Transaction is submarket’s largest by total sale price and unit count since Interra-brokered sale of The Cloisters in 2021
Interra Realty, a Chicago-based commercial real estate investment services firm, today announced it brokered the $17 million sale of a three-building, 79-unit multifamily portfolio in Chicago’s Hyde Park neighborhood to a single buyer. The properties include 1310 E. Hyde Park Blvd., a 25-unit building; 1318 E. Hyde Park Blvd., a 26-unit property; and 1334 E. Hyde Park Blvd., a 28-unit building. The transaction was the largest by total sale price and unit count since Interra brokered the $23.4 million sale of The Cloisters, an 86-unit apartment complex at 5801 S. Dorchester Ave., in 2021.
Interra Senior Managing Partner Joe Smazal represented the private seller, an East Coast-based investor that had renovated 90% of the units, with Interra securing multiple offers and closing the deal despite recent economic volatility. The confidential buyer, a separate East Coast-based investor who was represented by Interra Managing Partner Ted Stratman, plans to add energy-efficient boilers, replace all roofs, update the remaining unrenovated units and add new amenities such as bike rooms.
“The fact that these buildings traded between two coastal investors testifies to the continued attractiveness of Chicago’s multifamily properties to out-of-state buyers who understand their value potential,” said Smazal. “This portfolio offered immediate economies of scale in a high-demand, low-sale-velocity submarket, with many improvements already made but room for additional rent growth. The proximity to the University of Chicago campus only added to its appeal.”
“These properties presented a long-term client with an opportunity to substantially add to its South Side portfolio,” said Stratman. ”A value-add opportunity of this size in Hyde Park is rare.”
1310, 1318 and 1334 E. Hyde Park Blvd. comprise 43 one-bedroom units and 36 three-bedrooms. The three-bedroom apartments feature in-unit laundry.
The three properties are located about a mile north of the University of Chicago and served by several CTA bus routes, including those connecting to the Green and Red lines. They are also close to the 51st/53rd Street station along Metra’s Electric Line; a variety of retail, restaurant and hospitality offerings in downtown Hyde Park; and attractions along the lakefront, located about a half-mile east of the buildings.
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. For more information, visit www.interrarealty.com.
