Judy Lamelza
Special to Chicago Construction News staff writer
In a challenging lending environment, Tucker Development and Wingspan Development Group have secured $100 million in construction financing for a 294-unit residential development in Skokie. The Henry at Harms Woods, is a response to robust demand for multifamily housing in the Chicago suburbs.
The joint venture received the construction loan from California-based investment firm Kennedy Wilson, which provided a senior debt package. An unidentified insurance partner also contributed a mezzanine loan. This financing will enable the demolition of an existing 130,000-sq. ft. office building, paving the way for the new development to begin construction in the spring of 2024.
Yield Pro reports that the $100 million loan underscores the strong multifamily demand in the Chicago suburbs, where rents have surged by 5.4% year-over-year in the second quarter. This trend is fueled by higher borrowing costs, which have made homeownership less accessible, thereby boosting the rental market.
The project is designed by HKM Architects + Planners and will be constructed by Nicholas & Associates and will feature:
- 245 luxury apartments
- 49 rental townhomes
- 10,000 square feet commercial space at ground level
- courtyard, swimming pool and sun deck
- fitness center
- designated co-working stations
Situated near the 350-acre Harms Woods Nature Preserve and the Westfield Old Orchard mall, the development offers a prime location. The site is easily accessible via Interstate 94, providing convenient routes to downtown Chicago and the northern suburbs.
This project is part of a larger trend of revitalizing the Chicago suburbs. Tucker and Wingspan are not alone; other developers are also focusing on this area, indicating a strong market for luxury apartments and mixed-use developments.
I would like to receive ongoing information on The Henry at Harms Woods development going up in Skokie near Old Orchard shopping center. When will the public be able to view apartments? Thank you.