Equity investment in apartments in Chicago, income and appreciation determine the returns

The Sponsor is offering investors an opportunity to purchase a stabilized, recently renovated apartment complex that has potential upside from being located in the increasingly popular neighborhood of Park. The Property recently received substantial renovations that included complete remodels of kitchens and baths in all units. These upgrades allow the Property to compete with higher-end market comparables while maintaining a considerable discount to expensive competition. The Property is managed by an affiliate of the Sponsor, who have streamlined operations, minimized expenses, and increased revenues. The Sponsor assumes that rents will fully transition to market rates by the end of Year 2, with an assumed annual revenue growth of 2.50%. Sponsor intends to exit the Property at the end of Year 3 with a projected 5.50% exit cap rate, having increased the price per unit from $207,643 to $245,942.
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