Hunt Real Estate Capital provided a first mortgage bridge loan in the amount of $6.2 million to refinance a multifamily property located in Chicago, Illinois.
The property is known as 5009 Ashland Avenue and is located at 5001-5009 North Ashland Avenue, which is located on Chicago’s north side approximately 8.5 miles north of downtown. The property was built in 1918 and consists of a 31-unit, three-story low-rise apartment building situated on a 0.38-acre site. The unit mix is comprised of four, one-bedroom units and 27, two-bedroom apartments.
The sponsor on the deal, The Greenwald Company, has current portfolio consisting of 23 properties spread over a variety of asset classes including mixed use, retail, office, industrial and multifamily, with most of the properties being located in Chicago and Southern California.
“This property is located between two popular and well-established neighborhoods – Ravenswood and Andersonville and is within walking distance of Andersonville’s unique Clark Street Shopping District,” commented Harris Heller, Managing Director at Hunt Real Estate Capital.
The new facility will be used to refinance the existing loan and approximately $1 million will be allocated for future funding of capital improvements that will go towards the renovation and improvement of the property. Planned interior upgrades include refinishing/staining hardwood floors, replacing carpet in common areas, replacing appliances with stainless steel, and more. Common areas will be also updated with new entry doors, a security and surveillance system, and the addition of a fitness center, with storage lockers and bike storage in the basements. In addition, funds will also be used to address deferred maintenance, upgrade building systems and perform exterior improvements.
“The Greenwald Company is a seasoned local investor that has managed the repositioning of nine investment properties in the Chicago area since 2014,” added Heller. “We were pleased to provide the financing to secure this property for a quality sponsor in a city with strong demand for multifamily housing.”
5009 Ashland Avenue is located near a variety of popular shops and restaurants including entertainment opportunities. In addition, the property benefits from excellent access to public transportation with the CTA Red line located half a mile east and the Ravenswood stop of the Metra train service located half a mile southwest of the subject.