KIG, Chicago’s leading commercial real estate brokerage firm specializing in institutional multifamily properties throughout the Midwest, has been retained for three separate sales comprising more than 1,100 apartments in Kentucky, Wisconsin and Illinois. The listings include a 202-unit apartment community in Lexington, Ky.; a three-property portfolio totaling 408 units in Gurnee, Ill., Madison, Wis., and Janesville, Wis.; and a two-property portfolio comprising 516 units in Waukegan, Ill. The properties are being marketed without an asking price.

“This is a large number of units to list in one month and underscores the strong investor demand that has prompted many landlords to sell now while the market is hot,” said Susan Tjarksen, principal and managing broker of KIG. “Obtaining these listings is also a testament to KIG’s knowledge and capabilities in the multifamily sector. Our development experience allows us to more accurately predict what it would cost to turn a Class B property into a Class A property because we’ve done it before. This takes a lot of the guesswork out of the transaction and helps buyers feel more confident in their investment.”

203 Patchen Drive – Lexington, Ky.
Located just off Richmond Road in Lexington’s southeastern quadrant, Patchen Place Apartments is a 202-unit community of garden- and townhome-style apartments offering a mix of one-, two- and three-bedroom floor plans. The 14-acre property includes 18 two-story residential buildings, a standalone clubhouse with a fully equipped kitchen; swimming pool with sundeck and barbeque area; fitness center and outdoor tennis courts.

“This property has tremendous upside potential,” said Todd Stofflet, managing partner of KIG. “The buildings have been well-maintained, and with a few basic improvements to the units, the new owner can raise rents, which are currently below market value, and boost the long-term value of the property.”

Individual residences feature private patios or balconies and wood-burning fireplaces, along with stackable washer/dryer units and walk-in closets in select townhome units.

“The population within one mile of the property is projected to grow by more than 5 percent over the next two years,” said Stofflet. “A targeted marketing effort could help the new buyer capitalize on favorable demographic conditions.”

Patchen Place offers convenient access to shops and restaurants along Richmond Road, one of Lexington’s main thoroughfares. The property is located approximately 10 minutes southeast of downtown Lexington and is close to several other major employment centers, including the University of Kentucky, the city’s largest employer with nearly 14,000 staff and faculty.

Illinois-Wisconsin portfolio
This three-property portfolio, with a total of 408 apartments, includes 136 units in Gurnee, Ill.; 96 units in Janesville, Wis.; and 176 units in Madison, Wis. The three assets may be purchased as a portfolio or individually and include Fannie Mae financing that can be assumed.

“The Illinois-Wisconsin multifamily portfolio offers a unique opportunity to own a diverse portfolio in three high barrier-to-entry markets,” Stofflet said. “The future growth of these areas and the multiple value-add strategies that can be applied to these assets make this portfolio especially attractive to investors.”

4344 McClure Ave. – Gurnee, Ill. (part of the IL-WI portfolio)
Carriage House Apartments, 4344 McClure Ave., is a 136-unit, garden-style community of 17 buildings on 10 acres. The community consists of 134 one-bedroom apartments and two two-bedroom units, with on-site amenities including an outdoor pool and pool house, picnic area, in-building laundry, and resident storage lockers.

“The new owner has the ability to raise rents by converting 32 one-bedroom units into two-bedroom residences,” said Stofflet. “Additional interior and exterior upgrades and expanded amenities can also generate additional rent growth.”

Carriage House Apartments is within walking distance of the new Warren Township High School, Gurnee Village Hall and the Warren-Newport Public Library. Major area employers include Abbott Laboratories, AbbVie, Solo Cup Company, HSBC Finance, Swingline and Diners Club International. The community is less than 45 miles from downtown Chicago and 30 minutes from O’Hare International Airport.

1601 N. Randall Ave. – Janesville, Wis. (part of the IL-WI portfolio)
Park View Apartments, 1601 N. Randall Ave., is a 96-unit apartment community offering a mix of one- and two-bedroom units. Average monthly rent is $550, including utilities.

Community amenities include an on-site laundry facility, community room with kitchen and big-screen TV, elevators, storage, and a bike room.

“The property has recently undergone significant renovations that allow for new ownership to focus on operational efficiencies and the potential conversion to senior-focused housing,” Stofflet said. “The building has historically maintained a high occupancy level with long-term, stable tenants. Its low-maintenance, efficient one-bedroom units offer easy, low-cost returns.

“By adding an on-site commercial kitchen, the property could become an independent or full-service senior living facility,” Stofflet added.

Located near I-39/I-90, Park View is approximately 45 minutes from Madison and less than 90 minutes from both Milwaukee and O’Hare International Airport. Major area employers include Mercy Health System, Janesville School District, Blackhawk Technical College, Data Dimensions Corporation, Grainger and Seneca Foods.

6701 Schroeder Road – Madison, Wis. (part of the IL-WI portfolio)
Waterleaf Apartments, 6701 Schroeder Road, comprises 176 garden-style apartments, including a mix of one-, two- and three-bedroom floor plans. Rents range from $739 to $1,018 per month.

Situated on 6.5 acres, the community includes 11 residential buildings, each with their own laundry and storage facilities. Community amenities include an on-site playground and picnic area, with plans in place to construct a new leasing office and resident clubhouse with an outdoor pool.

“Waterleaf is a stabilized asset in a robust residential neighborhood,” said Stofflet. “This community presents buyers with the opportunity to boost revenue by further improving individual units and common areas, and adding the amenities that have already been mapped out by previous ownership.”

Waterleaf Apartments is located one mile south of West Towne Mall and just a few miles from the University of Wisconsin-Madison.

Two-property portfolio: 336 N. Green Bay Road & 3060 Kathe Lane – Waukegan, Ill.
This portfolio of two apartment complexes in Waukegan, Ill., offers a total of 516 units.

Briarwood Apartments, 336 N. Green Bay Road, is a 284-unit community of 18 California-style buildings with a mix of one- and two-bedroom units on 17 acres. Upgrades to 75 percent of the units include new flooring, updated baths, and renovated kitchens with refinished cabinets, new countertops and tile backsplashes, and modern appliances. Community amenities include an outdoor pool, basketball court, playground and grass courtyards.

Heritage Green Apartments, 3060 Kathe Lane, is a 232-unit community comprising 18 buildings with one-, two- and three-bedroom units. Situated on 14.8 acres, all buildings have laundry facilities and an extra storage locker for each unit. Amenities include a clubhouse, outdoor pool, tennis courts, basketball court and multiple recreation areas for children.

The portfolio has market-rate, long-term, assumable financing.

“These properties provide the perfect opportunity for a new investor to immediately establish a market presence in a well-known Chicago suburb,” Stofflet said.

The properties are minutes from Route 41 and I-94, and equidistant from Chicago and Milwaukee. The Gurnee Mills Shopping Center, Illinois’ largest retail outlet mall, is just six miles from the communities. Also nearby is the popular Six Flags Great America, one of the region’s only destination theme parks, which attracts millions of visitors each year.

“Both assets have been very well-maintained and have undergone significant capital improvements, which will allow new ownership to concentrate on operational efficiencies and resident retention,” Stofflet said. “By implementing strategic expense reductions, new ownership will see double-digit returns on this investment.”

About KIG:
Kiser Institutional Group is a Chicago-based woman owned commercial real estate brokerage and development consulting firm specializing in institutional multifamily properties throughout the Midwest. KIG works with institutional owners and investors on the acquisition and disposition of large multifamily properties and portfolios, as well as consulting with developers of multifamily projects, both apartment and condominium. Kiser Institutional Group utilizes dynamic market intelligence created for a wider group of multifamily decision makers, resulting in a more transparent and profitable process. Wielding expert, in-depth multifamily knowledge and an unparalleled track record in transactions, KIG has assembled a forward-thinking team to interpret and deliver data-driven intelligence to today’s institutional investor.