Tishman Speyer Buys Second Chicago Apartment Asset

Tishman Speyer has expanded its Chicago multifamily portfolio in a nearly $114 million acquisition.

The New York investor purchased Elevate Lincoln Park, a 191-unit apartment complex at 930 West Altgeld Street in Lincoln Park, CoStar first reported. The North Side property was sold by Baker Development in late January for about $596,000 per unit, marking one of Chicago’s first major apartment building transactions this year.

JLL’s Mark Stern, Kevin Girard and Zach Kaufman represented Baker Development, which developed the property in 2018. Baker had attempted to sell the building in 2021 and 2023 but was unable to find a buyer.

The 11-story building was marketed with the option for the buyer to assume a $78.6 million Fannie Mae loan, which matures in 2029. Financing details were not disclosed.

Average monthly rents at Elevate range from $2,377 for studios to $7,305 for three-bedroom units, according to CoStar. The property also boasts 16,000 square feet of retail space and 160 indoor parking spaces. Amenities include a pool, sky lounges and a fitness center. The property is about 95 percent occupied.

Tishman, known for its office holdings, has been expanding its residential portfolio, which includes nearly 33,000 units. Elevate is Tishman’s second major residential acquisition in Chicago, following its purchase of Union West in the West Loop for $128 million in late 2023.

The firm’s local office holdings includes properties at 222 North LaSalle Street, 320 North Sangamon Street, 525 West Monroe Street, the CME Center at 30 South Wacker Drive, and the Franklin at 227 West Monroe and 222 West Adams Streets.

The building’s location, coupled with limited new construction in the area, makes it a sought-after asset. Just 320 units are under construction in the North Lakefront submarket, which is projected to benefit landlords.

Additions to the supply are anticipated to decline by 31 percent over the next four years compared to the 10-year historical average, with the South Loop seeing a sharp 49 percent decrease, according to Cushman & Wakefield.

— Andrew Terrell