Broadshore Capital Partners snagged a $69 million refinance on one of the largest apartment complexes in the northwest suburbs.
Hunt Real Estate Capital provided financing on the 612-unit Bourbon Square Apartments at 500 East Constitution Drive in Palatine, property records show. The 42-acre complex was built in 1987. The three-story buildings include one-, two- and three-bedroom units.
Los Angeles-based Broadshore Capital formed at the end of 2018, from a merger of partners Lowe Enterprise Investors and the Guardian Life Insurance Company of America. The company manages more than $2 billion in a variety of real estate investments on behalf of public pension funds, insurance companies and investors. Its portfolio includes 38 multifamily properties across the U.S., according to its website. Broadshore Capital owns two other properties in the Chicago area, one in St. Charles and the other in Glenview, said CEO Bradford Howe.
Lowe Enterprises acquired Bourbon Square for about $97 million in 2014. Hunt provided a nearly $68 million loan for that purchase. The seller on that deal was a joint venture of Naperville-based Marquette Companies and Bahrain-based investment group Arcapita Group. The partnership paid $78 million for the complex in 2006, and had intended to convert it to condominiums. But that plan failed, according to Crain’s.
Another planned conversion from condos to apartments in Palatine that didn’t work out happened in 2018, involving the 700-unit Woods at Countryside. VennPoint Real Estate attempted to buy the condo complex for $49 million, but a group of owners sued, saying it was worth more than $70 million.