MARCH 14, 2019|CAMERON GEORGE
$100 Million Apartment Sale is Largest Ever for Chicago Suburb Hayman Cos. Buys 568-Unit Lakeside in Largest Apartment Deal in History of Lisle, Illinois
A small suburb located about 25 miles west of downtown Chicago just saw its first ever nine-figure apartment sale.
The Hayman Co., a national commercial real estate investment firm out of Southfield, Michigan, struck a deal with original owner Apartment Investment and Management Co. to acquire the Lakeside Apartments at 4800 Lake Trail Drive for $100 million, the largest apartment deal ever recorded in Lisle and the largest so far this year in the Chicago market.
Activity has picked up in recent years in Lisle, where relatively high vacancy has been driven by a wave of new development, namely of the 4- and 5-Star variety, since 2016. However, the area has still generated one of the highest aggregate rental growth rates in Chicagoland over the past five years.
The western suburb is home to several large companies including Molex, O’Reilly Automotive and Navistar, an international automotive manufacturer that moved its headquarters to Lisle in 2012. Those jobs, along with quality schools and the suburb's location along the I-88 corridor, make Lisle/Naperville an "exceptional live/work submarket," according to CoStar's latest submarket report on Lisle/Naperville.
Denver's Apartment Investment and Management Co. had owned Lakeside since its completion in 1972. The largest community by number of apartments in Lisle, the 568-unit Lakeside is comprised of 28 garden-style buildings across three parcels and offers a unit mix of 238 one-, 275 two- and 55 three-bedroom units.
The acquisition falls in line with Hayman's investment strategy to acquire older Class B and C apartments that can be repositioned and renovated to maximize value. The company also owns the Clover Ridge East Apartments in Palatine, Illinois, a 276-unit, Class B community the firm acquired in 2015 for $41.5 million.
Though the $100 million sale price of Lakeside is the largest on record in Lisle, the per unit price of $176,000 falls in line with the area average.
For the record:
Susan Lawson, Debbie Corson, George Skaff and Matt Newcomer of Apartment Realty Advisors represented Apartment Investment and Management Co. in the sale. The Hayman Co. will manage the community moving forward.
The Hayman Co., a national commercial real estate investment firm out of Southfield, Michigan, struck a deal with original owner Apartment Investment and Management Co. to acquire the Lakeside Apartments at 4800 Lake Trail Drive for $100 million, the largest apartment deal ever recorded in Lisle and the largest so far this year in the Chicago market.
Activity has picked up in recent years in Lisle, where relatively high vacancy has been driven by a wave of new development, namely of the 4- and 5-Star variety, since 2016. However, the area has still generated one of the highest aggregate rental growth rates in Chicagoland over the past five years.
The western suburb is home to several large companies including Molex, O’Reilly Automotive and Navistar, an international automotive manufacturer that moved its headquarters to Lisle in 2012. Those jobs, along with quality schools and the suburb's location along the I-88 corridor, make Lisle/Naperville an "exceptional live/work submarket," according to CoStar's latest submarket report on Lisle/Naperville.
Denver's Apartment Investment and Management Co. had owned Lakeside since its completion in 1972. The largest community by number of apartments in Lisle, the 568-unit Lakeside is comprised of 28 garden-style buildings across three parcels and offers a unit mix of 238 one-, 275 two- and 55 three-bedroom units.
The acquisition falls in line with Hayman's investment strategy to acquire older Class B and C apartments that can be repositioned and renovated to maximize value. The company also owns the Clover Ridge East Apartments in Palatine, Illinois, a 276-unit, Class B community the firm acquired in 2015 for $41.5 million.
Though the $100 million sale price of Lakeside is the largest on record in Lisle, the per unit price of $176,000 falls in line with the area average.
For the record:
Susan Lawson, Debbie Corson, George Skaff and Matt Newcomer of Apartment Realty Advisors represented Apartment Investment and Management Co. in the sale. The Hayman Co. will manage the community moving forward.