Toronto-Based Investor Enters Competitive Fulton Market With $10M Acquisition
Add The Pearl Group to the growing list of investors staking a claim to Fulton Market real estate. The Toronto-based firm made its first purchase in the submarket: a $10M acquisition of three low-rise buildings near the Morgan Street 'L' station.
Pearl acquired the buildings at 1015-21 West Lake St. from Speedwagon Properties, which paid $4.5M for the portfolio in 2014. Pearl Group secured $6.2M in financing to facilitate the acquisition, according to Cook County records.
The buildings are a mix of apartments and street-level storefronts. Pearl Group Managing Director Jordan Pearl told The Real Deal the acquisition is strictly an investment play and that rents will increase over time.
Greenstone Partners' Danny Spitz and Greg Dietz were the sole brokers in the deal, their first since moving to Greenstone from Baum Realty Group earlier this month. Pearl Group is the latest investor to enter Fulton Market. Thor Equities, which spent $48M on Fulton Market assets in 2016, is redeveloping four buildings into mixed-use office and retail. Shapack Partners and Sterling Bay, two firms that recognized the potential in Fulton Market early, continue their activity in the area. McCaffery Interests is busy along Lake Street, west of the Morgan Street 'L." Marquette Cos. is planning a 263-unit apartment building at Lake and Ada streets. Five hotel projects are either in the planning stages or under construction.