-28 12th Ave. in Grafton, Wisconsin.
Duke Realty’s Susan Bergdoll completed a 965K SF lease renewal with Electrolux Home Products at 801 Midpoint Road in Minooka. Mohr Partners’ Eric Beichler represented the tenant.
NorthMarq Capital’s Sue Blumberg finalized a $93M refinancing of Columbus Plaza, a 533-unit multifamily property in downtown Chicago owned by The Habitat Co. The transaction was structured with a seven-year interest-only term. NorthMarq arranged financing for Habitat through Fannie Mae’s Green Program.
Colliers International principal Fred Regnery was named national director of the firm’s Industrial Advisory Group, a new initiative intended to strengthen the firm’s national industrial platform, enhance collaboration with other key service lines, and develop and implement best practices across North America to the firm’s corporate industrial clients.
Darwin Realty promoted Brendan Sheahan to vice president.