CHICAGO--(BUSINESS WIRE)--The former Chevrolet dealership at the 8700 Block of South Commercial Avenue, near the publicized site of the Lakeside Development will be up for auction on September 23, 2015. The pending auction has generated interest from an array of users. “One potential use for the site is a well-needed grocery and produce store,” said Alderwoman Susan Sadlowski Garza, who noted that the property does exist within the Commercial Avenue Tax Increment Financing District.
Not far is the Lakeside Development, which “offers a game-changing urban ideal for not just Chicago’s Southeast lakefront, but for the entire region,” according to Chicagolakesidedevelopment.com. That project is a joint venture between McCaffery Interests and United States Steel Corporation. The City of Chicago recently modernized the Lake Shore Drive extension which was completed over the past couple years.
The former Chevrolet dealership, currently partially leased by the City of Chicago, is set to be sold at auction on Wednesday, September 23rd. “The auction offers an opportunity for users or investors to capitalize on the city’s incentives, and even more importantly, the city’s efforts to promote new business,” said Frank Diliberto, President of Diliberto Real Estate Services, the firm handling the auction sale.
A dissolving partnership mandated the auction and a closing of the sale in October. With a standing 32,000 square foot retail building, the property has nearly 3 acres ready for development. According to the auction firm, the current tenants, including the City of Chicago, offer good revenue, and flexibility for redevelopment. But TIF opportunities are essential.
The auction bid packages, which demonstrate clean title and detailed property information are available through the auction company. The ability to develop the property, maintain leases and partner with the City of Chicago on their efforts to bring businesses to the area, opens the door to investors and users. The bonus chip is the ability to name your price at auction, which opens at a fraction of the appraised value.
The auction company admits it’s difficult to determine value for this property, but ensures the auction is the best way to do so. A live auction offers transparent value by open public bidding. John Heroff, Director of Policy and Legislative Affairs for 10th Ward Alderwoman Susan Sadlowski Garza is offering personal guidance to quickly take action for auction bidders. According to Heroff, “the auction has certainly expedited the timeline for selling this asset and getting it into use, with potential jobs, services and goods to be offered to the area. We have it on our radar and look forward to working with all interested bidders and of course the new owner.”
Bid packages, TIF information and site inspections are available, allowing bidders to review all information before attending the auction. Special financing is possible for approved bidders. A $20,000 cashier’s check is required to bid on each of the two parcels, but discounts are available for the buyer of both properties. Appraised over $2.36m, in July of 2009, the auction will open at $686,000, representing a 14.7% Cap rate on 2014-2015 revenue. The first inspection takes place at 11:00am on September 9, 2015. Interested bidders can contact the auction company at 708-361-2437.
About Diliberto Real Estate Services, LLC, the firm is a national real estate, auction and finance advisory firm, located just outside Chicago. With 200 combined years of experience and in excess of $5 billion in transactional and sales volume, the firm has maintained a leading role in the mainstreaming of real estate auctions in their use by corporate, private and public sellers of real estate, across the globe. To learn more about upcoming real estate auctions, please call (708) 460-BIDS (2437) or visit the company’s Web site at www.RealEstateAuctionsINC.com.
