JV Secures Financing for Chicago Office-to-Multifamily Conversion Project

JV Secures Financing for Chicago Office-to-Multifamily Conversion Project
News| June 20, 2025| Jasmine Kilman
Chicago & Midwest + Apartment Buildings

Mag Mile Capital, Inc. has arranged $10.25 million in joint venture equity on behalf of the development team executing an office-to-multifamily conversion project at 111 W. Illinois in the River North neighborhood of Chicago.

The joint venture equity was arranged on behalf of the development team and secured from an institutional limited partner based in Chicago. Mag Mile was engaged by the development partners to secure an institutional equity partner.

Matt Weilgus, SVP and Head of Originations of Mag Mile spearheaded the transaction. “This transaction is noteworthy as it is one of the largest projects in Chicago to be executed in the post-COVID wave of office-to-residential conversions,” said Weilgus.

The capital enables the newly formed joint venture to acquire the property and fund a portion of the construction costs required to convert a former office component of the building to 153 Class A multifamily rental apartments.

Other News

Multifamily Refinancing Squeeze: 41% Higher Costs, $6.8B Equity Gap

Apartment Buildings

Multifamily owners with loans coming due are faced with higher refinancing costs. While this isn’t news, Newmark put numbers to the issue, indicating that loans maturing in Q3 2026 carried an average interest rate of 4.04%, compared to 5.69% on new loans at an average cap rate of 5.5%, resulting in negative leverage. At the...

Learn more

Mortgage Rates Tilt Demand Toward Multifamily: Marcus & Millichap

Apartment Buildings

An increase in mortgage rates is cooling home sales, with multifamily the biggest beneficiary, according to John Chang, senior vice president at Marcus & Millichap. In a recent video, Chang said that the 10-year Treasury has risen by more than 100 basis points, and the 30-year mortgage rate is up about 130 bps to the...

Learn more

Revere, MA Weighs 1,700-Unit Housing Project

Boston & New England + Apartment Buildings

The city of Revere is eying a large redevelopment plan that would create 1,700 new affordable and market-rate homes about five miles northeast of downtown Boston. The Revere Housing Authority presented a proposal to the Revere City Council last week requesting a zoning change that would allow for development on a 40-acre site at Cooledge...

Learn more
New call-to-action

Brokers

View All

Lenders

View All

Management

View All
Login
or
Sign up