October 12, 2018
Avanath Capital Management has acquired two Chicago-area affordable multifamily properties totaling 668 units, including one on the city’s South Side. The assets were acquired through Avanath’s institutional fund, Avanath Affordable Housing III for a combined $72.2 million.
Larger of the two properties, and acquisitions, was the 582-unit Hinsdale Lake Terrace in Willowbrook, IL, which traded for $63 million. Avanath also picked up the 86-unit Drexel Court (pictured), in Chicago’s South Shore neighborhood, for $9.15 million.
“The Chicago market is precisely aligned with our investment thesis, through which we preserve affordability in the nation’s most cost burdened regions, while simultaneously driving value for investors,” said Avanath president John Williams. “Chicago has emerged as a hub of growth with rapid economic revitalization that is now spilling over into the city’s submarkets and South Side.”
With this sprawl comes rent increases, “resulting in a dire need for more affordable housing options,” he added.
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