March 28, 2008 - The year and a half tug of war between Chicago real estate developer Joel Pickus and community group West Loop Concerned Citizens may have finally ended. Both groups have been at odds over several aspects of the original plans for the 1260 West Madison site. With support from the citizen’s groups and alderman plus a zoning change from the Chicago Plan Commission that could take place next month, the project could move on for approval from the City Council.

According to the Sun Times, Pickus and the community group reached an agreement on the heights of the two future towers planned for the site. Pickus had originally presented plans for the height to be 115 feet, but scaled it down to 90. The development is designed by Antunovich Associates and will have a total of 350 units when completed. Whether or not those units will be condos or apartments is still being decided, but either way 18 of the units will be offered at a reduced purchase price or lower rent.

The affordable housing factor had been a point of contention about the project. The Sun Times article said the West Loop Concerned Citizen’s group was pleased that Pickus agreed to change unit sizes to accommodate more families and also removed studio and convertible floor plans from the development. The new design calls for units that are at least 700 square feet. There will be 318 units combined in the two 90 foot towers plus another 32 units in a four story building on 1300 West Madison. The amount of retail space was also reduced from 68,000 to 25,000 square feet, again demonstrating the amount of input that Chicago Neighborhoods have when it comes to developments.

Technorati Tags: Pickus Companies, Chicago Condos, Chicago Real Estate

March 26, 2008 - Not all Chicago real estate developers are having difficulty securing financing for their projects. JFJ Development Company, probably best known for their Superior 110, has gotten a $18.9 million head start on a new Lakeview mixed-use project. The Globest reported that M&I Bank of Milwaukee and First Bank in St. Louis have provided a loan to JFJ and Dionysus Enterprises for a two phase condo and retail development on 3030 North Broadway Street.

This early financing will be a definite boost for the project. The project will have two phases, the first of which is estimated to cost about $50 million. Phase one will consist of a five story building anchored by a 45,000 square foot Dominick’s grocery, a 3,200 square foot National City Bank, and 53 condos on the upper floors.

The condos are expected to run from $650,000 to $2.2 million and have about 1,544 square feet of living space along with 400 square foot outdoor terraces. There will also be a heated underground garage with parking spaces for 111 cars, plus another 82 spaces available above Dominick’s for shoppers to park. Phase two calls for 35 more condos in a four story building that would be positioned on a an adjoining lot that would front Waterloo Court.

If all goes according to plan, ground will be broken this summer. Late 2009 is the target date for Dominick’s to launch and move-in for the 53 condos would start three to four months after that. At properties is handling sales for the units.

There seems to be more developers who are opting for a smaller number of Chicago Condos in their projects, which can help make it easier to gain financing and sell out the building.

Technorati Tags: JFJ Development, Chicago Condos, Chicago Real Estate

March 25, 2008 - After several days of speculation and rumors, Centrum Properties has confirmed that they are switching the Lofts at Lakeview condo project to a luxury rental apartment project. The new plans outline what will be a mixed-use Chicago real estate development still located at the corners of Ashland, Belmont and Lincoln Avenues at an estimated cost of $100 million.

John McLinden of Centrum was quoted in Crain’s as saying that market conditions were the deciding factor for the project change. With more new construction units coming on the market this year and overall sales figures down, the competition for pre-sales is tough. The rental market has been very healthy, and even with a slight recent moderation in demand it is often less risky for developers. The article also pointed out that in this particular North Side neighborhood, the trend over the past few years has been to convert apartments to condos, so there should be demand for new rental units.

The 131 Lofts at Lakeview had been marketed for around $300,000 to $700,000 for the one and two bedroom units. Centrum confirmed that around 30 percent of the condos had been under contract, but they have since refunded deposits. The new project will contain 130 luxury apartments plus 90,000 square feet of retail. Hirsch and Associates are the architects of the six story building. Bank of America has signed on as a tenant and the David Barton Gym that was a holdover from the loft project is still committed.

Financing hasn’t been secured yet, but current plans call for ground to be broken this fall. Completion of the project probably won’t take place until sometime in 2009, but the market for Chicago Apartments may still be strong then.

Technorati Tags: Lofts at Lakeview, Chicago Condos, Chicago Real Estate