Waterton Condominium Deconversion of 1230 North State Parkway

Deal value: $51,000,000

Acquisition and deconversion of 1230 North State Parkway, a 160-unit condominium building in Chicago, Illinois, to convert to rental apartments.

The investment is driven by the opportunity to capitalize on Chicago's persistent rental supply shortage and the rising cost of new construction. By acquiring a fully entitled asset in a high-demand location, the investor can quickly add stabilized rental inventory without the risks and delays of ground-up development. The timing aligns with a wave of aging condo buildings facing costly repairs and special assessments, making owners more receptive to premium offers. This strategy leverages the current market imbalance between stagnant condo values and robust multifamily pricing.