P
ioneer Acquisitions, a New York-based investment firm co-founded by James Peterson and L. Jayson Lamberg in 2008, is seeking to sell a large multifamily portfolio on Chicago's South Side. The company has partnered with commercial real estate firm Berkadia to find a buyer for 21 apartment properties totaling 1,085 units in Hyde Park. These properties include a mix of vintage courtyard walk-ups and mid-rise buildings with average unit sizes of 652 square feet and rents set at $2.18 per square foot.
The portfolio includes several notable assets, such as the 97-unit building at 1369 East Hyde Park Boulevard and the 94-unit building at 5110 South Kenwood Avenue. Pioneer's decision to sell its portfolio comes at a time when major developments like the Obama Presidential Center and Related Midwest's quantum technology park are expected to boost the area's real estate profile.
Pioneer acquired many of these properties from the University of Chicago in 2015 and 2016, with some units catering to students but less than half being student-occupied. This broadens the appeal to a wider renter demographic. Other firms, such as 3L Real Estate, are expanding their local holdings to capture Hyde Park's growth potential.
The sale follows recent activity in the area, including Massachusetts-based Estia Properties selling a 24-unit apartment property at 5300 South Blackstone Avenue for $9 million. Pioneer had invested in this property and taken out a $7.3 million mortgage signed by Peterson in 2019. "Multifamily properties in vibrant areas like Hyde Park are in high demand," said Interra Realty's Joe Smazal, who represented Estia Properties in the sale.
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Pioneer acquires 1,085-unit Hyde Park multifamily portfolio
Pioneer Acquisitions seeks to sell large multifamily portfolio on Chicago's South Side.
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