Overview

Description

Multifamily Investment Advisors, in conjunction with KW Commercial & Keller Williams One Chicago, is proud to present the Avalon Park portfolio consisting of 8600 S. Euclid Ave., 8700 S. Paxton Ave., and 8314 S. East End Ave. in the Avalon Park neighborhood of Chicago, IL. This 45 unit multi-family portfolio offers an exceptional value add opportunity with its strategic location, desirable unit mix, and potential for value appreciation. 

8600 S. Euclid Ave. (“Euclid”) has 11 one bedroom apartments and 8 newly converted two bedroom apartments. 8700 S. Paxton Ave. (“Paxton”) has 10 one bedrooms, 6 two bedrooms, and 2 newly converted two bedroom apartments from 1 bedrooms for a total of 18 units. 8314 S. East End Ave. has 6 one bedrooms, and 2 two bedrooms. There is potential to add an additional unit for a total of 9 units. 

Seller has been able to increase market rents of converted 2 bedroom units between 25% and 30%. As of the date of this Investment Summary, nine 1 bedroom apartments have been converted to 2 bedrooms. Additionally, rental increases took effect 1/1/2023, thus bolstering rental revenue significantly in 2023. As such, the majority of the tenants are now more closely aligned to current market rates. However, a new Buyer can still press rents higher. 

Investors and 1031 exchangers can either assume this ultra low 3.5% fixed interest rate, Fannie Mae non-recourse loan secured on the 8600 S. Euclid & 8700 S. Paxton properties OR pay off the loan with an all cash transaction or refinance. Buyer is fully responsible for the prepayment penalty associated with the loan. 

Nestled in the heart of Chicago, the Avalon Park neighborhood is a hidden gem that beckons residents and visitors with its unique blend of history, culture, and community spirit. Located on the city's South Side, this neighborhood is a testament to the resilience and character of Chicago's diverse communities. From its rich history to its thriving arts scene and vibrant local businesses, Avalon Park has something for everyone to discover and enjoy. 

 




CURRENT CAP RATE  - 7.61% 

PRO FORMA CAP RATE - 8.91% 

2 BDRM PRO FORMA CAP RATE - 9.66% 

 

Avalon Park is a tight-knit community where residents take pride in their neighborhood. The area's residents come from diverse backgrounds, creating a welcoming and inclusive atmosphere. This diversity is reflected in the vibrant local events, community organizations, and grassroots initiatives that continue to strengthen the neighborhood's bonds. 

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