Hilco Real Estate, LLC announces November 3, 2020 as the bid deadline for a court-supervised bankruptcy auction of 17 multifamily properties located on Chicago’s South Side, formally known as Better Housing Foundation Portfolio C. The portfolio features 17 multifamily properties, totaling 181 units, to be sold as a whole and is subject to a minimum stalking horse overbid of $4,785,000, which equates to $26,436 per unit.
The buildings within this sale are in different areas throughout Chicago’s South Side including Park Boulevard, Jackson Park, Beverly and other various neighborhoods in between. There are three to 24 units available in each building, and all units range in occupancy levels.
The on-site inspection dates for properties one through ten, starting at 3652 S. Indiana Avenue and ending at 6800 S. Clyde Avenue, will be held on Wednesday, October 14 and properties 11 through 17 will be held on Thursday, October 15 at 8:30 a.m. starting at 8100 S. Evans Avenue and ending at 9942 S. Walden Avenue. A second round of showings for the portfolio will be held on Tuesday, October 27 for properties one through ten and Wednesday, October 28 for properties 11 through 17, both at 8:30 a.m.
The bankruptcy sale represents an opportunity for experienced owners/operators to make capital investments in order to bring the units up to City of Chicago and Department of Housing and Urban Development (HUD) standards, thereby unlocking the value of these properties. With low average occupancy levels throughout the portfolio, there is a significant amount of upside potential through physical updates, occupancy stabilization and leasing efforts.
Jeff Azuse, senior vice president at Hilco Real Estate, stated, “This is an excellent opportunity to acquire a sizeable number of units and add significant value through restoration and lease-up. With renovations, the units can be approved for various governmental assisted rental programs.” He continued, “An experienced buyer will be able to work directly with the city to fulfill the need for quality, affordable housing. And deliver much needed revitalized properties to these communities.”
Azuse also commented, “We’re excited to help turn a situation that didn’t meet original expectations into one that results in positive change within these Chicago South Side areas.”
Bidders will have the chance to fully inspect properties during predetermined tour dates coordinated by Hilco Real Estate.
Bids must be delivered per the court approved bid procedures (available for download in our virtual data room) on or before 5:00 p.m. (CT) on the day of the deadline to be considered. For more information regarding the sale process, please contact Chet Evans at (847) 418-2702 or via email to cevans@hilcoglobal.com.
For further information on the properties, an explanation of the sale process, bid procedures or to obtain access to property due diligence documents, please visit HilcoRealEstate.com/Chicago-Multifamily-C or call (855) 755-2300.
