December 29, 2007 – The road may be getting rocky for Motor Row on 2300 South Michigan Avenue. Sedgwick Properties has filed a lawsuit against Andrius Augunas and seeks to recover over $350,000 in consulting fees on the project. Sedgwick claims Augunas hired them to help gain financing for the Motor Row project with a fee of 1.25 percent from any loan secured to be paid to Sedgwick. The lawsuit also names the IndyMack Bank that provided the Motor Row loan along with Augunas’ development company, Rokas International.

Motor Row is currently under construction despite the controversy. According to an article in Crain’s, an IndyMac spokesman stated that money allotted to pay Sedgwick had already been spent though nobody seemed able to say where. A similar scenario occurred in late October when Augunas headed to court over another suit with Soloventure Incorporated over money they invested in other Augunas projects. Soloventure claims that $1 million that was supposed to go towards the Franklin Point development was instead diverted to other projects, thus prompting Soloventure to back out of funding two other South Loop Augunas projects. That suit was settled out of court, but the Motor Row dispute is just beginning.

Another sticking point is the shifting sales numbers at Motor Row that can’t seem to be pinned down. Appraisal Research Counselors put the number of units sold at 42 back in April. By October ARC cut that number down to 20, which Augunas says is inaccurate. He states that 48 units are sold and insists that the buyers will close and move in by sometime in mid 2008. Unfortunately, the obstacles faced by this development may be typical of what other Condo Builders in Chicago deal with in a slowing market.

[tags]Motor Row, Chicago Condos, Chicago Real Estate[/tags]

December 28, 2007 – River North will have a new boutique hotel ready for guests by sometime in 2009. The hotel building itself won’t be new, but will actually be a redeveloped Hotel Wacker that currently stands on 111 West Huron Street. Oxford Capital Group has purchased the building for a reported $24 million and plans to cash in on the growing demand for high-end hotel units in the city. The renovated Hotel Wacker could just be another in a rapidly expanding list of hotels that are either currently under construction or set to open soon, but Oxford hopes to stand out from the pack by offering smaller, less costly but no less luxurious rooms to the public. It may be a niche market that not many developers have dipped into yet.

The history of Hotel Wacker dates back to 1926, when the twelve story building was constructed. According to records, the hotel was then designed by Levy and Klein who are credited with the design of some of the area’s more notable theaters. This bit of dramatic flair could work well with the whole boutique hotel theme. In the meantime, you’ll have to be satisfied with watching the progress of some of the much larger hotel condo projects in town like Trump Tower.

If you’re somewhere in between staying at a luxury hotel and buying a luxury condo, you might want to check out the selection of Rent to own condos in Chicago.

[tags]Hotel Wacker, Chicago Condos, Chicago Real Estate[/tags]

December 27, 2007 – Summer 2008 will bring green grass, green leaves and a completed green Emerald on where else but Green Street in the West Loop. A few posts ago we talked about the incentives being offered there but thought it deserved another look. The project is the result of a trio of companies, namely Harlem Irving, New Frontier and Senco Development. Pappageorge Haymes designed the towers which were planned nearly a decade ago. Because of that, developer Senco says that some more modern eco-friendly features were left out of the design because they simply weren’t available at the time. The building doesn’t have LEED certification as a whole, but according to an article in the Chicago Journal, it did receive enough online votes at the Chicago Agent Magazine to be dubbed the favorite eco-friendly community in the city.

The development’s two buildings, each twelve stories with a total of 106 condos, incorporates many recycled materials and environmentally responsible details. Some of the interior details include low VOC paint and bamboo, eucalyptus or hardwood flooring. Perhaps the signature feature of Emerald is the large 8,000 square foot lobby that is shared by both towers. This common space contains a fitness center with a LEED certified Lonseal Green Vinyl floor which is made from at least 20 percent recycled compounds. The lobby will also showcase the Club Emerald which will have a bar and party or event area for residents to use. Other details include furniture upholstered with fabrics woven from recycled material, quartzitec floors, counter tops with recycled aluminum and energy efficient LED lighting.

With 75 percent of the units at Emerald already sold, it looks like there will be a green harvest by summer for these Chicago New Construction Condos.

[tags]Emerald, Chicago Condos, Chicago Real Estate[/tags]

December 26, 2007 – Back in March of this year the Chicago Plan Commission approved Park Ridge developer BJB Partners LLC’s 40 story apartment tower project. BJB owns the land, which is located on the corner of Randolph Street and Michigan Avenue in Millennium Park. Currently the space is occupied by La Strada Ristorante, which has been serving up great Italian meals for 28 years. There is a possibility that the restaurant will relocate in the building when completed in 2010. Another casualty of the new project will be J Randolph’s Bar and Grill which does business next door and will have to be torn down to make room for the new tower.

Solomon Cordwell Buenz is the architectural firm credited for the design of the new apartment building. Plans show a streamlined tower that optimizes the somewhat limited amount of construction space available on that particular spot of real estate.

This future apartment high-rise will contain 80 rental units. Millennium Park Place, which is also owned by BJB, contains 550 apartment units and is located north of the proposed building site. This new tower would be the first rental project that BJB has launched in about ten years. The developer is certainly no stranger to the rental market and owns over 40 apartment buildings and properties in the Chicago area.

Appraisal Research Counselors put the number of third quarter sales of Downtown Chicago Condos down some 65 percent from last year, but the demand for rental units is up, with the number of new apartments planned for the next year estimated at close to 2,000. With increased demand, there may be more apartment high-rises in the works.

[tags]Millennium Park, Chicago Condos, Chicago Real Estate[/tags]

December 22, 2007 – With rents on the rise, there has been more developer interest in apartment buildings lately. More than one condo project has been redesigned and converted to apartment units. According to a recent Sun Times article, an empty parking lot in River North is one of the latest sites where plans for an apartment high-rise are in the works. Developer Dan McCaffery wants to build on a site located on the northeast corner of Erie and Franklin Streets, near the three story Flair House. The new development would be called Flair Tower and consist of a 26 story tower plus a low-rise next to Flair House with a total of 201 units.

McCaffery hired architect Joseph Antunovich to work up the design. The historic Flair House originated in the late 1800s and gets its name from the Flair Communications Incorporated advertising agency that has called the building home for years. Flair executive Lee Flaherty also happens to have founded the Chicago Marathon. The development plans are designed to compliment the existing structure and sport a traditional brick facade on the lower levels. Almost 13,000 square feet of space on the bottom floors would be dedicated to retail.

It will prove interesting to see if the tightening condo market continues in 2008 and supports the construction of more Chicago Apartments.

[tags]Flair Tower, Chicago Condos, Chicago Real Estate[/tags]

December 21, 2007 – When you think of green this time of year it’s probably in the form of evergreen. But Emerald is offering up some green you can cash in on. If you visit their website, you’ll see a spiffy wrapped package with a big green bow. Click on the Holiday Offer and you’ll get a list of incentives available to buyers until December 31st.

There is one free eco-friendly electric scooter left worth about $2,000. New buyers also get $5,000 in upgrades they can use on flooring, cabinets, plumbing fixtures or a number of other finishes. Another $5,000 can be had if you refer another buyer to the project. Finally, if you use the development’s lender, Providence Funding Group, you can take $1,000 off closing costs on your condo. A low 5% down payment is required.

According to the construction update, the south tower is vertical and the north tower moving up. First occupancy of the 212 units is expected in spring of 2008. Some true green features of the development include recycled construction materials, low VOC paint and recycled interior fabrics. Even the sales brochures were made from recycled paper and printed with soy ink.

The 8,000 foot lobby will showcase a private resident bar dubbed Club Emerald. There will also be a common area off the bar called the Green Room which will feature a flat screen television with surround sound and be fully furnished.

If you don’t want to stuff your stocking with Emerald green and would rather have your own mantle and chimney for the holidays, check out the selection of Townhouses in Chicago with cozy living room fireplaces.

[tags]Emerald, Chicago Condos, Chicago Real Estate[/tags]

December 20, 2007 – Developers Mesirow Financial Real Estate and Enterprise Co. have announced the groundbreaking date of January 21, 2008 for Walton on the Park. This comes on the heels of closing a $135 million construction loan from Corus Bank to finance the first phase of the two tower project. Besides the loan from Corus, the developers and a group of investors have raised roughly $50 million themselves for the project.

The first tower is set to be 39 stories with 198 condos. Enterprise chairman Ron Shipka was quoted in Crain’s as saying they have sold about 43% of the units in the first building, which will be constructed on the south side. The north tower will house 187 condos and those won’t begin marketing until the south tower sales reach 75%, which is expected to be sometime late next year. The Walton website lists one bedroom units from $450,000, two bedroom from $540,000 and three bedrooms from $1.3 million.

Walton on the Park takes its name in part from Washington Square Park, which is located just across the street and is Chicago’s oldest park. Amenities at this Gold Coast development include a sun deck complete with outdoor fireplace, pool, grilling stations and landscaped garden. The Walton Club is slated to be a top notch fitness center and spa for residents. There will also be a concierge at the ready to handle reservations and all the little details in life.

Gold Coast Chicago Condos like Walton on the Park usually command higher prices, but as with most things, you get what you pay for.

[tags]Walton on the Park, Chicago Condos, Chicago Real Estate[/tags]

December 19, 2007 – The Chicago Spire winter newsletter has several interesting bits of information. It noted that Popular Science magazine’s Engineering Grand Award went to the skyscraper. To quote the write up in the magazine, “The Chicago Spire’s seven-sided corkscrew design will be more than just an audacious architectural whim.” The article goes on to explain that the clockwise rotation of the tower floors is designed to move wind flow upwards instead of down onto street and pedestrian level. It will also reduce building movement in high winds. Another fact not many may be aware of is that at 150 stories, people at the upper levels will actually be able to discern the curve of the Earth.

Green features that got a nod of approval include the cooling system that will utilize water from the Chicago River, special reflective glass intended to reduce the number birds fatalities as well as a rainwater collection system that will meet the landscaping needs.

The newsletter also announced that the spa portion of the high-rise will be managed by La Palestra, “health and well-being experts” who will handle the personal training services, nutrition advice and spa treatments. The spa itself, as well as the services it will provide, plans to focus on natural themes and holistic methods.

The 20,000 square foot sales center comprised of two condo unit models on the 18th floor of the NBC Tower overlooks the Spire construction site. Visitors can also view a sampling of models on display from architect and designer Santiago Calatrava’s other projects.

If lofty living at the Spire isn’t on your agenda, there are plenty of Downtown Chicago Condos that may not confirm the world is round but do showcase some great luxury homes.

[tags]Chicago Spire, Chicago Condos, Chicago Real Estate[/tags]

December 18, 2007 – A new high-rise condominium could be in the works for the northern end of Lake Shore Drive. According to a story in the Sun Times, developer J. Paul Beitler is attempting to put together a deal to build a 45 story tower on the parking lot located adjacent to St. Andrew’s Greek Orthodox Chruch on 5649 North Sheridan. The church actually owns the property and Beitler has been working with St. Andrew’s and neighborhood groups to identify concerns and potential problems that construction of the high-rise could cause.

Besides the inevitable traffic impact, one of the sticking points is the need for parking. General consensus is that additional spaces would need to be included in the development and one possible variation of the project includes a large garage that could accommodate at least 600 spaces. Only 274 of those would be needed for the condo, so the remaining spots could be used by church members and local residents.

The entire development, which is designed by architects Pappageorge Haymes, comes at an estimated cost of $100 million. That sum might require a subsidy via tax increment financing. But that would come with stipulations for making a percentage of the condos available at lower, affordable rates. Most of the Lake Shore Drive developments are higher end luxury condos and the requirement for units priced at rates below market value would have to be worked into the budget somehow.

Beitler is optimistic and plans to keep moving forward with the project and attempt to gain zoning approval this coming spring. If so, there could be a fresh Lake Shore Drive development to join the ranks of Pre Construction Condos in Chicago for 2008.

[tags]Lake Shore Drive, Chicago Condos, Chicago Real Estate[/tags]

December 17, 2007 – Year-end deals are still being rolled out by developers, and McKinley Park Lofts now joins the list with as much as $8,000 worth of incentives for buyers. The development is located on the Southwest Side at 2323 West Pershing Road. With close to 70 percent of the 163 lofts already sold, there is still a selection of units remaining and ready for immediate occupancy.

The incentive on these lofts is comprised of a combination of free assessments for a year plus cuts on closing costs. The savings on the closing costs could add up to as much as $4,000 and depending on what type of floor plan you purchase, another $2,500 to $4,000 in free assessments makes up the rest of the deal. The Habitat Company is handling sales for McKinley Park Lofts and if you use their preferred lender you can also lock in financing with no money down.

The lofts range in size from 860 to 1,540 square feet and come with one to three bedrooms and one or two baths. Prices vary from a low of $189,900 to $289,900. For those prices you get 10 foot ceilings, private balconies, building fitness center and all the expected unit perks. As you would guess from the development name, the lofts are just across from McKinley Park and a bus stop is conveniently located on the street that fronts the building.

If you are still out doing some last minute shopping this holiday season, you could visit a few sales centers and see what other deals on Chicago Lofts are being offered by developers. You might want to buy yourself a little something.

[tags]McKinley Park Lofts, Chicago Condos, Chicago Real Estate[/tags]