
National real estate investor and operator Waterton has acquired two multifamily communities in its hometown of Chicago. The acquisition of The Shoreham at Lakeshore East and The Tides at Lakeshore East adds 1,156 units to its portfolio, bringing its Chicagoland total to 10 communities and more than 6,600 units.
“The Shoreham and The Tides are a natural fit for Waterton’s portfolio, and we are excited to grow our footprint in our own backyard,” said Julie Heigel, vice president of acquisitions at Waterton. “We believe that the multifamily investment fundamentals in Chicago are favorable. Record-setting absorption as renters return downtown, coupled with historically low levels of new construction, continues to fuel Chicago’s recovery.”
Located in Chicago’s Lakeshore East neighborhood, The Shoreham and The Tides include adjacent 47- and 51-story towers that are comprised of studio, convertible, one-, and two-bedroom apartments. The properties feature a 24-hour concierge, a private club floor, an outdoor pool and sundeck, a game and billiards room, a fitness center, storage, and parking with car charging stations.
Waterton has plans for value-add renovations, including upgrading unit fixtures and finishes as well as reactivating and modernizing the existing commons areas and amenity spaces, including the pool and lounge decks on the 16th floor of each tower.
Prior to this acquisition, Waterton acquired a 360-unit multifamily community in Pearland, Texas, a suburb of Houston. Built in 2010, Stonepost at Shadow Creek Ranch will be rebranded as Sladestone at Shadow Creek Ranch.
The garden-style community is comprised of large floor plans in a mix of one-, two-, and three-bedroom units averaging 1,150 square feet, with the majority including a direct-access garage. Amenities include a clubhouse, a swimming pool, a fitness center, a grilling area, a billiards room, a playground, and a dog park.
“Shadow Creek Ranch boasts strong demographics and high barriers to entry for residential development,” said Jeremy Stern, vice president of acquisitions at Waterton. “Waterton’s prior experience operating in the Houston market combined with our ability to close in a short timeframe were key factors in the successful completion of this acquisition.”
Waterton also has plans to upgrade units, including the addition of vinyl plank flooring in the living areas, new carpet in bedrooms, stainless steel appliances, quartz countertops, lowered breakfast bars, lighting and plumbing fixtures, backsplashes, and smart thermostats. Common areas and amenities also will be modernized, and mechanical systems, landscaping, and parking areas will receive updates.
The community is within a 30-minute commute to some of Houston largest employment centers and offers access to nearby retail centers.
“The combination of slowing new development supply and the growth in employment, incomes, and household formation presents and excellent opportunity to leverage our design and operational expertise to attract the growing population in this Houston suburb,” added Stern.