Laramar Group just nabbed an apartment complex in the western Chicago suburbs.
The real estate company with offices in Chicago and Denver bought a 294-unit property for $72.1 million, or $245,000 per unit, property records show.
The complex at 2845 Easton Street in Downers Grove was previously known as Renew at Downers Grove and was owned by San Francisco-based investor FPA Multifamily since 2018.
The complex has taken on a new name: The Easton Downers Grove, according to the complex’s website. A Laramar representative confirmed the sale Friday, but did not respond to requests for comment.
The complex features a mix of apartments from studios to two bedrooms as well as townhomes for rent, according to its website. The property’s location near Highway 355 and Interstate 88 makes it ideal for commuters.
FPA, a big name in acquisitions in the Chicago area and across the country, paid $65 million for the property back in 2018. The seller was a joint venture led by Chicago developers Tom Moran and Tony Rossi, which built the complex.
It is relatively rare for FPA to put multifamily properties up for sale, but this is not the first large multifamily asset it has sought to offload in recent months.
The company is looking for a buyer for a 758-unit residential complex in Wheaton, another western suburb. The ReNew Wheaton Center, a residential complex with six apartment buildings, includes a pair of 20-story high-rises.
The multifamily investment market faces challenges due to high interest rates and slowing sales. However, FPA, led by founder Greg Fowler, is looking to overcome those challenges by offering potential buyers “accretive assumable financing” that allows buyers to take on the existing loan at a lower interest rate.
It is unclear whether this kind of financing was used in Laramar’s transaction.
The assumable loan structure has become increasingly common in the Chicago real estate market. Recent examples include the $31 million sale of the 78-unit MODE Logan Square Apartments and the $94 million sale of the Haven on Long Grove in Aurora, both of which used assumable interest rates to secure buyers in a difficult market.
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