South Suburban Complex Sells For $8.8 Mil

HAZELCREST, IL-Showing additional evidence to the dearth of multifamily product on the market and pent-up demand even after Sept. 11, a 276-unit property here has sold in just 60 days. However, Versailles/Granoble Limited Partnership sold the 14-building Versailles Apartment Community to Oak Forest, IL-based SVM Management, LLC for $8.8 million, a relative bargain at a 14.36% overall capitalization rate.

“We were able to find a buyer and arrange a quick close because there’s a lack of quality apartment investment real estate on the market right now,” says Inland Real Estate Sales senior vice president Charles Hold, CCIM, who co-brokered the deal with Inland assistant vice president Robert J. Edmiston.

Versailles Apartment Community had been offered at $10.35 million, or 12.21% cap rate.

The 30-year-old property is located on 10 acres at 18130 S. Kedzie Ave. in this south suburb of Chicago. About half the units are studios and one-bedrooms, with 113 two-bedroom and 32 three-bedroom units.

Elsewhere in the submarket, CB Richard Ellis is marketing the 168-unit Amberley Courts multifamily rental complex in nearby Midlothian, with a $6.95 million asking price, representing a 10% cap rate.