Trending

Greenstone buying lakefront condo building in latest deconversion

Owners in the Sheridan Road property are cashing out amid the city's high demand for rental units

5815 North Sheridan Road (Credit: Redfin)
5815 North Sheridan Road (Credit: Redfin)

Greenstone Property Group is buying a lakefront condo building in Edgewater in the city’s latest string of deconversions.

The New York-based investor paid for $27.2 million for the 188-unit residential property, which it wants to convert into apartments, according to the Chicago Tribune. The 12-story building is located at 5815 North Sheridan Road.

In agreeing to the bulk sale, condo owners in the building are the latest to cash out as investors look for ways to add more rental units to their portfolios amid continued high demand.

Shawn Swift, president of the condo board at the Sheridan Road building, said the property needs $3 to $4 million in repairs, part of the reason owners agreed to the sale. About half of the condos are already used as rentals, which is also common in deconversions.

Sign Up for the undefined Newsletter

Almost 80 percent of the unit owners chose to accept Greenstone’s offer last month, Swift said. Illinois law requires approval of 75 percent of ownership before a bulk sale can take place.

The condo owners are represented in the sale by CBRE’s Sam Haddadin.

A pending deal for New York-based ESG Kullen to buy a 391-unit building at 1400 North Lake Shore Drive for $112 million would be the most expensive deconversion sale in city history.

New Jersey-based Strategic Properties of North America in May bought a 268-unit tower for $78 million, while Golub & Company paid $60 million earlier this year for the deconversion of the 292-unit Century Tower at 182 West Lake Street. [Chicago Tribune] — John O’Brien

 

Recommended For You