CHICAGO, IL – Marcus & Millichap (NYSE: MMI), a leading commercial real estate investment services firm with offices throughout the United States and Canada, today announced the sale of a four-story, 81-unit apartment building at 1345 W. Estes Ave. in Chicago’s Rogers Park neighborhood. The $12.25 million sale price was the highest for an apartment building in Rogers Park since 2016 and, at $151,235 per unit, set a new per-unit record for a vintage apartment building in the North Side neighborhood.
James Ziegler, investment specialist in Marcus & Millichap’s Chicago Downtown offices, exclusively marketed the property on behalf of the private seller. Ziegler and Keith Zelenika also secured and represented the buyer, an out-of-state investor.
“As investors seeking good cash-flow deals look beyond the coasts, they are discovering excellent opportunities in Chicago neighborhoods like Rogers Park, where prices have been slower to appreciate,” said Ziegler. Out-of-state buyers were responsible for 18 percent of Rogers Park multifamily sales in 2016, 32 percent in 2017, and 50 percent year to date in 2018, according to Marcus & Millichap research and Co-Star. “Many of these buildings are a value-add play, drawing investors who can update them and bring rents to market levels,” Ziegler said. The buyer of 1345 W. Estes plans to renovate all apartments and corridors, he added.
Built in 1930, 1345 W. Estes is a courtyard building with a mix of studio, one-, two- and three-bedroom units. Units range in size from 600 square feet for studios to 1,200 square feet for three-bedroom apartments.
The property is a short walk from several CTA bus stops and the Morse Red Line station, which provides rail service to downtown Chicago. Also nearby are popular shops, restaurants and nightlife, as well as recreational amenities including Loyola Park Beach, which offers access to the Lake Michigan shoreline.