6 Years After Lis Pendens, A 2/2 River North Condo is Listed: 10 E. Ontario
This 2-bedroom in Ontario Place at 10 E. Ontario in River North came on the market in September 2014.
It is a northeast corner unit with 1390 square feet.
It looks to have many of the original finishes and is being sold “as-is.”
It has carpet throughout and the kitchen has white cabinets and appliances.
It has central air but doesn’t say anything about a washer/dryer in unit.
The building is a full amenity building with a doorman, pool, exercise room and clubhouse.
It has a parking garage and 1-parking space is included with this unit.
The 468-unit building was originally apartments and was converted to condos, many which sold to investors, at the height of the housing bubble in 2005 and 2006.
The building has seen plenty of foreclosures.
This particular unit had a lis pendens filed against it in 2008.
It’s taken 6 years for the bank to take it back and for it to come back on the market.
The unit sold in 2005 for $649,500 and is now listed about $180,000 less at $468,825.
Unit #4508, with the same finishes, views and with the parking included, sold in July 2014 for $481,500.
Is this a deal?
Sarah Han at Century 21 SGR has the listing. See the pictures here.
Unit #4008: 2 bedrooms, 2 baths, 1390 square feet
- Sold in October 2005 for $649,500 (included the parking)
- Originally listed in September 2014 for $493,500
- Reduced
- Currently listed for $468,825 (parking included)
- Assessments of $814 a month (includes doorman, clubhouse, pool)
- Taxes of $4746
- Central Air
- Washer/dryer?
- Bedroom #1: 17×12
- Bedroom #2: 14×12
“NO RENTAL CAP”
I see where this one is going
How convenient there is no rental cap. The unit looks like it should be a rental. Take away the view and this unit looks like it belongs as a rental in downtown Arlington Heights.
I’m assuming it’s mostly investors who continue to buy in this building- right?
There are simply too many other buildings to actually live in that don’t have the issues of this one.
It’s also smart of the bank to take 6 years to actually roll out the foreclosures- slowly. Every so slowly.
“How convenient there is no rental cap. The unit looks like it should be a rental. Take away the view and this unit looks like it belongs as a rental in downtown Arlington Heights.”
Well- it certainly hasn’t been remodeled. But this is how it was sold for $649,000 back in 2005.
It really WAS a mania, wasn’t it.
“Well- it certainly hasn’t been remodeled. But this is how it was sold for $649,000 back in 2005.
It really WAS a mania, wasn’t it.”
Which is why its so laughable when you say we’re back in bubble times again… its not even fucking close!
I had a refinance this building I think two years ago. It was definitely considered a non-warrantable (doesn’t meet Fannie/Freddie guidelines for condos). If I recall correctly, the rental percentage in the building was around 70%. I can’t imagine anyone other than an investor buying in this building.
I believe this was an American Invesco conversion. Toxic.
“an American Invesco conversion”
Yep.
See: http://thechicagorealtyblog.com/2011/05/23/investors-clean-up-after-american-invsco/
At the bottom, the units here we selling for 50%+ off of first sale prices. This place would look darn good right now at ~$325k; less good at the current ask.
I lived in this building as a tenant from late 2001 to early 2006. Was a very solid building in an amazing location. However, when the building was flipped to condo by American Invsco and I (and other tenants) listened to the sales pitch, it was clearly time to move. Not only were they selling at ridiculous prices and demanding parking be sold at an extra $42K a spot, they insisted you finance through one of their “preferred” lenders.
And they offered incentives that were beyond crazy (like no assessments or taxes for 2 years with guaranteed rental income), and were making no improvements in the building, when we knew that the elevators and water system was in major need of upgrades. And btw, you weren’t allowed to install a W/D in the unit.
I smelled a huge scam and moved out.
Sabrina,
Why is the building a mess? They have $2 million in reserves and the units sell for far under what the units sell for in surrounding buildings. Yes the building is investor heavy but that will change over time.
Lesson #2 for you – Buy when things look bad and sell when things look good. This building is in a A+ location, has top of the line amenities, and sells for far under FMV. The rental rate will come down in the next 5 – 7 years; which will take these units closer to area FMVs. I am not saying this price is fair (have to see the finishes) but the building is fine and will get better going forward.
Disclaimer – I bought 3 1-bedroom units in this building back in 2010. I paid an average of $170k (with parking) and they are now selling for $250k+.
And I was paid 3% on each of the transactions. How can you beat this building?
“Why is the building a mess? They have $2 million in reserves and the units sell for far under what the units sell for in surrounding buildings. Yes the building is investor heavy but that will change over time.”
There’s no rental cap. How many are rented? At some point, you won’t be able to get a loan to buy in the building because there aren’t enough owner occupiers.
For someone who wants to actually live there- who wants to be in a building where so many units are in foreclosure? The condo board has to work especially hard paying lawyers fees just to try and collect on unpaid assessments, heck, probably even trying to rent out some units when assessments aren’t being paid.
Besides getting a loan and the transient nature of renters what are the downfall of it being an investment building?
By the way Sabrina what is with the math question when trying to post? When groove is on the sauce he doesn’t want to rant then try do do the maths
“Which is why its so laughable when you say we’re back in bubble times again… its not even fucking close!”
Prices are past peak. But that doesn’t make a bubble.
They are unaffordable but we haven’t reached the mania where everyone thinks they can never go down (unless you live in NYC, SF or LA where they are again back to believing that.) But in Chicago? No. Too many people still losing money on their transactions. The bond market, on the other hand, that’s in the blow off phase of its bull rally now.