Looking For a 1-Bedroom With Lincoln Park and Lake Views for Under $225,000? 2500 N. Lakeview
This 1-bedroom in 2500 N. Lakeview in East Lincoln Park just came on the market.
At 900 square feet, it is east facing so it DOES have Lincoln Park and lake views.
Given that the building was built in 1974, the unit has some interesting features including teak herringbone cherry floors, crown molding and French doors.
The kitchen has maple cabinets, Corian counter tops and white appliances.
There are 2 wall air conditioning units and it also has in-unit washer/dryer. Parking is available to rent in the building for $155 a month.
This is a full-service building with a doorman, pool and exercise room.
Is this a deal for the location?
Heidie Maslo at Coldwell Banker has the listing. See the pictures here.
Unit #503: 1 bedroom, 1 bath, 900 square feet
- Sold in June 1997 for $145,000
- Currently listed for $219,000
- Assessments of $594 a month (includes doorman, pool)
- Taxes of $3384
- No central air- wall units instead
- In-unit washer/dryer
- Parking available to rent in the building for $155 a month
- Bedroom: 16×13
indoor pool or rooftop? nice views and decent space for 1bed. get rid of the piano and even more room.
“Is this a deal for the location?”
I would say yes from the pictures. Depending on how much work the kitchen needs, it’s a solid deal. It’s a large apt, has in-unit washer/dryer, parking is low and hopfully available. Assm are in-line for the size. Electric heat can be expensive and its nice to have window units for AC so you can control the temp in this vintage of a building instead of relying on building changeover.
I think this is a deal. Great location. Small kitchen but it looks to be in good shape. It’s a place that me as a perpetually single guy could live in.
Nice room sizes. Kitchen and baths could be updated but are certainly livable. I agree with the others – it’s a deal, unless the place reeks of smoke or something else is going on.
Good price. Hopefully the special assessment for the unit, if any (it varied by unit), has been paid, and hopefully this unit was slated to receive new windows (that also varied by unit). The building finally got around to its long overdue exterior/window project, so now that that’s done, and now that construction is complete on the neighboring highrise (though not the SFHs, or whatever), 2500 is a much better bet than it was a few years ago (when we nearly purchased a unit there). Spend a couple grand spiffing up the bathroom, and $10k on the kitchen, and this is a perfectly great place for a single professional or as an in-towner for people who don’t love/need the tourists/urban-ness of the GC, etc.
Pretty much in line with the neighborhood. I live at 2626 N. Lakeview and there are regularly 1BR’s in this price range on the market, and all have some lake and park views. Plus, the assessments in my building a significantly less. The 1BR’s on the market now appear to be a little higher pricewise, but here’s an example for comparison: it’s on a much higher floor, modern updates and the monthly outlay would be less because lower assessment would more than offset higher mortgage:
http://www.redfin.com/IL/Chicago/2626-N-Lakeview-Ave-60614/unit-2711/home/13367870
The biggest thing this unit at 2500 has is the in-unit W/D. What I would give to not have to lug laundry downstairs…
The views of the park look nice but can you really see much of the lake from the fifth floor?
This looks really nice, though a bit pricey. I agree the lake wouldn’t be visible from the 5th floor. I’d want to be higher up. However, the fact that it doesn’t have a balcony is a plus. Yesterday’s horrific death of a woman who fell 17 stories from her balcony in NYC reinforced my dislike of balconies.
Everyone else seems to think this is a deal. It’s been a while since I lived around there, so maybe it is. I remember buying a 1-BR down the street in another high rise (with lake views) for $80,000, but that was in the mid-90’s. Guess I need to get my decades straight.
Are the floors teak or cherry, or both?
Just think, you could have two of these for less than the price of the crapshack on Marshfield!
“Everyone else seems to think this is a deal. It’s been a while since I lived around there, so maybe it is. I remember buying a 1-BR down the street in another high rise (with lake views) for $80,000, but that was in the mid-90?s. Guess I need to get my decades straight.”
Not far from there is 2625 N Clark, where I am looking now. 1980’s building, no W/D in unit but you can own the parking. The last two units sold for around 150k, freshly upgraded and including parking. Why wouldn’t that be a better deal?
I posted the below analysis on an older posting about the building but didn’t get much feedback. I’d really like to own in the neighborhood and would just like some feedback to make sure I am taking everything into account. At first glance 2625 seems like a screaming good deal for an owner occupied or an investor.
“Here’s the math as i see it.
the most recent units that closed were upgraded and sold for 150k with parking.
2012 taxes are around $1,650 per year
Assessments are in the 500?s per month for most units. So say $6,500 per year
The last rental I see on MLS was upgraded with parking on a low floor for $1,775/mnth. $21,300 per year.
Below are my attempts at a table showing Cap Rate based on the above numbers and Cap Rate vs higher prices. Seems to me that these units continue to make great sense as an investment or place to live at least up to 250k per unit. I would like to hear everyone’s thoughts as I’m guessing I’m missing something or prices would be much higher.”
thanks all
CURRENT
Annual
Taxes $(1,650.00)
Assessments $(6,500.00)
Rental Income $21,300.00
Net Income $13,150.00
Price $150,000.00
Cap Rate 8.77%
FUTURE
Annual
Taxes $(1,650.00)
Assessments $(6,500.00)
Rental Income $21,300.00
Net Income $13,150.00
Price $250,000.00
Cap Rate 5.26%
“I posted the below analysis on an older posting about the building but didn’t get much feedback. I’d really like to own in the neighborhood and would just like some feedback to make sure I am taking everything into account. At first glance 2625 seems like a screaming good deal for an owner occupied or an investor.”
A building full of rental owners? No thanks. What happens when major repairs are needed? Who is going to want to pay extra for that? What are the buildings reserves like right now? There are still foreclosures/short sales going on in the building.
I see on one of the listings that it says “cash only”. As I assumed before when you posted this- no buyer can get a loan in this building.
Look at some of the units. If you’re going to be a landlord- you’d better think what the tenants are going to want. You’re competing with lots of newer properties for tenants – many of which have w/d in the unit and updated kitchens/baths including stainless steel.
Here’s one on Craigslist that has been “rehabbed” for $1700 a month (with the parking).
http://chicago.craigslist.org/chc/apa/4027410873.html
And that seems high to me for 705 square feet.
That’s just my two cents.
Anyone else want to help out the budding landlord?
Here’s another one. This one is also rehabbed but no parking. Asking $1450 (with the parking it would be $1650).
Still can’t rent it. Says Aug 1st move-in and we’re nearly at Sep 1st now.
http://chicago.craigslist.org/chc/apa/4023307402.html
What did I tell you? The rental market is slowing.
Whoops- I didn’t read the ad well. Parking is INCLUDED. So someone can get this place for $1450 with the parking. Why would they pay $1700 for the other place?
I would readjust your expectations about what you can rent these units out for.
thanks Sabrina. I would take a look at the rentals on MLS if I were you. the units rent within a week or two. Looks like the building has redone the hallways in the past year, upgraded cable and internet and is currently replacing the roof. No special assessment. As an investor coming in at 150k with parking (seems like most investors bought closer to 100k) i wouldn’t be too upset if there was a special to make improvements since my entry point would be so low. There are 133 units in the building, so even at 10k per unit they could easily raise 1.33m with out really damaging my investment.
Regarding financing, I looked into it and prism does finance the building among a few others. Over the past few years prices have gone up from a low of 65k to a high of 156k. Perhaps investors are realizing the potential. My thought is that owner occupants will begin to look at the building sooner than later once they know financing is now available for the first time in 3 years. dont you think?
I realized it’s an older building but so is 2500 N Lakeview. that is why I’m drawing the comparison. as an investor why would I pay 200k for a unit in 2500 n lakeview (with out parking) when I could pay 150k in 2625 n clark (with parking)?
2625 n clark unit 1706 just rented for 1800 with a market time of 8 days
A realtor sent me a bunch of the rental closings. They go anywhere from $1425 to $1800. It depends on how nice and how large the unit is.
I’d be shocked if anyone was getting financing to buy in this building. It’s got a gazillion investor owned units and some other units are still in financial distress (short sales etc.)
Dave V, your analysis is basically right, though people could obviously argue with your assumptions. I think long term you have to assume that taxes are going to be 1.8% of the market value. It’s below that now.
What I never understand is why so many would be investors don’t do the cap rate analysis or are willing to accept really low cap rates.
So this is strange. Maybe this is what you guys have been talking about lately. I was logged in so my comment is now awaiting moderation. I don’t think that happens when I’m not logged in.
Testing the system here. Was logged in and posted a comment. Awaiting moderation. This comment posted without being logged in. Let’s see if it awaits moderation. I don’t think it will.
Wow, eight days Dave V?