Avanath Capital Management has increased its footprint in Chicago with the acquisition of two affordable multifamily properties for $72.2m (€62.3m).
The real estate manager said it bought the properties - which include the 582-unit Hinsdale Lake Terrace in Willowbrook and the 86-unit Drexel Court - on behalf of the Avanath Affordable Housing III fund.
Hinsdale Lake Terrace was acquired for $63m and Drexel Court Apartments was acquired for $9.2m.
John Williams, the president and CIO of Avanath Capital Management, said: “Both are mid-1900’s-era affordable housing properties in economically thriving submarkets.
“The Chicago market is precisely aligned with our investment thesis, through which we preserve affordability in the nation’s most cost-burdened regions, while simultaneously driving value for investors.”
This acquisition increases Avanath’s footprint in the region, bringing its portfolio in the Chicago metro to more than 840 units, Williams said.
“Drawing upon our national property management platform, we will be able to increase operational efficiencies and deliver a high quality of life to our residents throughout the region,” Williams said.
Earlier this year, Avanath’s third US affordable housing funds - Avanath Affordable Housing III and Avanath III NY Co-Investment - raised $388m at final close.