Market Slowdown Apparent in “Hot” Motor Row Neighborhood
Motor Row, the landmark historic district in the South Loop which runs roughly from 1400 S. Michigan to 2500 S. Michigan (with some blocks of South Wabash and South Indiana also thrown in), has been touted as the next “hot” neighborhood. The area gets its names from the number of former automobile showrooms that line the street.
The area reminds me of Printers Row from 10 years ago- with great older mid-rise buildings that are now going to be preserved but with little else in terms of amenities (few restaurants, stores etc.) In the last few years, developers have been buying up the historic automobile showcases that line the area and converting them into loft condos.
One of the first conversions was the Locomobile Lofts by Lyonhart Group at 2000 S. Michigan. The three story building was converted in 2004 into 33 authentic loft condos with 14 to 22 foot ceilings and parking.
The development sold out pretty quickly and there have been a few successful re-sales. But sales have come to a virtual standstill in the building in 2007. Only one unit sold in all of 2007 and that same unit is now back on the market only a few months later. There are currently 5 units on the market.
Sellers who bought within the last two years are struggling to break even- never mind actually making any money.
Unit #307: 2 bedroom, 3 bath, 2150 square feet, duplex, 1300 square foot private roof terrace
- Sold in November 2004 for $567,000
- Sold in December 2004 for $387,000
- Sold in October 2006 for $727,500
- Currently listed for $749,000
- 2 car parking available for $35,000
- Koenig & Strey has the listing
Unit #107 sold earlier this year and is now back on the market.
Unit #107: 1 bedroom, 2 bath, 1280 square feet
- Sold in August 2005 for $306,000
- Sold in February 2007 for $385,000
- Currently listed for $399,500 (parking included)
- Assessment of $251 a month
- Prudential Partners has the listing
This listing claims this unit has never been lived in (and, as you can see from the pictures above, the loft is currently empty.) Has this investor really been sitting on it for two years? Without even renting it out?
Unit #104: 2 bedroom, 2 bath, 1280 square feet, 22 foot ceilings, duplex
- Sold in December 2005 for $338,700
- Currently listed for $349,900 (parking for $35,000)
- Assessment of $322 a month
- Also available to rent for $2,000 a month
- Koenig & Strey has the listing
Unit #102: 1 bedroom, 1 bath, 905 square feet, 18 foot ceilings
- Sold in September 2005 for $240,000
- Currently listed for $249,900 plus $30,000 for parking
- Assessment of $341 a month
- Also available to rent for $1500 a month plus $150 for parking
- Quest Realty Group has the listing
Locomobile Lofts [website]
Motor Row Landmark District [Chicago Landmarks website]