Developer Sells 216-Unit Multifamily

American Realty Advisors, headquartered in California, acquired the 216-unit Madison at Racine in Chicago’s West Loop/Fulton market. ARA struck the deal with the developer, a joint venture between Ascend Real Estate Group of Chicago, and Boston-based Intercontinental Real Estate. CBRE’s John Jaeger, Dan Cohen and M.J. Zaring represented the seller.

The sales price for the property at 1164 W. Madison was undisclosed. Crain’s Chicago Business said sources familiar with the deal suggested ARA could have paid north of $100 million, or $463,00 per unit. Crain’s said that the developer was expected to spend $67 million on the building, but Ascend indicated it came in under budget.

ARA also owns nearby 1K Fulton, which it acquired in July 2016. “A complete transformation is underway in the West Loop/Fulton submarket,” said ARA’s Ray Kivett. “This once industrial area is now a hub of growth. We continue to seek opportunities to acquire best-in-market assets and are capitalizing on this momentum.”

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