Cushman & Wakefield has been retained by Quarterra (“The Sponsor”) as the exclusive advisors to arrange $58.1M in Limited Partner (“LP”) equity for 1657 North Shermer Road (“The Project”) located in Northbrook, Illinois. The 318-unit, 5-story Texas wrap multifamily development will be downtown Northbrook’s first Class A rental community and only transit-oriented development (TOD) to date. The 284,388 NRSF Project will feature a series of courtyards including a large pool deck with grilling stations, native landscaping, and large outdoor patios for ground level units. The project is fully designed and entitled. Construction is expected to commence in Q1 2024 with completion in Q1 2026.
The 10.4-acre site is master planned into three areas: 7.2 acres for Sponsor’s 318-home multifamily building, 1.5 acres for Sponsor’s 6,500 SF retail outparcel, and 1.7 acres for a 48-unit supportive housing building. The Sponsor is purchasing the supportive care land as part of the overall land purchase and will immediately donate it to local affordable housing developer, Housing Opportunity Development Corporation (HODC). The affordable housing component is not a part of the opportunity . The 6,500 SF retail pad will be constructed as a shell with the intention of leasing the space to a high-end destination restaurant user or comparable use. The community will have 477 parking stalls for a ratio of 1.5 stalls per home. Most of the parking is within the conditioned parking garage, with approximately 68 surface stalls flanking the road that circles the site.
This Project presents a rare investment opportunity in the highly affluent North Shore sub-market where high-density multifamily projects were historically pushed to the northeast section of downtown. This optimal location gives close proximity to Metra, parks, restaurants, shopping, and high-end single-family communities in Chicago’s North Shore.
Northbrook, IL 60062
Best Product in Vibrant Walkable Location
Promenade at Founders Square stands out as the premier offering in its vicinity, boasting top-tier finishes and luxurious amenities that elevate the living experience. The vibrant location adds to the appeal, with convenient on-site retail options and adjacency to the popular Founders Square Park.
6.4% Cap Rate with Impressive Demand
The property is being offered at a compelling 6.4% cap rate. Furthermore, the property showcases remarkable demand as it is currently 100% leased with a waitlist of prospective tenants. This signifies a high level of interest and a positive market outlook for the property.
Northwest Indiana Employment & Amenities
The Northwest Indiana region is rich with abundant employment opportunities. Residents of Promenade at Founders Square enjoy convenient access to the job market in the Chicago area as well as the employment opportunities available in northwest Indiana.
Benefits From Illinois and City Exodus
Nationally there is a migration toward the suburbs. Locally Northwestern Indiana is benefiting from a boom of new residents as people look to escape Chicago in favor of small town charms, taxes and environment.
Proximity to Chicago
Promenade at Founder's Square boasts a prime location, a mere 45-minute drive from the lively city of Chicago. Residents can effortlessly enjoy the abundant amenities, entertainment offerings, and employment opportunities that Chicago provides, all while avoiding the exorbitant costs and inconveniences of city living.
Potential to Develop 60 Additional Units
The acquisition of land adjacent to Promenade at Founder's Square presents a promising opportunity for the development of 60 additional units. Two additional parcels of land are currently available for purchase at a price of $550K. Importantly, the site is already properly zoned and prepared, streamlining the development process.
Portage, IN 46368