CLK Locks In $115M Refinancing on Chicagoland Apartments

CLK Properties lined up permanent financing on one of Chicagoland’s largest condo deconversions.

The Long Island-based investor secured $115 million in Freddie Mac-backed debt to refinance its 918-unit Courtlands on the Park complex in Des Plaines, Commercial Observer first reported. Greystone originated the nonrecourse, fixed-rate loan, which carries a five-year term, 30-year amortization and three years of interest-only payments.

The fresh debt retires the bridge financing CLK used to acquire the sprawling garden-style property at 10020 Holly Lane, roughly 19 miles northwest of downtown Chicago. Senior Managing Director Eric Rosenstock said in a statement that the loan provides a “permanent solution” as CLK continues executing its business plan.

In early 2020, CLK bought the complex that was built in 1973 for $94 million, or about $102,000 per unit, as part of what was then the largest condo deconversion by unit count in the Chicago area, The Real Deal reported at the time. The property, formerly known as Heritage Village, spans 153 low-rise buildings filled with one- and two-bedroom units.

CLK has since poured nearly $37 million into renovations, repositioning the former for-sale units into market-rate rentals — wagering that suburban multifamily demand would outpace the economics of fractured condo ownership.

The refinancing suggests lenders are still willing to back stabilized suburban rentals, particularly those with agency support, according to the publication. Freddie Mac executions remain a critical source of liquidity for large workforce-style communities in and around Chicago, where rent growth has moderated but occupancy remains relatively steady by national standards.

CLK has also been active outside Illinois. In 2022, Greystone provided a $33.7 million Fannie Mae-backed loan for the firm’s acquisition of Willow Creek Apartments in Jonesboro, Arkansas, according to the publication.

In 2024, CLK hired brokers at CBRE to market Courtlands on the Park for sale, preparing a potential exit after completing its value-add program, though it’s unclear whether CLK is still actively looking to off-load the property.

— Eric Weilbacher