B
ender Companies has acquired a 110-unit apartment complex in Rogers Park, marking its first deal in Chicago. The property, rebranded as Brix on Morse, was purchased for $16.8 million, or $152,700 per unit. Located near a Red Line station and Loyola University Chicago, the complex is 97% leased and comprises two five-story buildings built in the late 1960s.

    The seller, Newcastle Investors, acquired the property in 2007 for $5.8 million and refinanced it with a $9.5 million loan in 2020. Bender assumed an existing Fannie Mae loan with a 2.67% interest rate, a key factor in the deal given current market conditions.

    This is Bender's second acquisition facilitated by assumable debt, following its recent purchase of Arrive Town Center in Vernon Hills for $28 million. The company plans to optimize the property and benefit from long-term low-cost financing. With this acquisition, Bender adds 110 units to its Illinois portfolio, which now exceeds 2,900 statewide.

    As interest rates rise, multifamily deals with assumable debt are becoming more attractive. Other notable transactions in the area have also been enhanced by such debt, including FPA Multifamily's $102 million acquisition of The Reserve at Hoffman Estates and Standard Real Estate Investments' purchase of Haven on Long Grove for over $94 million.