Thank you for sharing!

Your article was successfully shared with the contacts you provided.

HIGHWOOD, IL-Morningside Group has purchased the 252-unit North Shore Estates apartment community for $14 million. The Chicago-based company acquired the seven-acre property on Sheridan Road from private investment group North Shore Estates LLC. A $5-million redevelopment is planned for the three buildings.

The company expects to begin work on units within the month and renovated apartments are expected to be available for lease this summer. After its redevelopment, the community will be renamed Fort Sheridan Place Apartments.

“It’s in a phenomenal location between Lake Forest and Highland Park right in the heart of downtown between two Metra stations,” Melissa Pittman, project manager with Morningside, tells GlobeSt.com. “People can go shopping and go to restaurants by just walking outside their place. There’s access to the lake and some of our fourth floor units do have views of the lake.”

Pittman says Morningside also believed the property was a sound investment based on its need for renovations. “We saw there was an opportunity because the property needed substantial upgrades and for us to come in and do a gut rehab,” Pittman says. “The structure itself is in very sound condition but the property lends itself very well to doing a tiered renovation and it needs it.”

Morningside plans to renovate the four-story buildings in several phases over the next three years, rehabbing everything down to the dry wall, Pittman says. Work will include updating the units’ interiors and finishes, which haven’t been changed since the buildings’ construction in the 1970s, as well as renovations to the exteriors, balconies, roofs, landscaping and sidewalks.

The company does not expect to vacate any buildings, as it will perform renovations as leases come up and units become vacant. Morningside is prepared to relocate current tenants from old to new units if needed.

The property is currently about 96% leased, Pittman says. It offers one- through three-bedroom units ranging in size from 600 to 1200 square feet, with asking rental rates around $1.13 per square foot. Pittman says Morningside expects to phase in rent increases after the renovations, eventually reaching rates about 35% higher than they are now.

Morningside received $19.2 million in financing to support the property’s acquisition and renovation.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


Join 1000+ of the industry's top owners, investors, developers, brokers & financiers at THE MULTIFAMILY EVENT OF THE YEAR!

Get More Information


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.