Draper & Kramer lists massive Bronzeville rental complex in Opportunity Zone

The developer built the 1,675-unit, five-building Prairie Shores complex in 1961

Chicago /
Feb.February 28, 2019 03:30 PM

Todd Bancroft and the Prairie Shores apartments

Draper & Kramer is looking to sell its Prairie Shores apartment complex in Bronzeville, testing the market for the emerging area near McCormick Place and the federal Opportunity Zone program.

The Chicago-based developer hired HFF to market the 1,675-unit Prairie Shores complex that spans five buildings in Bronzeville, according to Crain’s. Built by Draper & Kramer in 1961, the development now rests at the south end of the growing McCormick Place district, which is seeing renewed developer interest, and is close to the site of the old Michael Reese Hospital that’s eyed for redevelopment.

The development also sits within an opportunity zone, according to Crain’s. It could be one of the first big, local deals to fall within an opportunity zone, the new but already extremely popular federal program that lets investors defer taxes if they invest in the zones encompassing low-income areas.

The complex is being marketed as a rehab opportunity, according to Crain’s. Draper & Kramer already rehabbed 54 units, which rent for a premium. The complex is 94 percent occupied.

Listing Prairie Shores is one of the first major moves under new CEO Todd Bancroft, only the second non-family member to heard the company in its 125-year history. In an interview with The Real Deal, Bancroft said the company would undertake a number of new initiatives, including an expansion to new markets.

Draper & Kramer is not exiting the Near South Side rental market anytime soon. The firm still owns the 2,000-unit Lake Meadows just south of Prairie Shore. Earlier this month, Draper & Kramer started work on its long-planned 275-unit tower near McCormick Place. [Crain’s]Joe Ward


Related Articles

arrow_forward_ios
Henry Kravis, co-founder and co-executive chairman, KKR (KKR); and Logistics Property In Suburban Chicago area (Crow Holdings)
KKR fund buys 923K sf three-building logistics property in suburban Chicago as part of $264M deal
KKR fund buys 923K sf three-building logistics property in suburban Chicago as part of $264M deal
A rendering of "43 Green," the planned development on the corner of Calumet Avenue and 43rd Street (Chicago Department of Planning & Development)
Mixed-use development set to bring housing, retail to Bronzeville
Mixed-use development set to bring housing, retail to Bronzeville
These were Chicago’s top real estate stories of 2021
These were Chicago’s top real estate stories of 2021
These were Chicago’s top real estate stories of 2021
Duke Realty buys still more Chicago property, expanding to suburbs
Duke Realty buys still more Chicago property, expanding to suburbs
Duke Realty buys still more Chicago property, expanding to suburbs
Chicago Bears tease Arlington Heights move
Chicago Bears tease Arlington Heights move
Chicago Bears tease Arlington Heights move
Developer 601W lands $830M refinancing for Old Post Office building
Developer 601W lands $830M refinancing for Old Post Office building
Developer 601W lands $830M refinancing for Old Post Office building
Ace Hotel Chicago announces closure after building sells for $63M
Ace Hotel Chicago announces closure after building sells for $63M
Ace Hotel Chicago announces closure after building sells for $63M
Kaegi puts spotlight on commercial property assessment appeals
Kaegi puts spotlight on commercial property assessment appeals
Kaegi puts spotlight on commercial property assessment appeals
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...