CHICAGO, IL- Aries Capital, LLC, just announced that they have closed on two loans for multifamily properties in Chicago. The first, for $2.56 million, was for the acquisition of 4712 N. Racine Ave. in the city's Uptown neighborhood. The building has 43 residential units and two retail units.
Aries' Vice President Eric Jones, of the firm's Chicago office, handled the loan for owner Andrew Niewiarowski, the new president of Lincoln Park Builders of Chicago. This is the second property that Aries has financed for Niewiarowski, who currently owns and operates 323 units in Illinois and Florida.
“The property currently has good cash flow and promises significant upside in rent increases after capital improvement. There's also increasing interest in the vacant commercial space,” said Jones in a prepared statement. The 10-year Fannie Mae loan features a 30-year amortization and interest rate of 4.13%.
Jones also closed another $2.275 million Fannie Mae loan for a 9-unit multifamily building at 693 N. Peoria Ave., in the River West neighborhood. This was the third loan that Jones has arranged in the last six months for the owners, Douglas Crocker II and Matt McHugh, who bought the recently constructed property with cash last year. Crocker is the former president and CEO of Equity Residential and McHugh is the managing member of the Affitto group. This 10-year Fannie Mae loan features a 4.13% interest rate with 30-year amortization.
“The borrowers are very active buyers. We are now working with them on setting up a bridge program which will allow them to take down properties that may need some rehab or a little more operating history at increased rents before we place long-term, fixed rate, non-recourse debt on them,” said Jones.
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Brian J. Rogal
Brian J. Rogal is a Chicago-based freelance writer with years of experience as an investigative reporter and editor, most notably at The Chicago Reporter, where he concentrated on housing issues. He also has written extensively on alternative energy and the payments card industry for national trade publications.
