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Chicago & Midwest  + North Side  + Apartments  | 

$111M Gold Coast Deconversion Plan Comes Up Short

ESG Kullen’s plan to buy 1400 N. Lake Shore Dr., a 391-unit residential condominium in Chicago’s Gold Coast neighborhood failed to win enough support from unit owners. Crain’s Chicago Business reported that 74.6% of unit owners voted in favor of the $111-million deal, a tally that fell short of the 75% minimum needed under state law.

The New York City-based investment firm, whose holdings include 3,500 apartment units, intended to turn 1400 N. Lake Shore’s condos back into apartments. It would have been the largest condo deconversion deal the city has seen.

Crain’s reported that deconversion has swept through Chicago because of the strong rental housing market, in which many residential buildings in the city are worth more today as rentals. ESG Kullen’s offer would have equated to $410 per square feet, well above the $300 per square foot that some units at the property had achieved recently.


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About Paul Bubny

Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 16-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 7-10 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces. Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications. Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).

  • ◦Development
  • ◦Sale/Acquisition
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