Foreclosure Sells at 55% Reduction in River City: 800 S. Wells
I’ve chattered about the rash of foreclosures in River City, the conversion at 800 S. Wells, in Printer’s Row/South Loop before.
Many of the large 1600 square foot 3 bedroom, 2 bath duplexes have gone into foreclosure.
One of them finally sold.
Unit #551: 3 bedrooms, 2.5 baths
- Sold in December 2004 for $511,700
- Was listed in October 2007 for $254,900 (bank owned)
- Sold in December 2007 for $221,000
The cheapest 3 bedroom, 2.5 bath unit currently on the market is Unit #542. It is also a foreclosure.
Unit #542: 3 bedrooms, 2.5 baths
- Sold in July 2005 for $500,000
- Was listed for $318,000 in October 2007
- Is still listed for $318,000 (fee parking available)
- Assessments of $856 a month
- Chicago Realty Partners, Ltd. has the listing
The cheapest one bedroom in the building is also a foreclosure.
Unit #1320: 1 bedroom, 1 bath
- Sold in February 2006 for $265,000
- Currently listed for $149,000
- Assessments of $419 a month
- Riklin Realty has the listing
The current building statistics:
- 40 units for sale
- 18 units for rent
Some units might be both for sale AND for rent.
Who on earth would ever have paid $511K for one of these fugly apartments?
The places have absolutely everything- hideous architecture, fugly 80s-vintage “Euro”styled cabinets, small rooms, and low ceilings. Am I correct in guessing a 7′ ceiling height?
Buildings like this are straight out of a 1930s sci-fi comic book. We should keep one round oogie-space-age fantasy just as a reminder of how not to build.
That building is horrible. I noticed there have been alot of foreclosures there. It would be cool to have your own boat dock though.
Another American Invsco F’n-over the consumer to make a buck. Sell the units for higher than normal comps prices. Tale your investors this is a great buy the south loop is goldmine, wait a two years and you will be able to double your money. Instead you can’t even get half of price for these dumps. Why hasn’t invsco been shut down.
I agree with Laura on the hideous architecture. I wonder what they were thinking in the 80s when they built this? Like this was going to be some sort of hive colony or something?
However, at a certain pricepoint I’d be willing to overlook the fugliness as it does have amenities like a Bally’s and drycleaners onsite and the location is fantastic. 221k for a 3br/2.5ba in that location? Had I been in the market I might have jumped on that.
Because the fact is whoever got that 3br for that price is going to make money either from rent or resale 5 years from now.
I’ve been living in this building since July ’07 (I’m renting a studio here) – this place is horrible. Can’t wait to move out in 2 months.
There is this constant smell of people’s coocking in the halls, ventilation is really bad. Bally’s here sucks too – the steam room and sauna are really smelly and old.
Several businesses on the ground floor cause a lot of foot trafic – no sense of privacy whatsoever, not to mention the littering.
Because of the close-by Roosevelt collection construction site, the strech of Wells street between Harrison and Roosevelt is covered in mud most of the year – in the summer, it’s all dust.
Even though the building is very close to the loop, I still feel like I’m living on the ourskirts of the city.
The only good thing about this place is that my “commute” to work is a 10-min walk, so I can have lunches at home.
Unless you’re planning to rent it out, don’t buy anything here.
Actually, this building was designed by Bertrand Goldberg, who also was the architect on Marina Towers in River North.
Really, Sabrina. That is one interesting tidbit of information.
Looks like that architect had a thing for round buildings, which were a big flop from the time the first ones went up because that really isn’t a good way to build. It’s hard to carve a decent space out of a round building, because you end up with pie-wedge-shaped rooms and circular kitchens you can’t fit cabinets in and lots of wasted space in the form of triangular nooks and cranies that are good for nothing but catching dirt, and hard to clean.
What I want to know, hearing that, is why any developer would build a short, squat building with such extremely ugly buildings, when Marina City was already an egregious flop even though it is has some grace, big balconies, height, and a perfect location. When I moved here in 1987, I was shocked at the deterioration of Marina City, but not really surprised, since the round towers in my home city had been total flops that no one wanted to live in. To this day, Marina is not a really successful development.
It’s interesting how some people can keep on repeating the same expensive mistake when the first offense was shoved in their faces.
“It’s interesting how some people can keep on repeating the same expensive mistake when the first offense was shoved in their faces.”
I’m pretty sure that the developers of Marina City did quite well for themselves.
I once met the original developer of Marina City–a west coast guy–who sold out of his piece and left Chicago after the Mayor’s guys told him about the “required” per truckload contribution to the mayor’s campaign fund.
I’m sure the original developers did OK, too, Sabrina, especially since they had the good sense to convert the place to condo about 25 years back.
That’s what you do with an albatross of a hirise-convert it to condo.
When I first came to Chicago in 1987, the lobby window on the State St side was boarded up and stayed that way for quite a few years. Made the place look slummy.
Since that time, these bldgs have been mostly investor-owned condos, with the result that you have an unregulated rental situation-small landlords renting out to whoever. I have had many friends and acquaintances who rented in these buildings over the past 20 years and they have many amusing tales to tell. One guy told me he lived directly under an apt that was being used for weapons storage by the El Rukn gang. Another woman came in to the office sore and hurting because she and her husband had to be evacuated off the 57th floor after some moron threw his still-smoldering BBQ coals down the old trash chute that used to lead to an incinerator, back in the days when hirise bldgs still incinerated their trash on the premises.
I got the impression of a very badly managed building. No one who rents there ever wants to buy.
There are a lot of questionable characters that live in that building.
Even if this place is as bad as everyone describes, wouldn’t the person who bought #551 for $221,000 still be able to make some easy money renting it out? Wouldn’t that make up for fact that this place isn’t going to appreciate any for a long time (if ever)? Any guidance would be appreciated.
I’m assuming the assessments are similar on Unit #551. So you’re talking about assessments at nearly $850 a month.
Plus taxes.
And then the mortgage.
I just saw a remodeled 3/2 on Craigslist asking $2500 for a similar 3/2 duplex. Not sure if #551 was remodeled or not.
Also not sure someone would pay $2500 a month to live in that building.
I think with the high assessments and the taxes it would be hard to cover your costs by renting this out- even at the $221,000 price they bought it at.
Thank you, Sabrina. Your site is fantastic.
I am considering purchasing a rental property in the proximity of 800 S. Wells (right across the street). Any comments on the overall neighborhood / area would be appreciated. With all the construction underway, I am concerned if I would be able to attract renters….
thx
I bought that 3BDRM at 221K. I would have gone upto $225. The building has it’s own issues. I like the modern river road with figurines, but my best friend doesn’t like the architecture a bit. She hates the space age (She calls it UFO) design and ghost like sculptures in river road.
All that apart, I find the unit useful. Free Bally’s is great and shuttle to 12-14 points in downtown also helps to rent it quickly. This place is 11-13 min walk from my work so I don;t use the shuttle except to to to my other river north building to play racquet ball with old friends. Bally’s has racquet ball but they charge guests.
I rent the other two bedroom and live in the master. My total cost before tax benefit is about 2300 per month ($850 interest only 5 year arm, $895 assessment and $550). I get about 1600-1800 from rent. Next year I will reduce property tax by about 2000 (home owners exemption) so my total cost will be 2150 if assessment doesn’t increase. I have yet to take income tax benefit into account.
So all in all I am living almost for free in my master suit. I will upgrade kitchen and bathhroom for $30-50K to sell it in 2-3 years when market improves or invest $15K to convert it into 4bdroom 3 full bath and rent out fully for around $3000-3300 and convert it into cash flow property.
Any body has latest update on this property. I see 1 bedroom unit selling at 90k and one 2 bedroom selling at 99k.
Niel
Niel- we’ve chattered about this building many times. Try searching Crib Chatter with this address to see if there is any new information.
Wow, so much hate for a building! I think the design is fairly unique. THe inside is very cool, definitely impresses guests. Can’t say the standard rectangular buildings is going to impress anyone. The location is great. I have just bought a 1-bedroom for cheap and am looking forward to the new home.
River City had a “Perfect Storm”a few years ago;
The real estate market sank, nation wide.
Loans were very difficult to get.
Foreclosures were at all time highs.
Homeowners stop paying dues.
The river overflowed causing a flood.
A perfect storm for any property!!
Not the first time this sort of thing has happen to a development.
The cup is either half empty or half full.
I think now is the time to buy!! In fact I recently purchased
Two units here at very good prices both nice units in a
unique ” Goldberg ” designed building on the river.
Most all large developments go through similar phases.
Look at Marina City. Try to buy a condo there now.
Prices are going up for several years now, not to mention
it’s a Award Design seen in many TV commercials, movies , etc .,,
At the end all problems get resolved and investors who bought
Low make huge profits. Not the first time not the last either.
Where else in the City of Chicago, on the river, can you currently purchase a
one bedroom condo for around $100 thousand ?
Just wait 3-5 yrs and you’ll wish you had.