JRK Fund Acquires Chicago-Area Asset
The community is located in a suburb southwest of the city.
Los Angeles-based JRK Property Holdings has acquired Brook on Janes, a 288-unit Class A multifamily community in the Chicago suburb of Bolingbrook, Ill., for approximately $63 million. The community was purchased through the firm’s $1 billion multifamily value-add and core plus fund, JRK Platform 5 Fund.
JRK did not disclose the identity of the previous owner, though numerous media reports, including Crain’s Chicago Business, have identified Quarterra Multifamily, the Charlotte, N.C.-based multifamily subsidiary of Lennar Corp., as the seller.
JRK secured a 10-year fixed-rate agency loan for the acquisition that was arranged by Annie Rice and Brandon Smith of JLL’s Los Angeles office. Further details on the financing were not disclosed.
The fund, which targets higher-quality, well-located multifamily investments built after 1990, is comprised of institutional-quality assets with an average year-built of 2019 in Illinois, Florida, Kansas and California. Located at 401 Janes Ave., Brook on Janes was built by Quarterra, formerly known as LMC. The fund plans to acquire two additional properties for more than $100 million within the next 45 days. JRK has deployed about 20 percent of the fund since it closed back in October 2022.
Noting they are finally seeing seller capitulation on pricing expectations, JRK officials say they plan to invest from $1.5 billion to $2 billion over the next 12 to 18 months.
Kevin Girard, Roberto Cass and Matt Lawton of JLL’s Chicago office represented the seller in the transaction.
Brook on Janes
Completed in 2017, Brook on Janes is a three-story, garden-style community located about 30 miles west of downtown Chicago. The property offers a mix of studio, one-, two- and three- bedroom floorplans. Apartment features include quartz countertops, stainless steel appliances, under-mounted sinks, wood flooring and private balconies or patios. Community amenities include a resort-style swimming pool with outdoor cabanas, clubhouse with high-tech fitness clubs, a cookout area and gated dog park.
Brook on Janes is also close to Naperville, Ill. Retail in the area includes The Promenade Bolingbrook, an open-air shopping center offering approximately 750,000 square feet of shopping, dining and entertainment options. Residents can also visit several nearby parks and golf courses.
Other JRK holdings in the Chicago area include the 504-unit Lakeside in Lombard, Ill., and the 838-unit The Residences at Arlington Heights in Arlington Heights, Ill.
Past deals
In early 2023, JRK used the fund to buy two multifamily properties for a total of $168.5 million in separate transactions. JRK acquired Residences at Park Place, a 258-unit luxury mid-rise and townhome community in Leawood, Kan., from VanTrust Real Estate, in January. The second property, The Desota, a 10-story, 180-unit multifamily in downtown Sarasota, Fla., was acquired from Bluerock Real Estate several months later for $81.5 million, according to Business Observer.
Founded in 1991, JRK has $7 billion of assets under management across 26 states, including approximately 30,000 multifamily units.
