Pre-Foreclosures and Other Distress in Printers Row: 732 S. Financial
732 S. Financial, Printers Row Lofts, is a 1906 building that was first converted into apartments in 1996 and then converted into loft condominiums in 2003-2004.
The units are timber with lots of authentic brick. There actually is parking available with this building (to purchase or to rent.) And washer/dryers are allowed in the units.
Some have interesting layouts, like this top floor two bedroom, one bath with a spiral staircase that leads to one of the two 18 x 17 bedrooms:
Unit #810: 2 bedroom, 1 bath, 1334 square feet
- Sold in July 2004 for $291,500
- Currently listed for $324,900 (no parking)
- Assessments of $461 a month
- W/D in the unit
- 12-16 foot ceilings
- Baird & Warner has the listing
But several of the units are under distress. There is apparently a special assessment going on with the building (I don’t know what for or how much per unit.)
Here are a few where you might be able to get a “deal”:
Unit #514: 1 bedroom, 1 bath, 1032 square feet
- Sold in April 2004 for $203,000
- Currently listed in “pre-foreclosure” for $230,000
- Listing says “bank will pay special assessment”
- Sorry, no interior pictures available
- Assessments of $367 a month
- Keller Williams Lincoln Park has the listing
Unit #208 also doesn’t have pictures but here is the listing:
SPACIOUS 1 BDRM WITH 2 BATHS; GREAT INVESTMENT PROPERTY; CLOSE TO TRANSPORATION, EXPRESSWAYS, AND RESTAURANTS; MOTIVATED SELLER!!
Unit #208: 1 bedroom, 2 baths, 1053 square feet
- Sold in September 2005 for $255,000
- Was listed for $249,900
- Reduced $60,000
- Currently listed at $189,900
- Assessments of $301 a month
- Jennifer Holmes has the listing
Then there is Unit #804, another unit on the top floor. It doesn’t say it’s a foreclosure or a short-sale in the listing but it is selling for less than it last sold for several years ago (the room sizes are enormous in the listing):
UNIQUE LOFT BEDROOM WITH 15 FOOT CEILING OVERLOOKING FRONT ROOM AND DEN!! BATHROOM EXPANDED FROM 5X7 TO 7X14 WITH SEPERATE SHOWER!!! GREAT SOUTH AND EAST VIEW
Room Sizes:
- Bedroom: 15 x 15
- Livingroom: 32 x 27
- Kitchen: 18 x 12
- Diningroom: 14 x 12
Unit #804: 1 bedroom, 1 bath, 15 foot ceilings
- Sold in May 2004 for $245,000
- Currently listed for $220,000
- Assessments of $500 a month
- New Market Realty, Inc. has the listing
That seems pretty cheap, 189. Does anybody know what is going on in the building?
There were some major facade issues that weren’t addressed by the developer, leaving the home owners in a bind. Also, the location is a bit remote although that is changing as new development fills in the gaps.
Why is something “obviously going on” with the last unit? A couple of friends of mine listed their solid Evanston condo a couple of months ago for $20,000 less than they had paid for it two years before (unexpected job change forcing them to move to Boston), and it sold in a week. They weren’t “in distress,” they just (wisely) knew that is where the market had gone.
Good point.
God only knows how much the special assessment might be. I know a guy who bought a loft conversion in ’02; 6 months after he moved in his unit was whacked with a special assessment of $50,000; the unit cost him $200,000. Facade issues aren’t cheap. Ask the owners of the Sterling.
The floor plans are indeed “interesting” and while I understand the conventions used in listings, the descriptions reveal much.
The “2 bedroom” with the pictures clearly shows that the access to the 2nd bedroom is through the 1st. In a house situation that would be called a “tandem” and not included as a true bedroom since you have to go through another bedroom to get to it. Would be fine as an office or den, but wouldn’t be attractive to people who really need 2 bedrooms (even as a guest room).
Then we have Unit 804, described as a 1 bedroom. While there are no pictures the description makes it clear that the “bedroom” is a loft overlooking the main living area. In loft terms this counts as a bedroom, but I would think that this arrangement isn’t quite as attractive to buyers as a unit with a true bedroom.
Finally, this area is a bit odd (and I live around the corner and like it). It is sort of “no man’s land” in the housing market and we only began to look there since it the area pops up when you do a real estate search on 60605. We were really looking further south. I’ll bet lot’s of buying won’t even look at these buildings, and those who venture down are hit in the face with tons and tons of concrete and very little green space (excepting the perpetual emply area east of Wells. Only certain buyers would be attracted. Also, I don’t know which way these units face, but the building lost its westward exposure when the new building on the corner of Polk/Wells went up. That has to have hurt the values of some units.
“Facade issues” could really decimate the owners financially. This ia a vicious surprise for these condo owners, that you really would have thought would have been spotted by a city building inspector before granting occupancy permits at the time the place was developed as loft condos.
You also would have thought that it would have been spotted by the inspectors doing the inspections most lenders require. Or did lenders even not require inspections to underwrite loans.
Additionally, these places are bears to heat. Count on $700-$800 a month in the worst months to heat these places, which you will either pay for directly or that will be reflected in your monthly assessments.
$189K may seem cheap, but the cost of operating a place like this is so expensive that it is pretty well unsuitable for anyone who makes less than $100K a year.
Laura,
True.
In terms of location, this is probably a decent bet long term as the South Loop fills in and the large ‘Franklin Point’ meadow (formerly Grand Central Terminal) gets developed some day. But buyers should negotiate hard on price given the high expected expenses of this unit in terms of maintenance and utilities.
I actually looked at some units in this building about 3 years ago. The layouts are indeed interesting and unique; some cool and functional, others bizarre. As a timber loft, though, you hear everything in every unit around you; and depending which exposure you have and how high you are, you hear the CONSTANT, NON STOP hum of the idling Rock Island commuter train locomotives down below. The lower floor, east facing units were unbearable.
I don’t think I could handle the non-stop train noise, Dave. It sure seems like we have a huge no. of condos rehabbed and newly built right next to the el or Metra tracks in Chicago and Evanston. Realtor I know viewed places in an expensive high rise in Evanston recently constructed right next to the tracks there, and he says you could hear and feel the trains on a high floor.
I think this area would be great if it weren’t so overburdened with housing like this. It’s a great area, at least for the time being.
But lofts like this are really unsuitable for anybody who isn’t well-off. Dwellings like this really are an indulgence that take a lot of scratch to maintain and heat, and they’re aren’t going to get easier to deal with as fuel becomes ever more expensive. I’m betting that this type of housing will go completely out of style in the near future because of the huge costs involved, and because they’re intrinsically uncomfortable and difficult for most people to live in to begin with; and that neighborhoods that are overweight in it will not retain their value.
When you buy a condo, does the inspector normally get access to the common areas like boiler rooms, elevator equipment rooms, etc? Also, are they expected to check the roof, facade, and other aspects of the building itself?
It seems like a condo inspection would be pretty worthless if all they can do is look inside the unit itself.
Legal question, when you purchase a condo and problems appear shortly thereafter, can you still sue the previous owner for the issues?
Yes, you can! But it depends on whether the previous owner knew about it and whether it is a patent or latent defect, what addendums are on the K, etc.
Good real estate attorneys will always ask for the 22.1 which is part of the Illinois condominium act.This report tells how many units are in the building,the number of ownwer occupied units vs rental,how much reserves are in the association and they have to disclose if there has been any talk of special assessments in the last 6 months.
If you get that info and something comes up that was not disclosed,you have a pretty good case legally.
Yeah, it’s a strange building with a few very cool units, but a lot of duds. The developer sold a lot of units as is when it went from apartments to condos and many desperately need a makeover. The facade issue seems to have been holding down the building for almost 2 yrs now.
The parking in this neighborhood really is a luxury in a vintage building, especially as developers are building on former lots and even buying up streets that used to be permit areas.
“Additionally, these places are bears to heat. Count on $700-$800 a month in the worst months to heat these places, which you will either pay for directly or that will be reflected in your monthly assessments.”
What are you basing that on? I live in a similar conversion nearby (1250 sf., 11.5′ ceilings, albeit concrete and not timber) and our midwinter bills top out at $300 in the very coldest months–and we are 100% heating ourselves, so assessments don’t add into it. I guess if you don’t have ceiling fans or drapes it could cost a lot more to be comfortable, but $700-800 is vastly overstating it for a 1-2 br.
I own a unit in this building…let me answer some questions. First of all…there was a special assessment and as owners you could pay it in full or increase your monthly assessments for the next several years. The unit that is selling for $189 is in the second category, which is why the monthly assessment is $500. If that owner had paid the special assessment, they would not be selling at that price. Next…the building is not next to the El…it is next to the Lasalle Street Station that has trains that go to the suburbs. Because the trains are only entering and leaving the station, they move very slowly and it really is not loud. If fact, from the units on the west side of the building have no noise. Finally, whoever said that the heat bills are expensive is completely wrong. I have never had a bill over $100, usually they are in the $50 range. This is a great building and the units are beautiful. There are certainly good deals here. I was an original owner…so like the other original owners got screwed by the special, but that is all over now.
As far as the heating bills for loft style condos, NO WAY … my bill never tops out over $150 in the coldest months in the winter and my summer bill is never over $70 even at the hottest months!
Lofts will never go out of style! 🙂
I realize my comment is late but I looked at this building and considered it when I was buying in 03 I think it was. I did not buy because I couldn’t swing it at that time, but I’m looking again and certainly can.
My observations:
1. Neighborhood: This is a fantastic neighborhood close to Printers Row, Union Station, and not far from the lake if you want to take a nice walk with the dog (city dogs & people of course). It’s extraordinarily convenient.
2. Building: It’s got character – and more than some lofts. The unique nature of the spaces and level of finishes creates opportunity for those who don’t want the off the shelf condo units pre-done like nearly every other loft in the south or west loop.
3. What a great time to look at units in the building considering its trouble! It sounds like its a good time for those who appreciate lofts like this to come in, get something, and make it their own.
I’ve flipped 6 properties in 5 years (no not a pro, just good choices I think) – 2 lofts, 2 old style condos, and 1 house. This place has potential.
Michelle (or any other owners in 732 S. Fin.): what is the HOA like in this building? Run by responsible people? Feel free to email me privately at gorgeousblue@gmail.com. Thanks!