A Minnesota-based real estate firm continues to see opportunity in the stable Chicago suburbs.
Heartland Realty Investors acquired the 368-unit Savannah Trace apartments at 1421 Carolina Court in Schaumburg from AIMCO for $72.5 million, according to Cook County records filed Friday.
NorthMarq Capital provided a $54 million loan for the acquisition, records show.
AIMCO in 2013 hired Moran & Co. to sell the property as a value-add opportunity, with the buyer undertaking more renovations beyond the new appliances and floors AIMCO had already added, Crain’s reported at the time.
Heartland manages more than 3,000 units in 10 states, according to its website. Its portfolio also includes the Arboretum Villages and Lisle Station Apartments in Lisle, the Villages of Greene Valley in Woodridge and the Willowbrook Apartment Homes in Willowbrook.
The firm did not immediately respond to a request for comment Friday.
The overall suburban apartment market has fared almost as well in recent years as the booming Downtown market, drawing investors to existing properties and new projects alike. Some 3,000 new apartments came online last year in the suburbs, and another 3,000 are expected this year.
The building boom is likely holding back suburban rent growth: Apartment rents outside the city climbed by between 3 and 5 percent each year between 2014 and 2017, but the $1.47-per-square-foot median registered during the third quarter of 2018 was just 1.2 percent higher year over year.