Atlanta-based property management firm Cortland dropped $105M on a 25-story River North apartment building in the second-priciest multifamily deal in Chicago this year.

The 188-unit building at 220 West Illinois St. was sold in 2015 by an affiliate of Singapore-based investment firm Mapletree, which bought the property in 2019 for $91M, The Real Deal reported.

While rebrands and plans for the building have been bandied about over the years, it has remained a traditional apartment building, with monthly rents ranging from $2,200 to $3K for a two-bedroom unit.

The deal, which ranks behind the $180M purchase of a 34-story South Loop tower by American Landmark Properties and Evergreen Residential, marks one of five multifamily sales exceeding $100M so far this year, according to Cook County records.

It comes as many multifamily deals have had to be repriced amid rising interest rates, though the market remains strong as more Chicagoans seek residential living over homeownership amid lingering pandemic fallout.

SALES

Kiser Group’s Birk | Sklar Team listed 6800 South Dorchester Ave. for $5.6M in Grand Crossing. The 62-unit property with a mix of one-, two-, three- and four-bedroom apartments is in close proximity to Chicago’s Rebuild Foundation and the developing Obama Presidential Library.

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Marcus & Millichap brokered the $9.2M sale of an 82K SF Class-A industrial facility at 1111 Lakeside Drive in north suburban Gurnee. Located in the Grand Tri-State Business Park directly off Interstate 94, the building houses respiratory manufacturer Ohio Medical LLC. Marcus & Millichap Vice President of Investments Peter Doughty represented the seller, a private investment group, and procured the buyer, a New York-based real estate investment trust.

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Mid-America Real Estate Corp.’s investment sales team brokered the sale of The Landings, a 91% leased community shopping center located in southwest suburban Bolingbrook. The 113K SF property was sold to Irvine, California-based Sperry Equities. Mid-America Real Estate Corp. principal Ben Wineman was the broker in the transaction on behalf of the seller, an affiliate of RCG Ventures based in Atlanta.

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A joint venture between west suburban Oak Brook’s Clear Height Properties and Harbert U.S. Real Estate has purchased a 102K SF industrial building at 200-220 Fencl Lane in west suburban Hillside. About 50% occupied, the property sits on a 4.2-acre corner lot close to Interstates 290, 294 and 88. Brian Colson and Brian Pomorski of Avison Young represented Clear Height. Denise Chaimovitz of Paine Wetzel represented the seller.

LEASES

PrefabPads has leased 29K SF of warehouse space at 3805 Hawthorne Court in north suburban Waukegan. Dan Prendergast, a broker with DarwinPW Realty, represented both the tenant and the building owner, Brennan Investments. This is the first North American location for PrefabPads, which produces high-end accessory dwelling units known as MyCabins.

CONSTRUCTION AND DEVELOPMENT 

J.C. Anderson has completed a build-out of DePaul University’s lower-level concourse at 333 South State St., revamping the existing Barnes & Noble space to make way for the DePaul Student Center for Emerging Technology. The new tech space for student artwork and special projects has a digital wall, creative areas and offices. Construction for J.C. Anderson was led by Vice President Joe Maguire, Senior Project Manager Larry Regovic and Superintendent Ryan Kingsmill. Vasilko Architects & Associates Inc. provided architectural services.

FINANCING

Investment sales teams with Northmarq Chicago and Nothmarq St. Louis completed the $42.8M transaction of Terra Creek Apartments, a 278-unit complex at 375 Bienterra Trail in northwest suburban Rockford. Managing Director Parker Stewart, senior associate Alex Malzone and Associate Vice President Dominic Martinez facilitated the transaction. Brett Hood, managing director of Northmarq’s Chicago office, secured $27.4M in acquisition financing for the deal. The borrower is an affiliate of MLG Legacy Fund and its real estate investment manager, MLG Capital, based in Brookfield, Wisconsin. Of the 278 units, 48 units are single-structure townhomes.

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JLL Capital Markets has arranged $59.8M in construction financing for 741 North Wells, a 21-story, 168-unit, Class-A multifamily project with 3,600 SF of downtown retail. JLL represented the borrower, Vista Property, to secure the four-year, floating-rate construction loan through Huntington National Bank. The project is slated for completion in the first quarter of 2024, with units averaging 740 SF.

THIS AND THAT

Peak Properties is assuming management of 144 apartments as well as master condominium units at Old Orchard Residences. The management and investment firm is now responsible for the entire five-building, 216-unit complex containing one- and two-bedroom apartments. It is located at 10100-10116 Old Orchard Court in northeast suburban Skokie.