JRK Lists Iconic 838-unit Rental Building in Arlington for Sale

JRK Property Holdings has announced the sale of Residences at Arlington Heights, an 838-unit apartment complex located in the Chicago suburb of Arlington Heights, Illinois. The Los Angeles-based investment firm has enlisted CBRE to handle the marketing of the property, which is situated at 2134 South Goebbert Road. JRK Property Holdings initially purchased the property in 2014 for $78 million.

Loan Structure and Financial Details

The Residences at Arlington Heights is currently financed by a $59.15 million Freddie Mac loan, securitized through FREMF, 2014-K40, alongside two additional loans: a $19.74 million mortgage under FREMF, 2017-KJ14, and a $12.72 million loan under FREMF, 2018-KJ22FX. The primary loan carries a 3.8% interest rate, while the supplemental loans have interest rates of 4.7% and 5.4%. All loans are available for prepayment and are set to mature next month.

Financial Performance and Income Growth

According to data from Trepp Inc., the property generated a net operating income of $11.34 million last year, which is an increase from $9.8 million in 2022. This upward trend reflects the property's strong financial performance and its appeal to potential investors.

Property Features and Amenities

Residences at Arlington Heights offers a variety of living spaces, including one-, two-, and three-bedroom units ranging from 600 to 1,128 square feet. The complex provides a range of amenities, such as a swimming pool with cabanas, a fitness center, a clubhouse, a pet park, and a courtyard equipped with picnic and grilling areas. Monthly rents for the units start at $1,490, making it an attractive option for renters in the area.