April 19, 2008 – In what has been called a rare occurrence in the Chicago real estate market, a group of 293 residential units is set to be offered up at auction early this summer. The units are located in what is now called Grays Pointe, but was once known as County Faire Village in Grayslake. Although the complex is situated in a suburb well north of downtown Chicago, it still mirrors what some better known developments are experiencing, namely a slump in Chicago condo sales.

The units had been a part of project that had been what Crain’s called a reversion conversion. Capital Acquisitions and Development Incorporated bought into the development back in 2005 for around $38 million with the intention of taking the apartment units, quickly converting them into condos and reselling. The entire complex contains about 396 units, but the auction is for roughly 75 percent of the total. The other 25 percent generates about $1.9 million per year rental income.

The article also quoted Frank J. Diliberto, president of Inland Real Estate Auctions which is handling the sale. When asked how much the units might go for, he said, “There is no scientific formula to these.” But he also went on to say that they could fetch as much as $20 million. The development was originally built in the late 1980s and the current owner has managed to sell roughly one hundred condos converted from apartments, with the price running from $107,000 to $157,000 each. Amenities at the complex include a pool, tennis courts, clubhouse, playgrounds, a nature walk and picnic areas, according to the article.

As the housing market slump continues, there most likely will be more Cheap Chicago Condos as developers look to reduce inventory.

[tags]Grays Pointe, Chicago Condos, Chicago Real Estate[/tags]

This entry was posted on Saturday, April 19th, 2008 at 11:57 pm and is filed under Mortgage Information.