Timber Court, located at 3400-20 N. Old Arlington Heights Rd. in Arlington Heights, Illinois, has sold for $16 million to a Chicago-based portfolio apartment investor. The 72-unit property was listed for sale by multifamily brokerage firm Kiser Group with Advisors Ron Plonis, Lee Kiser and Jeff Leibovich representing both the condo association and the buyer. Ray Cahnman was the president of the board of directors for the condo association and also one of the original developers of the project.
The closing of the sale completes the final chapter for Cahnman in a long story that began before the 2008 crash. Built in 2007, Timber Court was originally designed to be a three-building campus. Only two buildings were constructed, each with 36 large units and indoor parking. In early 2012, Timber Court learned that one of the developer partners, David Zazove, was wrongly diverting funds from Timber Court (and several other developments) for his personal benefit. In May 2018, Zazove was expelled from Timber Court. On September 16, 2019, after almost six years of litigation, Zazove was ordered to repay $7.7 million in damages to his former partner Ray Cahnman.
“Kiser Group ran a very competitive marketing campaign and the association benefitted from a good price for the property,” said Cahnman. “That said, Timber Court was a financial disaster for me personally. I wish the best for the new owners.”
“Timber Court attracted interest from local and regional apartment investors,” said Kiser. “The potential for building additional density was also appealing to developers, as well.”
“Chicago’s suburban multifamily real estate continues to be an attractive investment,” said Plonis. “Our aggressive nationwide marketing of Timber Court, with its high occupancy rates and long-term tenants, coupled with the low cost of multifamily capital, resulted in several tours, and multiple offers.”
“The demand for quality properties in the suburban market continues to be strong,” said Leibovich. “This was evident when offers were made within a day of tours.”