|Northwest view of Burnham Pointe (via Crains)|
The downtown apartment boom is paying off handsomely for a Texas investor that's selling a South Loop tower for $126 million, 43 percent more than it paid in 2010.
Monogram Residential Trust is selling Burnham Pointe, a 298-unit high-rise at 730 S. Clark St., to Crescent Heights, a Miami-based investor and developer that has been busy in downtown Chicago, according to people familiar with the transaction.
Crescent Heights is an active real estate player in Chicago and especially in the South Loop (via Crains):
More recently, Crescent Heights been in buying mode, acquiring five downtown buildings with 1,355 units since 2010, according to Chicago-based consulting firm Appraisal Research Counselors. In the South Loop, it already owns Astoria Tower, a 205-unit high-rise at 8 E. Ninth St., the Lex, a 296-unit building at 2138 S. Indiana Ave., and the Park Michigan, a 344-unit tower at 1212 S. Michigan Ave.As you may recall they also own one of the Sloop's most high-profile pieces of vacant land - the southeast corner of Michigan and Roosevelt. While nothing has been announced for this land, a rumored project called "The Chicago" continues to show up randomly across the web.
They also own the one-acre vacant lot at 13th and Indiana (northeast corner).
Anyway, nice to see a respected company continuing to invest in the neighborhood.
If you're wondering about this hot market, the article does end by saying that their are concerns for investors (however we assume they mean real estate companies) - via Crains:
The neighborhood's biggest risk for investors is a surplus of land for new developments. Several apartment projects are under construction or in the works that will compete for renters with Burnham Pointe.
Burnham Pointe was 96.3 percent occupied in the first quarter, according to an Appraisal Research report. Rents ranged from $1,730 a month for a one-bedroom unit to $6,182 for the most expensive two-bedroom.
(Hat tip: BT!)