SOLD
Essex Realty Group Facilitates $16.8M Sale Of The Plymouth Multifamily Building In South Loop, Chicago
417 South Dearborn Street
MultiFamily
Sold 1 year ago
Summary
Sale
ILLINOIS
MultiFamily
The Plymouth, a turn of the century classic building in Chicago's South Loop, has been sold for $16.8 million. Located at 417 S Dearborn St, the multifamily property features 30 apartments and various common area spaces, including a rooftop club room and fitness center.
Summary of transaction details
- Property Type: Multifamily
- Sale Price: $16,875,000
- Address: 417 S Dearborn St
- Market: South Loop, Chicago
Jim Darrow, Jordan Gottlieb, and Matt Feo of Essex Realty represented both the seller and the buyer in the deal. The seller, LG Group, hired the Essex Realty team to exclusively market the property for sale, while Matt Feo represented the local investor who purchased the property.
The Plymouth is currently fully master leased by Sonder, Inc., a publicly traded international hospitality company. Sonder guarantees 100% occupancy and offers reduced operating costs, making it an attractive opportunity for the buyer. Sonder's market capitalization is over $1 billion, highlighting its success in the hospitality industry.
According to Jordan Gottlieb, the property was originally intended for student housing, but Sonder's master lease offer provided a stable income stream. Matt Feo praised Sonder's innovative model, which allows the buyer to enjoy above-average returns with passive management.
Players
All
4
Agents
3
Agencies
1
Details
SOLD
IMAGE: Matt Feo, Jordan Gottlieb & Jim Darrow
DATE: 05/04/2022
ADDRESS: 417 S Dearborn St
MARKET: South Loop, Chicago
ASSET TYPE: Multifamily
BROKERS: Jim Darrow, Jordan Gottlieb & Matt Feo (@Matt_Feo_Multifamily) - Essex Realty (@ChicagoMultifamily_EssexRealty), (@Genco_Land_Co)
SALE PRICE: $16,875,000
UNITS: 30 ~ PPU: $562,500
NOTE FROM BROKER: The Plymouth Trades Hands for $16.8M.8
Chicago-based multifamily brokerage firm Essex Realty Group, Inc. recently facilitated the sale of The Plymouth, a turn of the century classic building in the heart of Chicago’s Loop. Located at 417 South Dearborn Street, the Plymouth features 30 apartments and multiple common area spaces including a rooftop club room and fitness center.
LG Group, developed the property and hired Essex principals Jim Darrow and Jordan Gottlieb to exclusively market the property for sale. Essex director Matt Feo represented the buyer, a local investor, who purchased the property for $16,875,000, which equates to $562,500 per unit.
The entire property is master leased by Sonder, Inc. (NASDAQ: SOND) a publicly traded international hospitality company combining the comfort of a home with the amenities of a hotel. Sonder is the ideal subtenant to reside in The Plymouth as they guarantee 100% occupancy with substantially reduced operating costs and time typically required to manage a property of this size. Sonder’s current market capitalization is over $1 billion.
According to Gottlieb, “This property underwent an incredible transformation and was originally intended for a 130-bed student housing property. However, Sonder, Inc.’s master lease offer provided the owner with a very attractive tenant and a stable income stream.”
Feo added, “Sonder continues to disrupt the hospitality space with their unique, and innovative model. This was a fantastic opportunity for the buyer to acquire a trophy asset that not only cashflows above traditional multifamily returns, but does so with passive management and a master lease tenant who is rapidly growing their brand across the globe.”View on map
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Address417 South Dearborn Street
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