CHICAGO — March 6, 2020 — Berkadia today announced the financing secured for 1407 On Michigan, a mixed-use property in Chicago. Senior Managing Director Chris Blechschmidt and Managing Director Joel Kirstein of Berkadia’s Chicago office secured the refinancing on behalf of the borrower, Illinois-based Russland Capital. The deal closed on December 18, 2019.
The loan was funded by Ares Management, a global alternative asset manager, for a recently constructed Class-A mixed-use building featuring 199 luxury apartment units and 41,498 square feet of retail space that is currently occupied by Rush University Medical Center.
“This financing addressed Russland’s desire to refinance the expensive construction debt and get the flexibility and economics commensurate with its medium-term hold strategy,” said Blechschmidt. “It also allowed Russland to recap its initial investment while maintaining full ownership of the project.”
Located at 1407 S Michigan Avenue, 1407 On Michigan features units with floor-to-ceiling glass windows and spectacular panoramic views of Lake Michigan, Soldier Field and the Chicago Skyline. The condominium-quality finishes of the building and units include custom built wood closet systems, quartz countertops, wood plank flooring and ceramic tile backsplash. Residents have access to a state-of-the-art gym, an indoor basketball court, a sauna, a gourmet kitchen and a yoga studio. The amenity floor also features a spacious outdoor pool deck with cabanas, gas grills and fire pits.