CHICAGO—The appeal of west suburban multifamily developments has brought about another significant purchase, this time by an investor which has already poured a lot of money into the region. Sinatra & Co. Real Estate has acquired Fox Valley Villages in Aurora, IL, for $53.75 million in a joint venture with Chicago-based residential property management and acquisitions firm, Stadt Group, and a majority equity investment from Torchlight Investors, an independent asset manager focused on commercial real estate investments. Chicago-based Moran & Co. brokered the transaction.
The 420-unit garden-style apartment community located on 20.93 acres at 710 S. Eola Rd. is comprised of 18 three-story residential buildings developed over two phases in 1985 and 1990, a stand-alone clubhouse completed in 2005, and three detached garage buildings. It is Sinatra's third asset in the Chicago real estate market. The Sinatra-Stadt joint venture purchased Orchard Village Apartments, also in Aurora, for $34.5 million in November 2015 and Timber Creek Apartments in Woodridge, IL for $25.017 million in June 2016.
As reported in GlobeSt.com, investors have been eager to buy up multifamily developments in the suburbs due to strong tenant demand and the prospects for future job growth. But few value-add prospects remain.
“Consistent with our firm's value-add investment strategy, Fox Valley Villages is a strategic addition to our Chicagoland portfolio, allowing our continued participation in area rent growth and auxiliary rental income increases,” says Nick Sinatra, president of Buffalo, NY-based Sinatra & Co. “We plan to accelerate already strong revenue growth through interior unit and amenity upgrades and achieve increased resident satisfaction, solid rent rolls, and lower turnover.”
The company's plan for the complex includes complementing the work performed by the seller on 267 units in 2009. Those upgrades included new granite countertops, stainless steel appliances, 42” maple cabinets, six panel doors, new flooring in kitchens and bathrooms, and brushed nickel hardware.
“This is a high-quality property located in one of the strongest residential markets in the Chicago area and is well positioned to capture a significant amount of added value through the implementation of a strategic renovation program,” says Mike Butz, a partner at Torchlight Investors.
CHICAGO—The appeal of west suburban multifamily developments has brought about another significant purchase, this time by an investor which has already poured a lot of money into the region. Sinatra & Co. Real Estate has acquired Fox Valley Villages in Aurora, IL, for $53.75 million in a joint venture with Chicago-based residential property management and acquisitions firm, Stadt Group, and a majority equity investment from Torchlight Investors, an independent asset manager focused on commercial real estate investments. Chicago-based Moran & Co. brokered the transaction.
The 420-unit garden-style apartment community located on 20.93 acres at 710 S. Eola Rd. is comprised of 18 three-story residential buildings developed over two phases in 1985 and 1990, a stand-alone clubhouse completed in 2005, and three detached garage buildings. It is Sinatra's third asset in the Chicago real estate market. The Sinatra-Stadt joint venture purchased Orchard Village Apartments, also in Aurora, for $34.5 million in November 2015 and Timber Creek Apartments in Woodridge, IL for $25.017 million in June 2016.
As reported in GlobeSt.com, investors have been eager to buy up multifamily developments in the suburbs due to strong tenant demand and the prospects for future job growth. But few value-add prospects remain.
“Consistent with our firm's value-add investment strategy, Fox Valley Villages is a strategic addition to our Chicagoland portfolio, allowing our continued participation in area rent growth and auxiliary rental income increases,” says Nick Sinatra, president of Buffalo, NY-based Sinatra & Co. “We plan to accelerate already strong revenue growth through interior unit and amenity upgrades and achieve increased resident satisfaction, solid rent rolls, and lower turnover.”
The company's plan for the complex includes complementing the work performed by the seller on 267 units in 2009. Those upgrades included new granite countertops, stainless steel appliances, 42” maple cabinets, six panel doors, new flooring in kitchens and bathrooms, and brushed nickel hardware.
“This is a high-quality property located in one of the strongest residential markets in the Chicago area and is well positioned to capture a significant amount of added value through the implementation of a strategic renovation program,” says Mike Butz, a partner at Torchlight Investors.
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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.
