600 N. Central, Chicago, IL, one of the properties in the portfolio
CHICAGO, IL—Villa Capital Partners purchased a 14-building, 289-unit portfolio of affordable apartments located primarily on Chicago's West Side from Chicago-based nonprofit NHS Redevelopment for $7.8 million. Villa plans to spend about $3 million to renovate the properties, which will remain affordable under a seven-year contract with the city. Interra Realty, a Chicago-based commercial real estate investment services firm, brokered the sale.
Founded in 2005 by Erik Hubbard and John Pagone, VCP focuses on building wealth in underdeveloped and emerging communities throughout Chicago and the Midwest. The firm has managed the affordable housing portfolio since December 2015 and will continue to do so as owner.
“Because we have operated these communities for over three years, we were already 'invested' in them and saw an opportunity to use our familiarity with the buildings, and the residents who call them home, to make thoughtful improvements in conjunction with our extension of their affordable housing contracts,” says Hubbard, managing principal of VCP. “As a company, we are committed to the health and revitalization of all of Chicago's neighborhoods, and this investment directly aligns with that mission.”
The buildings are in Chicago's Austin, East Garfield Park, West Humboldt Park and North Lawndale neighborhoods on the West Side, and in Roseland on the South Side. All but one of the properties is vintage; the community in Roseland is about 20 years old. The portfolio includes a mix of one-, two-, three- and four-bedroom units.
“This is one of the largest West Side transactions of its kind in recent years and reflects the broader push for the preservation and rehabilitation of affordable units throughout the city,” says David Goss, co-founder and managing principal of Interra. Goss brokered the deal with Jon Morgan, also a co-founder and managing principal of Interra, and Lucas Fryman, a director at the firm.
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Steve Lubetkin
Steve Lubetkin is the New Jersey and Philadelphia editor for GlobeSt.com. He is currently filling in covering Chicago and Midwest markets until a new permanent editor is named. He previously filled in covering Atlanta. Steve’s journalism background includes print and broadcast reporting for NJ news organizations. His audio and video work for GlobeSt.com has been honored by the Garden State Journalists Association, and he has also been recognized for video by the New Jersey Chapter of the Society of Professional Journalists. He has produced audio podcasts on CRE topics for the NAR Commercial Division and the CCIM Institute. Steve has also served (from August 2017 to March 2018) as national broadcast news correspondent for CEOReport.com, a news website focused on practical advice for senior executives in small- and medium-sized companies. Steve also reports on-camera and covers conferences for NJSpotlight.com, a public policy news coverage website focused on New Jersey government and industry; and for clients of StateBroadcastNews.com, a division of The Lubetkin Media Companies LLC. Steve has been the computer columnist for the Jewish Community Voice of Southern New Jersey, since 1996. Steve is co-author, with Toronto-based podcasting pioneer Donna Papacosta, of the book, The Business of Podcasting: How to Take Your Podcasting Passion from the Personal to the Professional. You can email Steve at [email protected].
