The Best Deal on Millennium Park Sells for $121K Off 2008 Price: 330 S. Michigan
We last chattered about this 2 bedroom unit at 330 S. Michigan across from Millennium Park in October 2009.
See our prior chatter and pictures here.
The unit did not have Millennium Park or lake views but it did have all the bells and whistles including 2 bathrooms, windows in the bedrooms, central air, and in-unit washer/dryer.
It sold for just $21,800 over the 2000 purchase price.
Susan Dickman at Koenig & Strey had the listing.
Unit #1813: 2 bedrooms, 2 baths, corner unit, no square footage listed
- Sold in March 2000 for $291,000
- Sold in May 2008 for $434,000
- Originally listed in April 2009 for $360,000 (included the parking)
- Reduced
- Was listed in October 2009 at $299,900 (parking is $40,000 extra)
- Sold in November 2009 for $312,800 (included the parking)
- Assessments of $490 a month (includes cable and doorman)
- Taxes of $3746
- Central Air
- Washer/Dryer in the unit
- Bedroom #1: 15×12
- Bedroom #2: 11×10
- Living room: 10×17
- Kitchen: 14×11
Is the view of a building 15 feet from your window?
You don’t have to love this place or its views to appreciate that this was a pretty good deal for the buyer. The assessments aren’t crazy for a high rise and it includes parking. Not my thing (wouldn’t want to live 1 block from where I work), but a good deal for the buyer here.
Good deal. Now we’re talking.
What a great investment this was for the seller.
Damn. THat is cheap.
“Damn. THat is cheap.”
$2250/mo at 5.5% cap. Not sooo cheap, but decent.
yes, it is cheap considering the location and that it includes parking. Not to mention this place is pretty large.
a very good deal no matter how you spin it. Plus they can use their Obama tax credit to re-do that bathroom. Or just stand in the shower to use the commode.
looks like they’re trying to rent it already
http://chicago.craigslist.org/chc/apa/1535142467.html
“looks like they’re trying to rent it already”
2075 w/ parking. Using the Stevo BotE calculator, that sez:
12*(2075-490)-3746/.055/.8 = $347k
Good deal, if your DP is assumed to be a zero return parking place, or
12*(2075-490)-3746/.055 = $278k
Still relying on appreciation, if your DP should be “earning” 5.5%.
Since the truth is somewhere in the middle (and assuming low risk of Assessment Explosion), still say *decent* deal.
Re: math above
Don’t forget that it’s 11 months of rent (per the CL ad) and 12 months of assessments. I think that changes things a bit for the worse.
If you add a 5% vacancy factor to the Stevo calc, it drops the proforma price by $10K. A 10% vacancy factor drops it by approx. $20K.
Amazing how investors ‘snap’ up most of the deals for rentals, and because there is so much competition, rents are headed downward, which in turn further drives down the rent/own price ratios.
Very reasonable.
Yea it rents at ask 100% of the time with no free month per lease. This is only a deal as it relates to past transaction prices. A poor investment & I smell an aspiring land baron not so good at math.
Maybe the buyer is renting it out for now, but planning on occupying the unit in the near term (2 – 3 years)
“chichow”
That was my first thought also, that the buyer is a empty nester living in there naperville home waiting until the market is on the uptick then sell said naperville home. and live the retired city life.