Interra Realty, a Chicago-based commercial real estate investment services firm, today announced it brokered the $1.52 million sale of 4063 N. Sheridan Road, a vintage condominium building in Chicago’s Buena Park neighborhood. The buyer, Chicago-based Aljack Investments, plans to completely restore the fire-damaged building and modernize the property’s seven units.
Craig Martin, a director at Interra, represented the condominiums’ sellers and also procured the buyer in the transaction. The sale price equates to an average of $217,857 per unit. The investment represents a value-add opportunity as the building suffered fire damage in November 2015 and requires repairs, according to Martin, who added the buyer may rent the units as apartments or sell them off individually as condos.
“We identified this building as an opportunity for investors to realize a significant return, so we created a turnaround plan to quickly get this vacant building fully occupied and cash-flowing,” said Martin. “We also worked with the condo owners to achieve the maximum sale price for the individual units in ‘as-is’ condition. The final sale price met the buyer’s cost, risk and timing considerations, and exceeded what the condo owners would have been able to achieve on their own, especially because some of the units currently are uninhabitable.”
Located at the corner of Sheridan Road and Belle Plaine Avenue, a few blocks west of Lake Michigan, the three-story building includes a one-bedroom, one-bath unit; four two-bedroom, two-bath units; and two three-bedroom, three-bath units.
“Investors have a strong appetite for buildings in Buena Park, as they can acquire, update, lease or resell units at an attractive price point for both them and prospective residents who may be priced out of neighborhoods farther south,” said Martin. “While this property requires some upfront expenditures, the finished product will be extremely attractive both aesthetically and in terms of location, with easy access to the lakefront and multiple modes of transportation.”
The Sheridan Red Line station is only three blocks south of the property, while a CTA bus stop on Sheridan Road is just steps away. Nearby recreational amenities along the Lake Michigan shoreline include the 18-mile Lakefront Trail, Sydney R. Marovitz Golf Course and Montrose Beach.
About Interra Realty
Founded in 2010, Interra Realty is a Chicago-based commercial real estate services firm that delivers integrated, tailored solutions through its boutique, client-focused approach and team of experienced professionals. Since its inception, the firm has closed thousands of transactions valued in excess of $1 billion spanning the multifamily, office and retail sectors, as well as loan sales. Interra’s clients range from private investors and high-net-worth individuals to large financial institutions, private equity groups and hedge funds.