Mesirow venture drops $88M on Glenview luxury apartment complex

The Chicago suburbs continue to where the action is when it comes to residential real estate.

The Chicago investment firm Mesirow spent nearly $88 million on a luxury apartment building in Glenview, making it the latest big buy outside city limits.

The 239-unit luxury complex, Reserve at Glenview, is along state Route 43 in the northern Chicago suburb, Crain’s reported. The sale breaks down to about $367,000 per unit.

An affiliate of Los Angeles-based Broadshore Capital Partners sold the property. It paid $80.5 million for the complex in 2017.

Built in 2015, the Reserve apartment complex is more than 95 percent occupied and has an average rent of $2,353 per month, or $2.36 per square foot.

With high occupancy rates and rents on the rise, suburban apartment complexes have been drawing the attention of investors, which has allowed for landlords to sell their properties for decent profits.

The sale is the latest deal for Broadshore, which recently sold its 612-unit Bourbon Square apartment complex in Palatine for $139 million. The property sold for 44 percent more than the sellers paid for it in 2014.

Multifamily housing in the suburbs has been strong. In Northbrook, the 290-unit Tapestry Glenview recently sold for $97 million and the 272-unit Legacy at Fox Valley traded hands for $71 million in May.

In nearby Deerfield, LaSalle Investment Management is looking for a buyer for the 248-unit Woodview Apartments. There isn’t a listing price, but there are expectations for it to sell for more than $80 million.

In the first quarter of 2022, the median net suburban rent rose to a record $1.87 per square foot, which is up 17 percent from the same period last year.

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— Victoria Pruitt