The Housing Slowdown Is Hitting Chicago’s Luxury Market
There are just certain buildings that keep their cache and 55 E. Erie is one of them. Popular with the uber-rich because of the location (in the middle of River North, just off the Mag Mile) and the finishes (which were tastefully upscale), the building has always seen stellar sales and re-sales. It also isn’t that large of a building, with 194 units, making it feel a bit more exclusive.
But it seems that even the best of buildings isn’t immune to the real estate slowdown.
Several two bedroom units have been on the market in the building and have had more drawn-out market times than have been seen in the past. Some units are also sporting price reductions. Is it bad luck, timing, or a sign of the times?
Unit #2202: 2 bedroom, 2 bath, 1400 square feet
- Sold in December 2003 for $581,903
- Sold in January 2006 for $710,000
- Currently listed for $729,000 plus $50,000 for the parking
- Rubloff has the listing
Unit #4604: 2 bedrooms, 2 baths, 1598 square feet, large terrace
- Sold in December 2003 for $702,849
- Sold in May 2005 for $765,000
- Sold in October 2006 for $835,000
- Currently listed for $895,000
- Second City Realty has the listing
Neither one of these sellers is going to make much money (if any) on the transaction.
Does that designate a slowing market or does it affirm the old adage that you have to own the property for at least 3 to 5 years before you’ll see a profit? (Something neither of these owners has done.)