Sources suggest Randolph is heating up again. A mixed-use proposal for 1313 W Randolph is the all the talk at Crain's, with the announcement by NYC-based AREA Property Partners of a planned conversion of a low-rise art deco office building into a 70-unit apartment building with 27,000 sf of retail space. In its current state, the handsomely restored structure sits largely vacant, with owners Martin Capital Group struggling to lease spaces, particularly on the ground floor.
Cue AREA. The property investment giant isn't a huge Chicago presence, but did make three recent suburban hotel purchases. Also, over the summer they acquired a 12-building industrial portfolio spread throughout the country, and another cluster of commercial assets centered in DC. But indications are that those are holdings, not conversions. The venture has already secured a $13 million construction loan, and the total project cost is expected to stay below $15 million, AREA partner John Simmons told Crain's. In summing up the logic of the plan, Simmons went on to say, "It is an up-and-coming neighborhood, as opposed to a fully established area. As people seek to find affordable alternatives, we want to be that alternative to your traditional high-rise product in Chicago." Affordable? In the Near West Side? It's all relative.
·AREA Property Partners targets West Town warehouse for apartments [Crain's]
·Old Lease Info: 1313 W Randolph St. [CB Richard Ellis]
·Official Site: AREA Property Partners