Working on behalf of The Greenwald Co., Hunt Real Estate Capital has secured a $6.2 million first mortgage bridge loan. The owner will use the financing to refinance a multifamily community in Chicago.
Located at 5001-5009 N. Ashland Ave., the property offers 31 units within a three-story, low-rise apartment building. Situated on 0.4 acres, the community offers four one-bedroom and 27 two-bedroom units.
The new loan for the 1918-built asset will be used to refinance its existing loan, while $1 million will be allocated to fund future capital improvements that will go toward the renovation and improvement of the property. This will include refinishing/staining hardwood floors, replacing the appliances with stainless steel and replacing the carpet in the common areas. There will also be updates to entry doors, the installation of a security and surveillance system and the addition of a fitness center, storage lockers and bike storage. Additional funds will also be used to address deferred maintenance, exterior improvements and upgrading building systems.
“According to REIS, average vacancy of 4.0 percent in the Rogers Park/Uptown apartment submarket is below the average vacancy of the Chicago region as a whole,” Harris Heller, managing director at Hunt Real Estate Capital, told Multi-Housing News. “Vacancy rates for Class B/C properties are also outperforming Class A properties in the submarket. Vacancy rates are projected to remain stable over the next few years at 3.8 percent through 2022.”
The building is conveniently located 8.5 miles from downtown Chicago and a half mile from the CTA Red line and Ravenswood stop of the Metra train service.
Last month, Hunt Real Estate Capital provided a $34.4 million Freddie Mac loan to finance the construction of The Village of Wintergreen, an upcoming 156-unit workforce housing project in Keystone, Colo.
Image courtesy of Hunt Real Estate Capital