Historic Andersonville Mixed-Use Sale Ushers in a New Era for 5400-5406 N. Paulina & 1706-1710 W. Balmoral, Chicago

Sale at a Glance

A rare legacy asset in the heart of Andersonville, 5400-5406 N. Paulina St. and 1706-1710 W. Balmoral Ave. traded hands for the first time in over a century. Triton Realty Group’s Harrison Cohen and Matthew Fritzshall orchestrated the $3 million sale, representing both buyer and seller in a deal that highlights the enduring appeal and transformational potential of Chicago’s North Side apartment market. The property’s storied past, 100% occupancy, and flexible zoning attracted a visionary buyer eager to elevate the asset for the next generation.

Sale Details

A historic transaction with a forward-looking buyer set the stage for a full-scale repositioning in a coveted residential neighborhood.

Sale Price: $3,000,000
Closing Date: July 17, 2023
Broker Representation: Harrison Cohen and Matthew Fritzshall, Triton Realty Group, represented both buyer and seller
Unit Count: 16 residential apartments, with potential for 3 additional garden units under current zoning
Occupancy Rate: 100% occupied at time of sale

Property Highlights

This multi-building property blends early 20th-century character with untapped modernization potential.

Historic Provenance: Originally developed by the seller’s grandfather in the early 1900s; first transfer outside the family in over 100 years
Flexible Layouts: Existing 16 units convertible to 19, with in-place zoning and plans for even mix of 2Bed/1Bath and 2Bed/2Bath layouts
Prime Location: Situated in Andersonville, a highly sought-after North Side Chicago neighborhood renowned for its vibrant community and walkability
Full Renovation Undertaken: Buyer completed an A-to-Z construction and modernization project post-closing

Key Investment Features

The asset’s generational history and redevelopment potential positioned it as a rare find for value-add investors.

Legacy Asset: Centuries-long family ownership underscored the property’s stability and pedigree
Repositioning Opportunity: Full renovation allowed new ownership to introduce modern finishes and increase value
Unit Expansion: In-place zoning permitted the addition of three garden units, boosting long-term income potential
Optimized Unit Mix: Post-sale plan focused on maximizing rental returns with an appealing blend of two-bedroom layouts

Market Strategy and Positioning

Triton Realty Group leveraged deep neighborhood expertise and a nuanced understanding of Andersonville’s apartment market to connect a motivated buyer with a legacy seller. By spotlighting the building’s historical significance, expansion potential, and turnkey value-add opportunity, the team generated robust interest and ultimately secured a premium price. Their strategic guidance and block-by-block market knowledge ensured a seamless sale, setting a new benchmark for similar assets in the area.

Client Testimonial

“Triton has been an instrumental partner in the growth of our real estate portfolio. Their market insight of different Chicago neighborhoods has been extremely helpful in our underwriting analysis, and their block-by-block granular knowledge as to the history behind different northside apartment buildings never ceases to amaze me. Most importantly, they have helped us source terrific deal flow with several off-market opportunities turning into closed transactions including this prime Andersonville opportunity.”— NXT Realty

Frequently Asked Questions (FAQs)

This Andersonville transaction sparked interest among investors eager to uncover the secrets behind its success.

What made the property especially attractive to buyers?The combination of legacy ownership, prime zoning for additional units, and a turnkey repositioning opportunity in Andersonville created substantial upside for value-add investors.
How did the buyer plan to add value post-sale?The buyer completed a comprehensive renovation, expanded the unit count, and upgraded finishes to meet modern tenant expectations.
Why is Andersonville a sought-after location for multifamily investments?Andersonville’s vibrant culture, walkability, and strong rental demand make it a perennial favorite for both renters and investors.
What challenges were overcome during the sale?Coordinating a first-time family sale after a century of ownership required sensitivity, expertise, and clear communication—areas where Triton Realty Group excelled.
Is there potential for further expansion or redevelopment?With in-place zoning for additional garden units, new ownership has the flexibility to further enhance the property’s NOI and long-term value.