CHICAGO, IL — Interra Realty, a Chicago-based commercial real estate investment services firm, today announced it has brokered the sale of Riviera Apartments, an 84-unit rental community at 9739 S. Kedzie Ave. in Evergreen Park, Ill., approximately 15 miles from downtown Chicago. Interra Managing Partner James Clough represented both the buyer and seller in the transaction, which at $6.63 million, equated to approximately $78,928 per unit.
“This deal demonstrates the value investors continue to see in well-located, well-maintained assets – especially mid-size properties with anywhere from 50 to 150 units,” said Clough. “Because investors historically view them as long-term holds, buildings like these do not trade very often. Yet due to our familiarity with the suburban rental market, we were able to identify a local buyer without ever listing the property, in keeping with the seller’s desire for an expedited, off-market sale.”
Built in 1968, the property encompasses three buildings fronting Kedzie Avenue. Together, they house 57 one-bedroom and 27 two-bedroom apartments, which were 97 percent occupied at the time of closing. The buyer is planning interior renovations, including new kitchens and baths, to bring rents to market level.
“Evergreen Park is a mature market that draws interest from investors who are familiar with the area and understand the opportunities that exist here,” said Clough. “For a property like Riviera Apartments, we were able to secure a high per-unit price for the seller, but the building still offers value-add opportunities, which the buyer quickly recognized.”
The property is steps from CTA bus routes that connect to nearby rail lines, providing access to downtown and destinations throughout the Chicago metro area.