Listed Under the 2003 Sales Price at 1040 N. Lake Shore Drive in the Gold Coast
This 1-bedroom in The Carlyle at 1040 N. Lake Shore Drive in the Gold Coast came on the market in June 2020.
The Carlyle was built in 1964 and has 128 units.
It’s a full service building overlooking the Lake with doormen, an exercise room and an indoor rooftop pool.
It has valet garage parking and parking for guests.
We’ve chattered about this building in the past.
It has a luxury pedigree with famous homeowners.
The following is information from one of the chatterati in our 2017 chatter:
This building has:
1. Huge reserves
2. Protected amazing city and lake views
3. Three doorman on duty
4. Elegant Large Lobby
5. Valet Parking and a private driveway
6. A proper ballroom and professional kitchen (Both are finished being remodeled now)
7. No renters
8. Full gym
9. A package receiving room (packages are brought into your unit at your convenience)
10. Separate entrances and elevators for Tradesman
Currently there are 7 units on the market including this large 1-bedroom.
The listing says it’s the highest floor B unit in the building.
It has custom wood and marble floors along with moldings.
There’s a wall of built-ins in the living room along with a fireplace.
The listing says this building has the largest high rise balconies in the city.
This unit has a 6×33 balcony that overlooks Oak Street Beach and East Lake Shore Drive and a second, smaller balcony off the west side of the building, measuring 4×16.
The kitchen has white cabinets and stainless and black appliances.
It’s a unique 1-bedroom unit in that it has 2 full bathrooms as well as a half bath.
This unit has the features most buyers look for including central air, washer/dryer in the unit and 1-car valet parking is included in the assessment. A second parking spot is $245 a month.
Originally listed in June 2020 for $1.225 million, it has been reduced to $799,900.
That is $10,100 under the 2003 sales price of $810,000.
The listing says “Seller says sell.”
It’s the cheapest unit on the market in the building.
Is this a deal?
Pamela Miles and Michael Maier at Berkshire Hathaway HomeServices have the listing. See the pictures and floor plan here.
Unit #34B: 1 bedroom, 2.5 baths, 2300 square feet
- Sold in December 2003 for $810,000
- Sold in July 2015 for $607,000
- Originally listed in June 2020 for $1.225 million
- Reduced numerous times
- Currently listed at $799,900
- Being sold “as-is.”
- Assessments of $2007 a month (includes doorman, cable, indoor pool, lawn care, scavenger, snow removal)
- Assessment includes one parking space. Second space available for $245 a month
- Taxes of $20,299
- Guest parking available
- Central Air
- Washer/dryer in the unit
- Fireplace
- Bedroom: 20×15
- Living room: 18×26
- Dining room: 13×15
- Kitchen: 21×17
- WIC: 8×14
- Foyer: 8×5
- Balcony: 6×33
- Balcony: 4×16
Is this rich old folks week at CC?
You’re not getting heat/cooling with the HOA Fees? Better add $400/mo /s
Other than the olds and HNW folks, is there any draw to a Doorman bldg?
Being a 1Br probably hurts as grandkids can’t stay overnight (2Br are the same sf)
Don’t see flipping unless this goes <$700k
Perfect for a couple who loves entertaining but doesn’t want guests staying over longer than a night or two!
Don’t even think I’d pay half that. Theres no way this specific unit appreciated since 2015. 5/5 bagholder special
This layout will only work for a small segment of the population. 2300 square feet and there’s no room for overnight guests or space for an office. You have to walk through the primary bathroom to get to the walk in closet. The living and dining rooms are great for entertaining, but the kitchen is closed off.
I don’t mind laundry machines in the kitchen, but in a 2230 sf 1 bed? Really?
If you don’t like this one, there is another option:
https://www.redfin.com/IL/Chicago/1040-N-Lake-Shore-Dr-60611/unit-23B/home/14124319
Unfortunately, no floorplan, so can’t tell if they did just as awful of things to the layout.
Another one just sold:
for $815k:
https://www.redfin.com/IL/Chicago/1040-N-Lake-Shore-Dr-60611/unit-26B/home/14123923
No great updating there, either, but it is much more neutral than either the feature or 23B.
Can really see the value damage of having just 1 bed looking at the most recent B unit with 2 beds sale:
for $950k (Redfin sez that was a deal: RF Est=$1.13, one month after closing):
https://www.redfin.com/IL/Chicago/1040-N-Lake-Shore-Dr-60611/unit-30B/home/14123513
And it has, I think, the worst kitchen among the featured and other two I linked, and the worst light fixtures.
Strangely, 22b, of indeterminate bedrooms, and apparently original condition, supposedly sold for $1.375m in August. Seems weird.
Taking a closer look at 22b, it was reno’d, and the pix on RF are from the prior sale. Actual pix (and floorplan) here:
https://www.zillow.com/homedetails/1040-N-Lake-Shore-Dr-APT-22B-Chicago-IL-60611/3846797_zpid/?
So, there may be flip potential on this one, too, but only with turning it back into a 2 bed (or 1+office/den).
Boarded up window? June 2020? Did it get broken during the first rioting/looting?
What does the third doorman do? One opens outside door, one inside to check in guests, and a third to help unload cars?
I could live in a one bedroom such as this, but have no interest in the level of service/assessment.
My mom’s uncle bought a unit in this building in 1964 when it was new, and paid $100,000. His relatives thought he was crazy to pay that much for a condo. He and his wife lived there for many years. I’m guessing they made a nice profit when they sold.
“This layout will only work for a small segment of the population. 2300 square feet and there’s no room for overnight guests or space for an office.”
I agree Jenny. Post-pandemic, everyone is going to want an office space of some kind. I feel like the old 1-bedrooms, without space for a den or small office space, are going to be in big trouble.
Working from home isn’t going to go away.
“Other than the olds and HNW folks, is there any draw to a Doorman bldg?”
Whut???
Door staff rocks. Seriously. For ALL deliveries, security etc.
We’re starting to see door staffed buildings in the West Loop now as it’s an amenity that most luxury condo buyers want.
“Boarded up window? June 2020? Did it get broken during the first rioting/looting?”
Huh?
There’s no boarded up windows at the Carlyle.
Condo buildings didn’t see broken windows last year unless they had retail/restaurants in their base. The Carlyle has no such thing.
The last time we chattered about this building in 2017, the chatterati, per usual, wondered who would live in this building and said it was overpriced etc. etc.
We talked about how the older generations were rotating out of the building. The original owners were leaving/dying. That generational changeover continues.
But it will be interesting to see if GenX or Millennials want to live in this building/location. There are newer, hotter parts of the city now that are attracting the younger generations. The Gold Coast has competition with Lincoln Park, Lakeshore East, Streeterville, West Loop.
Looks good to me at this price.
The assessments are high. And does need updating and would be better with a small 2nd bedroom. Doormen are expensive of course and at the buildings size three are a lot. So your paying a ton to always have someone there to do errands.
I’m going to disagree with most of the other commenters and guess that, at this price, this unit will sell pretty quickly as an in town or corporate apartment, or possibly to a fairly wealthy single person. Honestly, if I were a little more flush, I’d consider it for myself. The views are great, there’s lots of room for parties or meetings, it seems like you’d have decent neighbors, and you don’t end up with a guest room that only gets used five nights a year.
“Other than the olds and HNW folks, is there any draw to a Doorman bldg?”
I will miss the door staff in my building when I leave. It’s nice to have my packages kept safe and to know someone is watching out for the building and preventing weirdos from lurking about. I don’t think I’d want to live in a condo building without door staff.
As usual, some people are yapping about the “high” assessments.
For this unit, they figure out to 87 cents per square foot, which is quite reasonable for an older high rise with an array of luxury amenities and extras, including super-high maintenance features like a large indoor pool and covered garage, and a very high level of service with a large staff. Since the listing does not state that heat is included, I’ll assume it’s not, so that makes the assessment less of a deal, but the cost still doesn’t add up to anything excessive for this type of building.
The balconies here are great, and the unit has beautiful herringbone parquet floors. It will be easy to redecorate and will look great with the modern furniture in style now, which really isn’t too different than what was current in 1964.
The taxes ARE a little steep for an older unit that last sold well under $1 Million, even for this neighborhood. I wonder if the association has appealed the taxes.
“My mom’s uncle bought a unit in this building in 1964 … and paid $100,000. … I’m guessing they made a nice profit when they sold.”
First rule of journalism: If your mother says she loves you check it out.
100k in 1964 is @ 890k today. If you bid 890k to current owners “I’m guessing” it’d elicit reasonable counters, maybe get hit outright.
” If you bid 890k to current owners “I’m guessing” it’d elicit reasonable counters, maybe get hit outright.”
If you bid that to the current owners of the featured unit, they’d be overjoyed, as it’s 111% of their ask.
^^^ Ha ha ha.
Unit 28 B sold recently. One owner, 40 years. It looks unrenovated so — if Redfin’s data is correct — we can say this about 40 years of property values on Jean Baptiste Point DuSable Lake Shore Drive:
Sold Jan 1981 = $360,000
Sold Nov 2020 = $1,010,000
Gain on sale = 181%, +2.6% per annum
CPI US Cities = 197%, +2.8% per annum
CPI Chicago = 181%, +2.6% per annum (what a coincidence)
Wilshire 5000 = 6,265%, +11% per annum
I dunno. 40 years and the seller received the same purchasing power he originally paid — and this is a good happy outcome in this case, for Chicago. But where’s the “generational wealth” that is supposed to accrue to owners that can then be handed down to heirs, blah blah blah?
(Note that over the last 40 years Chicago CPI has run a tad lower than the national average.)
“The taxes ARE a little steep for an older unit that last sold well under $1 Million…. I wonder if the association has appealed the taxes.”
Taxes on 28 B rose only 3.7% per annum between 2000 and 2020, well below the citywide average of ~ 5% per annum, and still 100 bps higher than the unit’s 40-year pa price gain. But “I’m guessing” Fritz is gonna get ’em this year. It’s payback time.
https://www.redfin.com/IL/Chicago/1040-N-Lake-Shore-Dr-60611/unit-28B/home/14122968
“Gain on sale = 181%, +2.6% per annum”
Thanks for the info wojo.
That would be about right for Chicago, and Chicagoland, real estate. It’s been 1% to 3%, annually.
And your point?
You have to live somewhere. No one has ever said real estate was a top investment. It gets skewed in people’s minds because of markets like California.
True wealth has always been created in the stock market. It’s the best performing asset class over the last 100 years.
Just consider the assessment your “rent” and hopefully you get your money back on the purchase when you leave. Assessments + taxes here are roughly equivalent to the rent on a similar unit (that would likely however be much smaller, not have the views, have one fewer bath but at least a second bed but also less of a catered doorman experience), so it is more of a “who do I want my neighbors to be” play here since you gotta live somewhere. That’s the real reason people choose a place like this. I don’t think they think they will make a ton of money, they just want to ensure they are not near any riff raff.
Oh, on this:
“But where’s the “generational wealth” that is supposed to accrue to owners that can then be handed down to heirs”
They paid “rent” to themselves instead of to a landlord, so that’s 360,000 Don Regan dollars that can (supposably) go to the Seller’s kids instead of a (hypothetical) landlord’s kids.
And, when getting into “generational wealth”, I’ve seen it approached from two very, very different perspectives: one is the sort of wealth that allows descendants to be risk takers, as there is enough to fallback upon, the other is about merely avoiding “generational poverty”–being enough for the next generation to make a DP on a house, or pay for community college instead of taking a job to eat, etc.
Yeah, a single house like that ain’t getting the former, but it might lead to the latter.
Closed for 700K
LOL
Reality is a real MF’er
“Reality is a real MF’er”
I don’t know why you gloat every time someone takes a loss Johnnyu.
The post is literally titled: “Listed under the 2003 Sales Prices at 1040 N. LSD.”
I have been showcasing the deals that are available downtown. And there are PLENTY of them. Those will slowly be sold and inventory will sink. There are other neighborhoods much hotter than downtown, and certainly much hotter than the Gold Coast.
The problem is generational change coupled with the riots/looting. But anecdotally I’ve been hearing about younger Baby Boomers and some GenXers with empty nests who are considering moving downtown again. The lure of the city is still there for many so prices should rebound once the inventory is absorbed.
Also, for sellers, updating the unit matters. No one wants to buy something old. Look at the sales in Tribune Tower or Vista. They are both seeing strong sales because they are “new.”
Oh, and this WAS a deal for the building and location.
“someone takes a loss”
Wasn’t the purchase price $607k?
Isn’t that a +2.25%/year *gain*?
Who is taking a loss?
Asking $1.2+ for this *was* nuts. Not only bc it’s a dated 1 bed, but the layout as a 1 bed is bad.
The effects of day drinking
Look at my first post
“Wasn’t the purchase price $607k?”
I was looking at the 2003 price. Sorry.
This seller is still not making much after paying realtor fees, closing costs and transfer taxes.
Like I said, lots of deals out there in downtown neighborhoods. Many people really want to move (to Florida, Texas etc.) and so they’re willing to just price it to move it.
Those properties will be absorbed in the next year though and inventory will drop which will put pressure on prices again.