Multi-Family Portfolio

An investment fund based in New York City purchased the notes to a large number of commercial and residential properties located primarily in the South Side of Chicago.

7650-7652-7656 S Colfax Ave
8036 S Kingston Ave, Chicago, IL
Chicago Multi-Family Portfolio Sale
Investment Fund Owned Real Estate

Sale Price: $648,000

Business Challenge

An investment fund based in New York City purchased the notes to a large number of commercial and residential properties located primarily in the South Side of Chicago. The fund’s asset disposition team members had limited knowledge of the Chicago market and primarily were relying on local broker price opinions to determine market value.

Solution

The AW team toured the properties with the fund’s asset disposition team in order to assist in determining which properties to keep in their portfolio; which to dispose of quickly through auction; and which to offer through the traditional sale method. The AW team recommended bringing the multi-family properties (four triplexes) to auction, beginning with the three that were in a better location than the fourth. The AW team recommended a minimum bid (published reserve price) of $125,000 per property, in order to attract investors as well as potential home owners.

Results

The online auction of the three, higher value triplexes attracted over a dozen qualified bidders and resulted in a pre-auction bidding war. Ultimately, the highest price offered per property came from one investor who offered $162,000 per property with a quick, cash closing. The AW team brought the fourth triplex to auction thirty days later, and sold it pre-auction for $162,000 to the same investor who bought the other triplexes.
- CLIENT TESTIMONIAL

I have worked with Diana for the past two years and have been quite impressed with the way she operates AW and the results that she has achieved. I introduced Diana and the AW platform to a number of clients, she has achieved results beyond their expectations. Diana is extremely knowledgeable about the auction process. She has a very well established business structure and a professional manner that puts clients at ease. Many clients are uncertain about the auction template but when they commit to the platform and allow Diana to market the asset and manage the process, they quickly become believers with regard to the value of the auction platform. I strongly recommend Diana and AW to any property owner looking for a dedicated professional and proven transaction process.

Vince D'AmicoSenior Advisor - SVN Chicago Commercial