Cushman & Wakefield’s Midwest Multifamily Advisory Group has brokered the $40,150,000 sale of 13thirteen Randolph Street Lofts, a 74-unit mixed-use property at the southwest corner of Randolph and Elizabeth streets in the West Loop’s Fulton Market District. The per-unit price is one of the highest paid so far this year in Fulton Market, according to CoStar data.
Todd Stofflet and Jason Stevens, managing directors of Cushman & Wakefield’s Midwest Multifamily Advisory Group, represented the seller, JP Morgan Asset Management, in the sale of the asset to RDG Funds LLC, a Chicago-based private equity firm.
“The sale reflects the continued popularity of Fulton Market, particularly among investors in search of stabilized assets that stand to benefit from the neighborhood’s favorable long-term fundamentals,” said Stofflet. “As leading employers continue to establish and expand operations in the West Loop, demand for well-located rental communities like 13thirteen Randolph will increase as development pushes farther west.”
“Barriers to entry in this location are higher not only because of rising land and construction costs, but also because the property falls within the boundaries of the Near North-Near West ARO Pilot, which means any new developments must comply with stricter affordability rules,” added Stevens.
13thirteen Randolph includes two buildings: a three-story concrete building at 1313 W. Randolph, built in 1927 and designed by Fox & Fox Architects in the art deco style, and 114 N. Elizabeth, a two-story building built in 1892. Originally home to Chicago’s Wholesale Florist Exchange – at one time, the largest exchange of its kind in the U.S. – the Randolph building was named to the National Register of Historic Places in 2012. The following year, both structures were renovated as residences and retail. Today, they house 12 studios, 38 one-bedrooms and 24 two-bedrooms that were 96% occupied at closing. They also have a full floor of retail space that was 100% occupied at closing.
Apartments feature 11-foot ceilings; large windows; polished concrete floors; modern kitchens with stainless steel appliances, quartz countertops and white subway tile backsplashes; and full-size in-unit laundry.
Shared amenities include a rooftop deck with gas grills and dining areas; resident lounge with wet bar, pool table and media center; theater room; and 24/7 fitness center with cardio equipment and free weights. The community also has 69 covered parking spaces and 35 surface spaces.
13thirteen Randolph Street Lofts is blocks from the new global headquarters of McDonald’s and Midwest headquarters of Google, among other employers. In addition, the property is steps from world-class dining and shopping along Randolph Street and throughout Fulton Market, recently named one of the Top 20 “Cool Streets” in North America, according to Cushman and Wakefield’s “Cool Streets 2019” report. 13thirteen Randolph also offers proximity to public transit, including the CTA’s Green, Pink and Blue lines, as well as the Kennedy and Eisenhower expressways.
About Cushman & WakefieldCushman & Wakefield (NYSE: CWK) is a leading global real estate services firm that delivers exceptional value for real estate occupiers and owners. Cushman & Wakefield is among the largest real estate services firms with approximately 51,000 employees in 400 offices and 70 countries. In 2018, the firm had revenue of $8.2 billion across core services of property, facilities and project management, leasing, capital markets, valuation and other services. To learn more, visit www.cushmanwakefield.com or follow @CushWake on Twitter.