$3.25M Pilsen Apartment Building Hits the Market

Commercial real estate brokerage firm Essex Realty Group, Inc. has been selected to exclusively market 2157-2159 W. 21st Place, a 6-unit multifamily property located in Chicago’s Pilsen neighborhood.

The property was built in 2020 and consists of two eight-bedroom, three five-bedroom, and one four-bedroom apartments. The spacious units feature luxury designer finishes, including chef’s kitchens with stainless steel appliances, quartz countertops, subway tile backsplash and hardwood floors. Additional amenities include in-unit laundry, central heat and air, custom closets, and private outdoor space. The building is equipped with a community workspace, a recreation lounge, shared rooftop deck, keyless entry system, NEST thermostats and in-home smart control systems for lights and music.

Rick Ofman, Kate Varde, and Doug Imber have listed the property for sale at $3,250,000. The list price reflects a current cap rate of 7.65% and 10.2 GRM. “This property provides investors with an opportunity I’ve not seen in the market before; a new construction asset in phenomenal condition that can be purchased at cap rate above 7%,” said Ofman. “With the cost of construction soaring, the returns on value-add deals continue to shrink, making stabilized new construction deals more attractive.”

The unique unit mix in the building provides a new owner with multiple rental strategies. The current owners have standard leases in five of the units and have one unit leased as a furnished co-living unit; however, a new owner could convert the entire building into co-living, operate a short-term rental in one of the units, or convert entirely to standard leases.

The property is conveniently located within proximity to Rush University Medical Center and University of Illinois Chicago.