Loyola University Chicago just spent a pretty penny on an apartment complex near its North Side campus.
The 58-unit Arcade Residences at 1135 West Sheridan Road came with a $35-million-dollar price tag and straddles the line between Rogers Park and Edgewater, Crain’s reported. The sale equates to roughly $603,000 per unit.
Loyola acquired the property from a venture of Northbrook-based Borekci Real Estate, which completed the seven-story building in 2019. Todd Stofflet and Jason Stevens of Walker & Dunlop Midwest Investment Sales marketed the complex on behalf of the Borekci venture.
The sale highlights the strong demand for multifamily in Chicago. While there have been plenty of pricier deals this year, the per unit figure is on the high end, especially for a non-luxury apartment property.
Elsewhere on the North Side, the 155-unit Anderson Point luxury apartments sold for $53.5 million in February, amounting to about $345,000 per unit. Last year, Horizon Realty paid $38.5 million for a 133-unit complex in Edgewater. That’s roughly $289,000 per unit.
It’s unclear what it cost to develop Arcade Residences. The Borekci venture purchased the site — formerly home to the Woodruff Arcade building — for $4.5 million in 2016. It refinanced the property with a $21 million mortgage last year, the outlet reported.
After the pandemic hit, investors steered clear of student housing, as many students attended class remotely. However, demand bounced back in a big way last year. Nationwide, sales of student housing properties totalled $8.2 billion in 2022, up more than 20 percent from 2021.
—Quinn Donoghue
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