CA Ventures found a buyer for its new 26-story South Loop apartment complex as the firm continues to shed residential buildings from its portfolio.
Diamond Realty Investments, the real estate arm of car manufacturer Mitsubishi, paid $117 million for the 320-unit building at 1140 South Wabash Avenue, Cook County property records show. Japanese bank Sumitomo Mitsui provided a $76 million acquisition loan. The deal closed March 27, records show.
Developed by Chicago-based CA and Keith Giles, the building known as Eleven40 was delivered last year and was nearly 90 percent leased in four months. The building includes a mix of studios, one-bedrooms and two-bedrooms renting from $1,492 to $3,216. CA and Giles took out a $51 million construction loan in 2016 to finance the project.
This is Diamond Realty’s first multifamily acquisition in the Chicago market, according to its website. The California-based firm also owns two student housing complexes and 14 industrial properties throughout the state. Diamond Realty could not be reached for comment.
The Eleven40 deal is just the latest sell-off for CA.
Earlier this year, CA and Akara Partners sold a 227-unit River West complex to Newcastle for $85 million. The developers originally tried to sell the complex in 2017 but pulled it off the market after failing to get their price.
The team of CA and Giles sold their South Loop student housing complex in October to DWS Group for $76.8 million.
Even as it’s sold off some of its local holdings, CA is continuing to invest and develop in the market. The firm is working to build a 261-unit apartment building in Old Town. It has also launched an industrial division, promising to invest $500 million in the markets across the country.
A representative for CA did not immediately return a request for comment.