Is the Chicago Housing Market Slowing? A 2/2 at 106 N. Aberdeen in the West Loop
This 2-bedroom in the Brixton Lofts at 106 N. Aberdeen in the West Loop came on the market in June 2018.
The Brixton is a 31-unit brick industrial building with “loft-style” condos and garage parking.
This 2-bedroom is a corner unit with exposed brick, exposed timber ceilings and ductwork.
There are hardwood floors throughout.
The kitchen has dark cabinets, “new” stainless steel appliances and what looks like granite counter tops.
The master bedroom has a window and an attached bath.
The unit has all the things buyers look for including central air, washer/dryer in the unit and parking is available for $20,000 extra.
Originally listed at $475,000 in June, it has been reduced $50,000 to $425,000.
This unit has a unique history, however, as it only just recently sold, with what looks like from the bank, in February for just $372,500. That included the parking.
It’s finishes from the February 2018 sale appear to be the same as what is in the unit today.
If you were thinking of buying this unit to rent, the listing warns (their caps, not mine):
UNITS MAY BE LEASED, BUT THE ASSOCIATION HAS A 30% RENTAL CAP THAT HAS BEEN REACHED. .. THERE IS CURRENTLY A WAIT LIST.
This unit has been listed for 77 days.
The West Loop is one of the hottest neighborhoods in the city.
Is this a sign the Chicago housing market is slowing?
Blake Golden at Coldwell Banker has the listing. See the pictures here.
Unit #5D: 2 bedrooms, 2 baths, no square footage (but February listing says it was 1000 square feet)
- Sold in February 2007 for $330,000 (included the parking)
- Lis pendens foreclosure filed in May 2010
- Bank owned in September 2014
- Sold in February 2018 for $372,500 (included the parking)
- Originally listed in June 2018 for $475,000
- Reduced
- Currently listed for $425,000 (plus $20,000 for parking)
- Assessments of $439 a month (includes exterior maintenance, scavenger, snow removal)
- Taxes of $5604
- Central Air
- Washer/dryer in the unit
- Bedroom #1: 12×10
- Bedroom #2: 9×10
- Living room: 11×22
- Kitchen: 9×13
In what universe is failure to make a ridiculous profit on real estate in 6 months an indication that the market is slowing?
seems slow to me… selling a house is such a chore
Rental caps are a huge deal. They actually drive down the value of the property because the all cash investor pool looks to invest elsewhere, especially with the $100k-$200k condos outside of the greenzone and the suburbs. But in every building there’s always some jerk who buys the unit knowing full well about the rental cap and rents it out anyways. It’s a huge PITA and expense for an association to kick these owners and tenants out too. The association will ultimately win the case but they have to give notice of violations, then conduct a hearing if one is requested, then serve a ten days notice, then file an eviction, and so on. I can’t tell you how many times in my life I’ve seen owners quitclaim an interest to a tenant for the sole purpose of getting around the leasing violation. Some associations turn a blind eye as long as there are no complaints and the association dues are being paid on time.
homedelete on August 20th, 2018 at 10:00 am
“I can’t tell you how many times in my life I’ve seen owners quitclaim an interest to a tenant for the sole purpose of getting around the leasing violation.”
Lol – that’s an interesting solution! Seems incredibly risky though. Isn’t that essentially forfeiting ownership and giving the tenant the condo or are there contingencies within the quitclaim deed that protect the true owner? I could see it working if you really trust that the tenant but otherwise what’s to stop them from turning around and selling the place?
This place doesn’t seem very cozy to me, but that’s why I don’t like lofts. Ceilings are too high, brick interior walls and exposed pipes leave me cold, and rooms without windows are a pet peeve. It feels like living in an industrial space, not a home. I realize some people like these things, so I rarely comment on lofts. Great location and decent price for this one, it seems.
Lived right near this place for years. It was a half ass conversion and the building had many issues and I heard a few special assessments over the years. Terra cotta, roof, plumbing issues were the ones that I recall coming to mind.
That said it is located in an excellent area. Gone is the old oprah studio, defunct magazine building, and gas station turned parking lot from my days in this hood, In it’s place your neighbors will now be the Belgravia $1M+ condos on the SE corner. And The Hayden located on the SW corner. Those are some well developed properties with units that far exceed the cost of this place. Buy and live there or hold for a decade. You wont be sorry!