River City Foreclosures Continue: 800 S. Wells in Printers Row
We last checked in on River City, at 800 S. Wells, in Printers Row in the South Loop in July of 2008.
Back then, some foreclosures and short sales were selling, but the building was still among the top for foreclosures and short sales in the downtown.
See our prior chatter and pictures here.
But never fear if you think you missed your chance to get a deal in the building.
This bank owned 2-bedroom is currently on the market for 64% less than its 2005 purchase price. It’s been on the market since March.
It is also one of the non-renovated units so it has the original 1980s kitchens and baths as well as carpeted floors.
Ayoub Rabah at Great Street Properties, Inc. has the listing. See the pictures here.
Unit #518: 2 bedrooms, 2.5 baths, no square footage listed
- Sold in August 2005 for $516,000
- Bank-owned as of July 2008
- Originally listed in March 2009 for $195,900
- Reduced
- Currently listed for $184,900
- Assessments of $924 a month (includes heat, AC, pool, doorman)
- Taxes of $6600
- Looks like leased parking
- Washer/Dryer in the unit
- No central air
- Bedroom #1: 20×13
- Bedroom #2: 13×12
- Living room: 21×18
- Kitchen: 9×8
$1,500 before touching what you owe the bank. Even if a buyer came along and threw 20% down and got a 4.5% interest rate, they’re paying $2,250 to live in underwater city with their 1980s condo.
With those assessments and taxes, you might be looking at 5 figures to attract buyers. I think this is just a doomed unit/building.
Run away…..
How wants to live on 10-forward on the Enterprise?
Who wants… sorry.
Oh, and LOL to this:
“Assessments of $924 a month (includes heat, AC, pool, doorman)”
“No central air”
“they’re paying $2,250 to live in underwater city with their 1980s condo.”
If you planned to live in it, you could probably get a 75% reduction in the taxes, between adjusting the assessment and the homeowner exemption. So about $1800/month.
“Oh, and LOL to this:
“Assessments of $924 a month (includes heat, AC, pool, doorman)”
“No central air””
I think this place has commercial AC, but still I wouldn’t touch a unit here with the forclosures mounting.
This is my least favorite building in Chicago. I wouldn’t live here for free. You’d need to pay me.
ick
oh man, can believe there’s such hate for River City. I toured it when it was apts and thought it was pretty cool. Maybe not for everyone but definitely unique. Plus you can park your boat year round in their marina (they keep the water moving so it doesnt freeze). That said when they finish that big mall movie theater project nearby, the traffic could get annoying. though that thing could flop too, which might be worse in other ways. Location is nice if you like printers row.
My least favorite building in chicago is similar to River city… its the condo-converted high rise projects at State and Cermack… who the hell would EVER buy a condo there???
I agree with REB. Although I have seen uglier buildings (midcentury modern disasters). RC is definitely in my top 5 of fuglyness for Chicago buildings and I wouldn’t live there for free either.
Its the tramp stamp of the South Loop: cool, hip and modern at the time, but just didn’t age well.
“I toured it when it was apts and thought it was pretty cool.”
Sure, when you could rent this unit for $1500-$1800/month, and have the management company deal with your maintenance, it’s a reasonable option, especially if you had a boat and like the South Loop.
But $185k for a liability is a bit steep.
“when they finish that big mall movie theater project nearby, the traffic could get annoying”
Is there going to be access from Wells? Did not know that.
The huge amount of interior common areas and numerous other unique features will keep those assessments rising for all eternity.
The condo converter doesn’t exactly instill confidence that major specials will be unheard of, too.
American INVSCO conversion STAY AWAY!
Now can we talk about why this place ever went for half a million?
“can we talk about why this place ever went for half a million?”
Didn’t AI guarantee 2 years of rent + taxes + assessments?
Honestly, imo, it seems like a borderline RICO case, the way AI benefited at the expense of buyers and, especially, lenders.
:: gets it; laughs to self ::
“Run away…..
How wants to live on 10-forward on the Enterprise?”
😉
Assessments need to subsidize the enormous amount of interior atrium common area. Though an interesting design idea, River City is poorly conceived as a condominium building. This development, along with the Riverbend condominium tower, are two examples of where the developer was led astray by his architect.
Though architect of River City, Bertrand Goldberg, may have also had a developer role here. Riverbend, developed by failed developer BJ Spathies (who eventually skipped town) is a perfect example of a design concept that incurred significant construction cost premiums and longterm operational condo budget cost premiums. Developer was too inexperienced to rein in architect. River City was modelled as a middle-income rental housing development and shares its form elements with the Goldberg-designed public housing towers east of Chinatown. River City is an interesting experiment, but a lousy home investment, and already becoming a troubled and unstable renter-dominated marginal condo building.
‘Riverbend … is a perfect example of a design concept that incurred significant construction cost premiums and longterm operational condo budget cost premiums.”
What are the problems w/ Riverbend? Hadn’t heard this before (other than the developer’s issues–another primo Lehman asset the remaining condos turned into, huh?).
I’ve seen a lot on this site about how the Vetro sale can affect south loop pricings. Is River City so different from other condos in the immediate printer’s row area that it has no impact on their value? Or is this a fair comp?
I take it this Invsco conversion had the same “who cares if you’re overpaying by 80%, we provide tenants for 2 years to take care of the monthly nut and when those 2 years are up, you flip and win big” hook. I am still amazed at how many idiots bought these places and especially the idiot Banks that gave them the money for it.
Nomadic,
I think the architecture of this building is akin to what Jason said. That being said as I don’t have any sets of fake vulcan ears in the closet, I would never consider this a valid comp for Vetro for an owner-occupant. Plus Vetro was finished in 2006, this place is at least twenty years older (ie: no central air, no on site parking).
For an investor, hey you can hate the architecture but still make money off of it as you don’t have to live there. What kills this as an investment are the assessments and taxes.
As a buyer trying to think as an investor, $900/month assessments is unreal. This would definitely have to drop very close to 5 digits for the monthly price to even compare to other 2/2s.
How could anyone (owner-occupier or investory) ever justify these assessments? I’d be interested to know what they were at the time of purchase compared to now.
Didn’t Bertrand Goldberg design Marina City, as well? That’s another less-than-successful condo conversion despite the fab location.
There was, I recall, a big fad for round buildings back in the 50s-60s, the Golden Age of “doowop” architecture with “space age” themes. Why anybody could think a round building is more functional than anything, I can’t figure. Bertrand Goldberg gives the term “Rube Goldberg” a whole new meaning and I’m surprised he didn’t get that term slapped on him as a nickname.
The only thing surprising about River City is that in all the years that this train wreck has existed, nobody tried to burn it down and collect insurance money. This building has been a mess from the beginning and will continue to suck in more money than its worth until the day someone mercifully tears it down.
Does this place smell bad? Sitting on the green/brown water like that…is concerning. I’m sure it’s not gross 24/7 but they certainly must get some unpleasant drafts…?
Goldberg also did Marina City.
Riverbend has a single-loaded corridor (units face east; no units face west), which creates twice as much common area maintenance charges (and construction cost) to be distributed number of units. Parking garage contains no ramp circulation; all traffic relies upon two garage elevators to retrieve or park cars, causing delays and costing significantly more in maintenance costs – plus extreme inconvenience when one elevator is out-of-servce. Building backs up against Metra/Amtrak track; townhouses at base literally abut tracks – a strange feature for a $1 million “house”. Interior finishes included exposed poured concrete ceilings, floors, and structural column elements – coupled with sloppy concrete pours, many of these surfaces are unattractive, particularly to a more conventional condo buyer, and require post-closing drywall and skim-coat plastering. HVAC system is a cheap through-the-wall system. Developer was inexperienced and incompetent; she lost building to Lehman and fled town when building was 95% complete, with the punchlist finish items the glaringly incomplete component. Riverbend is a handsome building from a distance; it’s exterior elevations have architectural integrity. But operationally this building is poorly conceived and very expensive to operate. Assessments are significantly higher than average, and due to new construction tax assessment premium, real estate taxes are also higher than average. Neighborhood is better than ten years ago, but Clinton is still an unsightly street with a deteriorated street streetscape of crumbling sidewalks and street pavement coupled with a major railroad crossing with hundreds of trains passing by each day.
should have noted “single-loaded corridor for tenant unit floors”
“Is River City so different from other condos in the immediate printer’s row area that it has no impact on their value? Or is this a fair comp?”
I don’t consider this, nor Vetro, as Printer’s Row. Printer’s Row is btw Clark & State. I think there are no fair comps in the South Loop right now — it’s building-by-building. You have nice spots like Dearborn Park and Museum Park, all the way down to the River City pit.
I’ve often thought that if the South Loop ever did really take off, River City could be a good investment for a developer to gut and redo as part high-end residential/part commercial (assuming the structure is sound).
The old Post Office is another big property that could be developed given enough $$ and guts to take the risk.
“The old Post Office is another big property that could be developed given enough $$ and guts to take the risk.”
I work near the old post office. Featured in the beginning of the last Batman movie. The rumor was that it was bought by a developer and would be a retail residential mix. Think I may have seen something about it in the Trib also. That was a while ago so who knows at this point. The whole thing could have been scrapped by now.
River City is a very dated and ‘creepy’ building. I was in there once and honestly didn’t feel all that safe. The “River Road” open area mezzanine that AI touted as “the greatest thing ever” feels like a dilapidated Holiday Inn atrium. And no, I wasn’t there looking to buy, just by chance…
remember somebody (maybe the reader) suggesting the city make the old po into a giant mausoleum. with funeral boats bringing the dead there via the river.
thanks for the interesting rundown on the river bend architect. i recall it getting lots of praise when it was built. then the next i heard about it RW McQuarters was being evicted.
“My least favorite building in chicago is similar to River city… its the condo-converted high rise projects at State and Cermack… who the hell would EVER buy a condo there???”
Hilliard Homes? That’s CHA, not condos…
As a single guy I just can’t imagine trying to bring a girl home to River City. Why throw up extra obstacles like she would have to be in the same small niche that likes the same sort of dated disgusting architecture as you?
I mean unless it was a girl I didn’t really like and wasn’t really into then it might get the message across in a delicate way.
This place is easily 20 years old. I looked at this building when it was a rental way back when I was a college student, circa 1985. It didn’t appeal to me then (and who was I to talk given my Flock of Seagulls hairdo?) and it still doesn’t do it for me.
As the area gets more populated, the building may stand a better chance of appealing to people, but my bet is that’s years away given absorption rates and the potential for newer, more attractive buildings with palatable assessments.
They could bite the bullet and impose special assessments in an effort to lower current monthly assessments. Of course, from what I’ve seen, that tends to drive values down. At some point, however, things rebound. About ten years ago there was a highrise on Astor that had these nasty, for lack of a better word, bars over all of the windows. A special assessment was imposed, owners bailed out at low prices AND paid the special assessment. The winners were the new buyers who, once the windows were replaced, saw a nice appreciation.
Of course, RC is probably a different story given its unique design. I dunno, maybe a coat of white paint or a plasma tv enticement is the answer.
This place – no matter the location – is awful.
What do you even call those cabinets that are white with the wood trim. I HATE them. Hate. And the fact that you have a washer and dryer in your kitchen right next to the dishwasher? Great for multi-tasking I guess, but SO tacky. I have a feeling this place is going to be on the market for a LONG time… That window is awful too. I think I’d rather be homeless.
Dave – that high-rise condo on Astor was a Bertrand Goldberg building as well.
Architect, OMG, that’s right. Was Bertrand was the Barney Fife of architecture? Mix that with Nick and his crew and you’ve got yourself a real estate molotov.
Admittedly though, with the exception of RC, I wish I purchased investment units @ Marina and Astor. Condos on the river could be had in the 50 something thousand range back in the mid-ninties. I was scared off by the building’s financial situation and a few infrastructure issues, but I reckon those were resolved. Oh, well.
This craphole, when it fails (which will have to be soon with these assessments,) should become CHA owned temporary scatter site housing for displaced residents. Perhaps the use of a boat and slip would make residents feel better about temporary living quarters in hell.
Ok, everyone leave poor BG alone.
I heard there is a larger-than-life prostitution ring that flows through here.
The state could take the building over and turn it into a prison. They could use the marina to transport prisoners — sending them “up the river.”
You need to put this in the “rumor” column, since I’ve been unable to confirm it, but neighborhood gossip is that River City is facing a HUGE bill in the near term. Apparently, the trees that are on the roof/terrace overlooking Wells street were meant to be trimmed to remain small, but haven’t been tended to for decades. (If you look, you can indeed see how huge they are.) Reports are that they are now crushing the structure below them (retail space) and the figure I heard mentioned for getting rid of the trees/fixing the structural problems/redoing the damaged retail spaces is in the $30M range. That works out to about $75K per unit, assuming every unit is currently paying their assessments.
Anybody have any info on this? I would think that sort of bill would just about finish off RC.
You can now get a 3/3 for $156,750. Unit 544–MLS# 07321594 . BANK OWNED. Haha. River City is a prison–its a financial prison for those that bought there and don’t intend on defaulting.
These foreclosure pictures are hilarious. In one for this set the blinds are drawn sideways and the agent couldn’t be bothered to either draw them completely or let them down. LMAO!
To JB there is some leakage into the commercial space, but the cost to repair is coming from the commercial budget, and will not affect residential at all.
RC has never imposed a special assessment.
This may be an old thread, and I may just be a dumb college student, but I’m considering River City for a rental. However, after reading all of these comments I’m pretty nervous. I feel like I’ve looked everywhere in the South Loop area, and this place has the only 1 bedrooms in the $1000 range. Is there anywhere else in the South Loop that anyone can recommend to me, or can someone even just suggest a few good apartment rental sites that maybe I’m not aware of? Thanks for the help in advance.
Allison
“This may be an old thread, and I may just be a dumb college student, but I’m considering River City for a rental. However, after reading all of these comments I’m pretty nervous.”
Allison:
No matter where you rent, investigate your landlord and make sure he/she is not behind on the mortgage (all of that information is public record and easily accessible.)
Otherwise- as a renter- you just should care if you like the building, location, landlord is sound etc. In a year- you can always move.
Oh- and use Craigslist to find rentals. It’s really the best real estate source. If you’re looking at condos for rent- have an agent set up an MLS search for you in your targeted neighborhood and price range. You can also look at those rentals on any of the realtor sites like coldwell banker and rubloff (rubloff makes its rentals really easy to search.)
It costs you nothing to have an agent show you those properties (the agent is paid by the landlord.)