Transaction of 40-unit property is Interra’s second deconversion deal in the past month within the northwest Chicago suburb
Interra Realty, a Chicago-based commercial real estate investment services firm, today announced it brokered the deconversion sale of a 40-unit multifamily property in Arlington Heights, Ill. The property, 1 N. Chestnut Ave., traded for $9.7 million, equating to $242,500 per unit.
Interra Managing Partner Patrick Kennelly and Director Paul Waterloo represented the seller, the Chestnut Street Condominium Association. Kennelly and Waterloo also represented the confidential buyer. The transaction represents the second-highest sale price on a per-unit basis in Arlington Heights in the past five years, per CoStar data.
This is the second deconversion sale completed by Interra in Arlington Heights within 30 days, following the $4.1 million sale of the nearby 202-222 N. Salem Ave. To date, Interra has completed more than a dozen deconversion transactions in the Chicago area, exceeding $100 million in total sales volume.
“As long as there remains potent rental demand in desirable communities like Arlington Heights, I expect to see continued deconversion opportunities in select Chicago suburbs,” said Kennelly. “This submarket, in particular, has become more of an investment target following headlines related to Arlington Park.”
Last year, the Chicago Bears signed an agreement to acquire the 326-acre site that formerly served as the home of the Arlington International Racecourse. Located approximately 1 mile from 1 N. Chestnut Ave., the site, if the sale closes, would see the creation of a multipurpose entertainment district and a new stadium for the storied NFL franchise.
“We toured multiple prospective buyers through 1 N. Chestnut Ave. and received numerous offers,” Waterloo said. “This was little surprise, given the property’s great location in Arlington Heights’ beautiful downtown and the return on investment that apartment buildings can bring to ownership in the current environment.”
1 N. Chestnut Ave. was constructed in 1971 and includes 21 one-bedroom units and 19 two-bedrooms. The new buyer plans to improve units over time as they turn over.
The property is located off U.S. Highway 14 and is served by the Arlington Heights Metra station. Nearby attractions include a variety of restaurants, shops, grocery stores and golf courses.
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 $2 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. For more information, visit www.interrarealty.com.
