Alex. Brown Realty has joined a Chicago developer in the $10 million residential redevelopemnt of the former Yellow Cab building in Chicago's South Loop neighborhood.
ABR Chesapeake Fund V, one of Baltimore-based Alex Brown Realty's funds, invested nearly $6.6 million in the project to convert the vacant 80,000-square-foot building into 110 studio, one- and two-bedroom apartments. The project, near the lakeshore and an elevated train station, is aimed to affordable.
"We believe the project will appeal to young professionals who desire the amenities that the South Loop offers without paying luxury rates," said Tom Burton, Alex Brown's chief investment officer, in a statement.
This is Alex Brown's first deal with Chicago developer 3L Real Estate, which focuses on adaptive reuse of historic and underutilized structures.
"We expect that 3L's experience with redevelopment into this product type will create a profitable asset for the Fund," said John Prugh, Alex Brown's president and CEO.