Nearly two years removed from spending $14 million on a pair of failing residential high-rise buildings in Lakeview, Contrarian Capital Management LLC, a firm located in Greenwich, Conn., and Chicago-based Conlon & Co. are starting to reap some benefits from their joint purchase.
According to a report on ChicagoRealEstateDaily.com, one of the buildings, 2930 N. Sheridan Road, is on the verge of maximum occupancy, with 65 of the 67 condos sold at press time. When the firms made the purchase they inherited 130 unsold units between 2930 N. Sheridan and 3033 N. Sheridan, a nearby building that the developers hope to start selling next month, the report said.
“I don’t think we could’ve hoped for the success we had, but we got it,” Melissa Archer-Wirtz, chief administrative officer of Conlon & Co., told ChicagoRealEstateDaily.com.
The units were turned from apartments to condos prior to the joint purchase, and although it took time, the change from vacancy to full capacity at 2930 N. Sheridan may encourage more developers to consider conversion. Charles “Chip” Cornelius Jr., a broker with Chicagoland Realty Services LLC, told ChicagoRealEstateDaily.com that such transformation is a popular idea among developers looking to capitalize on buyer interest before new condos are constructed next year.
“I don’t think we’re going to be lost for buyers,” Cornelius Jr. told the website. “We’re looking at a really solid return to condominium product because it’s just not out there.”