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Condo developer Roszak files for personal bankruptcy Crain's Chicago Business, Alby Gallun, 7/1/09 "...according to Appraisal Research Counselors..."

Evanston condominium developer Thomas Roszak has filed for bankruptcy protection after struggling to pay off his debts during the worst housing market in decades. Known for his projects in Evanston and downtown Chicago, Mr. Roszak said he has assets of $1 million to $10 million and liabilities of $50 million to $100 million, according to a personal bankruptcy petition filed June 4 in U.S. Bankruptcy Court in Chicago. Seven companies Mr. Roszak co-owns, including his architecture and construction firm, Roszak/ADC LLC, filed Chapter 7 petitions, which typically means the companies will be liquidated rather than re-organized.... Read  |  Purchase from Publisher

With Michael Reese deal, Chicago will commit money to 2016 Olympics bid Chicago Tribune, Kathy Bergen, 6/28/09 "... said Gail Lissner, vice president at Appraisal Research Counselors."

City prepares to close on purchase of hospital site for Olympic Village, but questions remain. - Chicago taxpayers will be locked into the city's first financial commitment related to its 2016 Olympic bid on Tuesday if the scheduled closing on the $86 million purchase of the Michael Reese Hospital site goes as planned. This foray into large-scale real estate development comes three months before the host-city selection. The International Olympic Committee will choose between Chicago, Madrid, Rio de Janeiro and Tokyo on Oct. 2.... Read  |  Purchase from Publisher

J. P. Morgan fund to sell suburban apartments at a loss Crain's Chicago Business, Alby Gallun, 6/24/09 "... says Ron DeVries, vice-president at Appraisal Research."

In another sign of the depressed market for investment property, a J. P. Morgan fund has agreed to sell a 206-unit apartment complex in northwest suburban Lake Zurich for about $19 million, 37% less than the fund paid for it in 2006. Highland Park investor James Glikin confirms he has agreed to buy the Landings of Lake Zurich and says he expects to close on the acquisition next week. It would be one of the few major local apartment building sales in the past year, illustrating just how much property values have fallen since the credit markets seized up and the economy fell into recession. Indeed, the J. P. Morgan Strategic Property Fund has picked a bad time to sell the property at 25 N. Beusching Road, which it acquired for $30.1 million in March 2006, as the market was nearing its peak. It’s unclear why J.P. Morgan is selling now, but many large real estate funds have put properties on the market in the past several months to raise cash to pay off investors seeking their money back.... Read  |  Purchase from Publisher

Evanston apartment tower hit with foreclosure suit Crain's Chicago Business, Samantha Sleevi and Thomas A. Corfman, 6/24/09 "... according to a report by Chicago-based Appraisal Research Counselors."

A pioneering effort to develop a 221-unit apartment building on the scruffy border of Evanston and Rogers Park has been whacked by a $38.2-million foreclosure lawsuit. PNC Bank alleges that a venture that includes a sister company, investment giant BlackRock Inc., and the estate of Schaumburg developer William J. Walsh, who died last year, failed to make the April interest payment on a construction loan for Howard Street Station, 413-421 Howard St. in Evanston. The 17-story building is next to a CTA rail yard on a stretch of Howard Street that has undergone a bit of a revival in recent years.... Read  |  Purchase from Publisher

Foreclosure suit hits Naperville apartment complex Crain's Chicago Business, Alby Gallun, 6/18/09 "... according to a report by Chicago-based Appraisal Research Counselors."

Metropolitan Life Insurance Co. has filed a foreclosure suit against the owner of McDowell Place, a 400-unit apartment complex in west suburban Naperville. The owner, a fund managed by New York-based investment manager BlackRock Inc., failed to pay back a $33-million loan on the property after it came due May 1, according to a complaint filed last month in DuPage County Circuit Court. BlackRock used the MetLife loan to finance its $47.5- million acquisition of the property at 1647 Westminster Drive in 2006... Read  |  Purchase from Publisher

South Loop buildings half sold Chicago Journal, Micah Maidenberg, 6/15/09 "... according to Appraisal Research Counselors..."

Crain's has published a fascinating map detailing how sales are going at eight South Loop residential developments that are expected to open this year. Though the first quarter of 2009, according to Appraisal Research Counselors, half of the 1,880 condos in the neighborhood coming online this year remain unsold (hat tip to Sloopin for the map link). Seeing the stats about all the unsold units - 55 percent of units under contract at Roosevelt Collection, 45 percent under contract at Museum Park Place South and so forth - reminded me of a story about how people who had bought into New York City's famous Plaza Hotel were not moving into the building very quickly.... Read  |  Purchase from Publisher

Apartment glut looms Crain's Chicago Business, Eddie Baeb and Alby Gallun, 6/15/09 "... says Gail Lissner, a vice-president at Appraisal Research Counselors..."
	The developer of one of the South Loop's most ambitious residential projects is preparing to tear up contracts with condominium buyers and convert the property into an apartment building. Such a switch by the 342-unit Lofts at Roosevelt Collection would portend a larger shift as a downtown condo glut turns into an apartment glut.... Read  |  Purchase from Publisher

Suburban apartment deal biggest in over a year Crain's Chicago Business, Alby Gallun, 6/10/09 "... according to Chicago-based real estate consulting firm Appraisal Research Counselors."

A New Jersey apartment investor is paying about $60 million for a 592-unit property in Buffalo Grove, the largest apartment sale in more than a year amid a lethargic Chicagoarea investment market. Penobscot Corp. is expected to close this month on Amli at Chevy Chase, an apartment complex at 1701 Johnson Drive developed in 1988, say sources familiar with the transaction. The Teaneck, N.J.-based firm, which owns six apartment complexes in the Chicago suburbs, is acquiring the Buffalo Grove property from Chicago-based apartment investor Amli Residential.... Read  |  Purchase from Publisher

Suburban apartment market falls as job losses mount Crain's Chicago Business, Alby Gallun, 6/1/09 "... says Appraisal Research Vice-president Ron DeVries."

The suburban apartment market slid further in the first quarter, and it will keep sliding as long as local companies keep cutting jobs. The suburban occupancy rate fell to 91.3% in the first quarter, down from 92.1% in the fourth and 93.3% in first-quarter 2008, according to a report by Chicago-based real estate consulting firm Appraisal Research Counselors. The median net effective rent, which includes concessions like free rent, dropped to $1.07 a square foot, down 2.7% from $1.10 in the fourth quarter, the report says. The median rent fell 6.1% from firstquarter 2008, when rents peaked. The bad job market is depressing demand for apartments, as some renters who might otherwise live alone try to save money by doubling up or even moving back in with their parents. Local employers cut 157,600 jobs from March 2008 to March 2009, more than the roughly 135,000 jobs shed during the worst 12-month period in the last recession, the report says. With the job losses expected to continue, rents will keep dropping in 2009, says Appraisal Research Vice-president Ron DeVries.... Read  |  Purchase from Publisher

Condo sales crawling - 55 new units under contract in first quarter Chicago Journal, Ian Fullerton, 5/27/09 "Gail Lissner, vice president of Appraisal Research, said..."

Sales on new downtown condos crawled out of the gate in the first three months of 2009, according to a recent market study. But while the potential for closing a deal may appear dismal these days, some real estate agents are hoping the number forecast a buyer’s market in the coming months. The report, conducted by Appraisal Research Counselors, a Chicago-based assessment firm, says that, of the more than 3,800 units under construction or complete in the Loop, only 55 were under contract from January to the beginning of April.... Read  |  Purchase from Publisher

Marovitz/Cataldo project hit with foreclosure suit Crain's Chicago Business, Samantha Sleevi, 5/27/09 "... according to a recent report by Appraisal Research Counselors..."

Prominent developers William Marovitz and Constantine "Bud" Cataldo have become entangled in the collapse of the condo boom, with a lender filing an $8.4-million foreclosure lawsuit on a 27-unit River North loft project they proposed. Mutual Bank alleges that a venture owned by the two men defaulted in January on an $8.15-million loan on a vintage fivestory warehouse building at 660 N. Kingsbury St., which they had proposed converting into loft condominiums, called the Park Kingsbury. The duo frequently team up with each other and other developers on projects in the trendy neighborhood north of the Chicago River and west of North Michigan Avenue. Mr. Marovitz, president of Chicago-based Marovitz Group, and Mr. Cataldo, CEO of Schaumburg-based Hostmark Hospitality Group Inc., did not return calls requesting comment. One of their attorneys, Scott A. Sinar of Chicago law firm Noble Law Group LLC, declined to comment, saying he hadn't seen the foreclosure complaint.... Read  |  Purchase from Publisher

Appraisal Research: 42 percent of new downtown condos remain unsold New Homes Magazine, Joseph Askins, 5/20/09 "... according to the latest Appraisal Research Counselors Downtown Benchmark Report."
	Of the 5,389 downtown condominiums under construction and set for delivery between this year and 2011, just 3,139, or 58 percent, are currently under contract, according to the latest Appraisal Research Counselors Downtown Benchmark Report.... Read  |  Purchase from Publisher

Downtown Chicago condo market dismal Chicago Tribune, Mary Ellen Podmolik, 5/20/09 "... said the report by Appraisal Research Counselors."

Canceled contracts, no sales plague new developments; prices dropping for buyers - More than half of new condo developments in downtown Chicago either had sales canceled or didn't make a sale during the first quarter, according to a new research report. As a result, only 55 units were removed from a crowded marketplace, leaving 1,590 units completed and awaiting a buyer and an additional 2,250 units under construction, unsold and expected to be completed this year, said the report by Appraisal Research Counselors.... Read  |  Purchase from Publisher

Builders lawyer up Crain's Chicago Business, Thomas A. Corfman and Samantha Sleevi, 5/18/09 "... says Gail Lissner, an Appraisal Research vice-president."

As cancellations rise to more than a quarter of all new condo contracts, two veteran developers are suing home buyers who try to walk away, adding a rancorous new dimension to the housing meltdown. Ventures controlled by Ronald Shipka Sr. and Gerald Fogelson have taken the unprecedented step of filing lawsuits against about 100 home buyers who didn't close on contracts on condominiums in the Museum Park project overlooking the south end of Grant Park. Their suits come as developers on average are seeing about 25% of their sales fall apart, up from 10% to 15% last spring, according to a report by Appraisal Research Counselors.... Read  |  Purchase from Publisher

Rents tick up at downtown apartments, but glut a worry Crain's Chicago Business, Alby Gallun, 5/18/09 "... says Appraisal Research Vice-president Ron DeVries."

The downtown apartment market stopped sliding in the first quarter, but a large supply of new units continues to make life difficult for landlords. After falling for three quarters, the average effective rent at upscale, Class A downtown buildings inched higher in the first three months of the year, to $2.12 a square foot, according to a report by Appraisal Research Counselors, a Chicago-based real estate consulting firm. That’s up from $2.11 in fourth-quarter 2008, but still down 7.4% from $2.29 in the prior-year period. The average Class A occupancy also rose slightly, to 90.9% from 90.6% in the fourth quarter, according to the report. The occupancy rate was 91.9% in first-quarter 2008.... Read  |  Purchase from Publisher

Quote of the day: Lawyering up New Homes Magazine, 5/18/09 "... look at the latest Appraisal Research Counselors Downtown Benchmark Report."

"These cancellations were almost 100% out of fear — fear that they were going to lose their jobs or that they were paying too high a price." - Gerald Fogelson, chairman and CEO of Fogelson Properties, on Museum Park's 15-percent contract fallout rate. Fogelson and The Enterprise Companies have filed lawsuits against approximately 100 buyers who didn't close on contracts on condominiums at new Museum Park towers like 1600 Museum Park, Crain's reports. The developers' cases "generally seek recovery of earnest money deposits and half the cost of upgrade," according to the article.... Read  |  Purchase from Publisher

Foreclosure suit hits Motor Row condo project Crain's Chicago Business, Samantha Sleevi, 5/11/09 "... according to Chicago-based real estate consulting firm Appraisal Research Counselors."

A Missouri lender has filed a $9-million foreclosure suit against a slow-selling condominium project along Motor Row on Chicago’s South Side. Developer Paul Zucker failed to pay back a construction loan for the Motor Row Lofts when it came due last October, according to a lawsuit filed last month by St. Louis-based First Bank of Missouri. Mr. Zucker borrowed $13.1 million from the bank in 2006 to finance the conversion of three landmark buildings at 2301 S. Michigan Ave. into 51 condos. Mr. Zucker, president of Chicago-based City Real Estate Inc.... Read  |  Purchase from Publisher

Rental switch doesn't stop North Side foreclosure suit Crain's Chicago Business, Samantha Sleevi, 5/5/09 "... says Ron DeVries, vice-president at Appraisal Research Counselors..."

Switching from condos to rental wasn't enough to stave off a $5-million foreclosure suit on a 12-unit project on the edge of Lincoln Park by developers Charles Mudd and Steve Golovan. Amcore Bank is seeking to foreclose on the Catalina, 2524 N. Ashland Ave., which was completed last year. The Rockfordbased bank alleges that a venture owned by Messrs. Mudd and Golovan failed to pay off a $5.1-million construction loan when it came due Jan. 29. Both men personally guaranteed the loan, according to the complaint, filed April 24 in Cook County Circuit Court. Developers taking struggling condo projects rental is a growing trend but is just a stopgap measure, says Ron DeVries, vice-president at Appraisal Research Counselors, a Chicago-based real estate research firm. “It’s basically a Band-Aid to temporarily fix the problem,” he says, adding that developers are waiting and hoping for “better economic times when they can sell those units.” The rents typically don't generate enough cash flow to pay a mortgage, he says.... Read  |  Purchase from Publisher

A debt-free, easy feeling for 900 N. Michigan condo developer Crain's Chicago Business, Andrew Schroedter, 4/14/09 "... says Gail Lissner, vice-president with Chicago-based Appraisal Research Counselors."

While other developers are frantically auctioning off condominium units, Pat Meara has a yoga-like serenity about his luxury residential conversion of former office space at 900 N. Michigan Ave. Despite not having sold a single unit this year, the senior vice-president of JMB Realty Corp. says he has no plans to cut prices, which start at $800 a square foot. After more than three years of marketing, 10 units remain unsold in the 47-unit project in a 66-story building that also houses a Bloomingdale’s-anchored mall and a Four Seasons hotel. Read  |  Purchase from Publisher

About-face on housing in the Loop Crain's Chicago Business, Eddie Baeb, 4/13/09 "... according to research firm Appraisal Research Counselors."

The Daley administration's new plan for downtown aims to curb residential development in the Central and West Loop, a marked shift from the decades-long push for a "24-7" downtown that doesn't go dormant when the workday is done. Part of a draft of the so-called Central Area Action Plan, the changes are a bid to preserve sites for new office towers and avoid some of the clashes that have arisen as residents have poured into downtown. The plan seeks to cluster office buildings at the city's core and near public transit while pushing residential development just outside the so-called Downtown Core Zoning District, bordered roughly by the Chicago River to the north and west, Congress Parkway to the south, and Dearborn Street to the east.... Read  |  Purchase from Publisher

Developer scraps Franklin Point plans Crain's Chicago Business, Alby Gallun and Thomas A. Corfman, 4/1/09 "... according to Chicago-based real estate consulting firm Appraisal Research Counselors."

An Irish condominium developer has dropped plans for $150-million mixed-use development just four blocks south of the Sears Tower. Chieftain Group recently terminated a contract to buy the development site at the southwest corner of Harrison and Wells streets, says David Crawford, principal at D2 Realty Services Inc., the Chicago-based developer that owns the two-acre property. Limerick, Ireland-based Chieftain last spring agreed to pay nearly $20 million for the parcel, part of an undeveloped eight-acre tract known as Franklin Point.... Read  |  Purchase from Publisher

More apartments sought for Millennium Park tower Crain's Chicago Business, Alby Gallun, 4/1/09 "... according to Appraisal Research Counselors..."

A Park Ridge apartment investor that plans to build a 40-story high-rise at the northwest corner of Millennium Park wants to more than double the number of units in the building, to 185. An affiliate of BJB Partners LLC has filed a zoning amendment with the city seeking the change for the tower, which would sit on a tiny parcel at Randolph Street and Michigan Avenue formerly occupied by the La Strada restaurant. BJB owns the site along with the 550-apartment Millennium Park Place immediately to the north.... Read  |  Purchase from Publisher

Living never looked so good for The Peshtigo New Homes Magazine, Mark Boyer, 3/25/09 "The data speaks for itself" - "...figures obtained from Appraisal Research Counselors..."
	"The data speaks for itself," a spokesperson for The Peshtigo told a Crain's reporter who was hunting for a statement in January on the proposed Streeterville high-rise's future. The Crain's item included some figures obtained from Appraisal Research Counselors, showing that just 17 percent of the 358-unit building had been sold by the third quarter of 2008.... Read  |  Purchase from Publisher

Halted Spire among world's 'Babel' projects Crain's Chicago Business, 3/23/09
	There is a gaping hole where one of the world's tallest buildings is supposed to go up. The planned 150-story Chicago Spire would be 2,000 feet tall if it gets built atop its completed foundation, ranking the tower the tallest in the Western Hemisphere and the sixth-tallest among the world's planned skyscrapers.... Read  |  Purchase from Publisher

Global recession stalls skyscraper construction NewsDaily, Andrew Stern, 3/23/09 "... according to Appraisal Research Counselors..."

There is a gaping hole where one of the world's tallest buildings is supposed to go up. The planned 150-story Chicago Spire would be 2,000 feet tall if it gets built atop its completed foundation, ranking the tower the tallest in the Western Hemisphere and the sixth-tallest among the world's planned skyscrapers. The Spire was supposed to be finished by 2012 and the Irish developer staged a global marketing campaign. Buyers snapped up a third of its 1,194 luxury condominiums priced between $750,000 and $40 million. Ty Warner, creator of the Beanie Baby toys, opted for the top-priced penthouse.... Read  |  Purchase from Publisher

Global recession stalls skyscraper construction Forbes, Andrew Stern, 3/22/09 "... according to Appraisal Research Counselors..."

There is a gaping hole where one of the world's tallest buildings is supposed to go up. The planned 150-story Chicago Spire would be 2,000 feet tall if it gets built atop its completed foundation, ranking the tower the tallest in the Western Hemisphere and the sixth-tallest among the world's planned skyscrapers. The Spire was supposed to be finished by 2012 and the Irish developer staged a global marketing campaign. Buyers snapped up a third of its 1,194 luxury condominiums priced between $750,000 and $40 million. Ty Warner, creator of the Beanie Baby toys, opted for the top-priced penthouse. But after digging a 76-foot-deep hole and sinking caissons, construction on the twisting Spire -- inspired, its famed architect Santiago Calatrava said, by swirling smoke from a Native American campfire -- was stalled in January by the credit crisis that is stifling construction worldwide. Chicago has long been a showcase for tall towers since the steel-framed skyscraper was invented, its history full of developers whose ambitions sometimes crashed on the rocks of economic slowdowns, said John Norquist, president of non-profit group The Congress for the New Urbanism.... Read  |  Purchase from Publisher

The Chicago Spire - March 2009 Update @ Properties, Shelbourne Development, 3/19/09 "... according to Chicago-based real estate consulting firm Appraisal Research Counselors."
	Dear Friends of The Chicago Spire: Greetings from Shelbourne Development. We wish to take this opportunity to share some recent news about Chicago and provide current information on The Chicago Spire project. Read  |  Purchase from Publisher

The Big Chill: Chicago’s Condo Market Is Now on Ice Chicago Public Radio - NPR (WBEZ 91.5 FM), Ashley Gross, 3/17/09 "... Gail Lissner analyzes downtown real estate for Appraisal Research Counselors. She says..."

One hundred years ago, Daniel Burnham laid out plans to make Chicago a “Paris on the Prairie.” He envisioned a downtown full of grand civic buildings and lush parks. Fast forward a century and he might be surprised to see the city center crammed with residential highrises - and those parks full of neighbors walking their dogs. It’s part of a contemporary vision to create sustainable living downtown. But now vacancy rates are soaring. There are 6,000 unsold homes downtown. And that’s left many people questioning whether that vision is sound. Tucked behind a wall of skyscrapers just northeast of Millennium Park is a little urban oasis. It’s a six-acre park with a kids' playground and a dog run – and it’s part of a huge new development called Lakeshore East.... Read  |  Purchase from Publisher

“Impact of 2009 Economy on Senior Care Facilities Appraisal Research Counselors, Mike Cooper, 3/16/09 "... according to Mike Cooper, VP & Director of Senior Care..."

The U.S. financial system has been under significant stress for more than a year. Chicago area employment has been falling since January, led by losses in construction, manufacturing and financial services. The housing market has yet to stabilize, and every segment of the commercial real estate market is weakening. Tourist inflows are declining. Deteriorating local fiscal conditions are leading to cutbacks. So the question we address here is: What is the economic impact on senior care facilities? Michael L. Cooper, Vice President & Director of Senior Care, addresses this question.... Read  |  Purchase from Publisher

Sold! More Chicago developers auctioning empty condo units Northwestern University - Medill News Service, Kate Shellnutt, 3/10/09 "... according to Chicago-based Appraisal Research Counselors."

Sellers are growing more desperate to move thousands of unsold units in condominium buildings. In Chicago, that means turning to auctions as an alternative to sell empty units concentrated in large-scale high-rises, but in the suburbs—where unsold condos are dispersed among smaller buildings—auctions are less popular. The development and conversion boom boosted downtown condo sales to an annual peak of more than 8,000 in 2005. That figure cratered 93 percent over the past three years, with fewer than 600 condos sold in 2008, according to Chicago-based Appraisal Research Counselors.... Read  |  Purchase from Publisher

Job losses hurt suburban apartment occupancy, rents Crain's Chicago Business, Alby Gallun, 3/9/09 "... says Appraisal Research Vice-president Ron DeVries."

Rising unemployment is fueling falling occupancies and rents at suburban apartment buildings. The suburban occupancy rate fell to 92.1% in the fourth quarter of 2008, down from 92.8% in the third quarter and 93.3% in the yearago period, according to Chicago-based Appraisal Research Counselors. It’s the lowest occupancy rate since the real estate consulting firm started tracking the suburban apartment market in 2003. With more landlords offering concessions such as free rent, it has become a tenants’ market and will stay that way as long as the economy remains in the dumps. The median net suburban rent, which includes concessions, dropped to $1.10 a square foot, down 2.7% from $1.13 both in the third quarter and the year-earlier period. The net rent peaked at $1.14 in first-quarter 2008. “Things have clearly weakened,” says Appraisal Research Vicepresident Ron DeVries. “Concessions are more rampant.”... Read  |  Purchase from Publisher

South Loop condos auctioned at big price cuts Crain's Chicago Business, Thomas A. Corfman, 3/9/09 "... according to a report by Chicago-based Appraisal Research Counselors."

A weekend auction of 45 units in the Vetro condominium project in the South Loop resulted in sales of more than $12 million, at sharply discounted prices. After an aggressive marketing campaign, the 45 units in the 232-unit building sold at an average price of $258 a square foot, or 73% of the average pre-auction asking price of $353 a foot, according to Accelerated Marketing Partners LLC, which conducted the auction, and Chicago-based residential marketing firm Garrison Partners Inc. The sales totaled more than $12.1 million. The Vetro auction gave a jump-start to the 31-story tower at 601 S. Wabash St., completed in late 2007, where sales had been stalled like in the rest of the market.... Read  |  Purchase from Publisher

Trump, lenders in temporary truce regarding lawsuits Crain's Chicago Business, Alby Gallun, 3/3/09 "... according to Chicago-based consulting firm Appraisal Research Counselors."

Donald Trump and the lenders on his Chicago skyscraper have agreed to put their legal dispute on hold as the developer wraps up construction of the 92-story tower. Mr. Trump and Deutsche Bank Trust Co. Americas sued each other last fall over a past-due $640-million construction loan on the project. The developer claimed that the financial crisis gave him the legal right not to pay back the loan, while the bank demanded that Mr. Trump honor a $40-million personal guarantee he made on the loan.... Read  |  Purchase from Publisher

Lawsuits suspended in Trump Tower development Chicago Tribune, Mary Ellen Podmolik, 3/3/09 "... according to Appraisal Research Counselors."

Donald Trump and Deutsche Bank Trust Cos. Americas shelve suits to try to settle differences - Donald Trump and Deutsche Bank Trust Cos. Americas announced Tuesday that they have temporarily suspended lawsuits filed against each other four months ago over Trump International Hotel and Tower's finances and will try to settle their differences out of court, a move designed to allay concerns of potential buyers who are jittery about the Tower's future in a morose real estate market. "It certainly didn't help," Trump said of the lawsuits. "Now this totally resolves questions in anybody's mind." While the project has seen a recent uptick in sales, both sides agreed that sidelining the lawsuits that generated headlines nationally would assist in marketing the 92-story tower at 401 N. Wabash Ave.... Read  |  Purchase from Publisher

Trump, lenders in temporary truce on lawsuits Crain's New York Business, Alby Gallun, 3/3/09 "... according to Chicago-based real estate consulting firm Appraisal Research Counselors."

Donald Trump and Deutsche Bank Trust Co. Americas have reached an agreement to suspend litigation over the real estate mogul's Chicago skyscraper. - Donald Trump and the lenders on his Chicago skyscraper have agreed to put their legal dispute on hold as the developer wraps up construction of the 92-story tower. Mr. Trump and Deutsche Bank Trust Co. Americas sued each other last fall over a past-due $640- million construction loan on the project. The developer claimed that the financial crisis gave him the legal right not to pay back the loan, while the bank demanded that Mr. Trump honor a $40-million personal guarantee he made on the loan. But the two sides have reached an agreement “that provides for the suspension of litigation between the parties as discussions move forward,” according to a news release issued Tuesday... Read  |  Purchase from Publisher

Downtown apartment rent falls by most in 7 years Crain's Chicago Business, Alby Gallun, 2/23/09 "... says Appraisal Research Vice-president Ron DeVries."

Rents at top-tier downtown apartment buildings last year fell the most since 2001 as a development boom and deepening recession gave tenants the upper hand over landlords. Effective rents at Class A downtown buildings fell to $2.11 a square foot in the fourth quarter, down 6.2% from $2.25 in the year-earlier period, according to Appraisal Research Counselors, a Chicago-based real estate consulting firm. It was the first annual drop since 2003 and the biggest decline since 2001, when effective rents slid 7.7%.... Read  |  Purchase from Publisher

Foreclosure suit hits Mandarin Oriental developer Crain's Chicago Business, Alby Gallun, 2/18/09 "... according to a recent report by Appraisal Research Counselors..."

A New York-based lender has filed a foreclosure suit against the developer of the proposed Mandarin Oriental tower just north of Millennium Park, a 74-story project with a lot of sizzle but not enough sales. An affiliate of iStar Financial Inc. filed to foreclose on the development site at the northwest corner of Stetson Avenue and Lake Street, according to a document filed earlier this month with the Cook County Recorder. The project’s developer, a group that includes former construction executive Gerard Kenny, had owed iStar as much as $43 million more than a year ago, but the filing did not disclose the balance on the loan, which was used to finance the acquisition of the property and pre-development costs.... Read  |  Purchase from Publisher

The woes of condos - Downtown sales sink to negative 250 units in fourth quarter Chicago Sun Times, David Roeder, 2/18/09 "Gail Lissner, vice president at Appraisal Research, said..."

It sounds like a bad joke, but it's true: The downtown residential market is so awful, it's shrinking. Last year, the number of new condominiums slated downtown declined by almost 3,000 units. And in the fourth quarter, the number of residential sales was a negative 250 units. How can that be? The numbers are drawn from an annual survey that Appraisal Research Counselors reported Tuesday. They are the worst results anybody can recall for the reports, which the company has compiled in quarterly updates since 1997. Gail Lissner, vice president at Appraisal Research, said the residential inventory fell as developers scrapped projects they would have delivered in a couple of years. The sales figures went negative in late 2008, she said, because buyers began canceling contracts and some developers were caught fudging sales data from earlier in the year. Overall, 592 condos sold in central Chicago during 2008, the survey found. The result was abysmal for a market that has generated annual sales of 4,000 to 8,000 units.... Read  |  Purchase from Publisher

Downtown condo sales show net loss in 4Q Crain's Chicago Business, Alby Gallun, 2/17/09 "... says Appraisal Research Vice-president Gail Lissner."

As if finding new buyers in today’s lousy condominium market wasn’t hard enough, a growing number of downtown developers face an even tougher task: holding onto the ones they already have. Downtown condo developers lost a net 253 sales in the fourth quarter, mainly because buyers canceling sales contracts for new units outnumbered those signing them, according to a new report by Appraisal Research Counselors. It was the worst quarter for downtown developers since the Chicago-based consulting firm began tracking the local market in the early 1990s. Amid the turmoil in the financial markets, “people were just frozen in their tracks” in the fourth quarter, says Appraisal Research Vicepresident Gail Lissner. Making matters worse, a growing number of buyers who signed contracts for new condos during the boom a few years ago are backing out at closing time, either because they can’t get a mortgage or are skittish about buying in such a depressed market. Investors who expected to flip their units for a quick profit are especially likely to walk away, often giving up deposits in the tens of thousand of dollars. Factoring in canceled contracts, downtown developers sold just 644 condos last year, down 83% from 3,724 in 2007, according to Appraisal Research. It was the third straight year that sales have fallen since peaking at 8,162 units in 2005.... Read  |  Purchase from Publisher

The Last Word Today's Chicago Woman, Marla Cichowski, 2/5/09 "... Chicago’s most trusted real estate expert, Gail Lissner, vice president of Appraisal Research Counselors.

TCW Turns to Gail Lissner, Vice President of Appraisal Research Counselors, for Fresh Perspective on the Chicago Housing Market. The housing market is taking a major hit on all sides in our economic freefall. Property values are falling and mortgage rates are at a 37- year low. Could it be a more appropriate time to revisit Chicago’s most trusted real estate expert, Gail Lissner, vice president of Appraisal Research Counselors?... Read  |  Purchase from Publisher

Big foreclosure suit hits suburban apartment complex Crain's Chicago Business, Alby Gallun, 2/4/09 "... says Ron DeVries, vice president at Appraisal Research Counselors..."

The owner of a 300-unit apartment complex in Schaumburg has been hit with a $21.6-million foreclosure lawsuit, one of the largest foreclosure cases involving a suburban apartment property since the early 1990s. The owner of the Grand Vista of Schaumburg, a developer with operations in India and the United States, stopped making monthly mortgage payments last October, according to the suit. The complaint was filed by Miami Beach, Fla.-based LNR Partners Inc., a special servicer for holders of mortgage securities backed by the Grand Vista loan and others.... Read  |  Purchase from Publisher

Two Chicago Towers Fall Victim to Scarce Financing New York Times, Robert Sharoff, 2/4/09 "... said Gail Lissner, vice president of Chicago-based Appraisal Research Counselors..."

Back in 2006, at the height of the real estate boom, two projects here stood out as harbingers of a bright future for residential development. The first and most significant was the Spire, a twisting lakefront condominium tower designed by the renowned Spanish architect Santiago Calatrava. At 150 stories, it was to be the tallest building in North America. (The current tallest, the Sears Tower, is also in Chicago.) The developer of the Spire is Garrett Kelleher of Shelbourne Development, a firm with offices in Chicago and Dublin as well as several other cities. The second project was Waterview Tower, a 90-story mixed-use hotel and condominium building in the Loop, the central business district. It also was to be among the 10 tallest buildings in the city. The developer is Teng & Associates, a local firm.... Read  |  Purchase from Publisher

Price drop is natural correction Chicago Sun Times, Bill Cunniff, 1/30/09 "... said Gail L. Lissner, vice president of Appraisal Research Counselors."

For most of the country, the decline in housing prices is a correction, a real estate industry veteran said. Prices were overinflated during the boom, said Lawrence Yun, chief economist for the National Association of Realtors. In some areas, home prices doubled over the course of one year. "In 2006, people who had trouble borrowing $20 from their Uncle Bob could borrow a home loan," he said. "Prices have come down to justifiable levels." Yun spoke to hundreds of real estate professionals at the recent "2009 Regional Economic Forecast," at the Palmer House Hilton. The event was sponsored by the Realtor Associations of Chicagoland.... Read  |  Purchase from Publisher

'Obama effect' and shot at Olympics boosts Chicago real estate Chicago Sun Times, Don DeBat, 1/30/09 "... said Gail Lissner, vice president of Appraisal Research Counselors..."

Like a zephyr of hope, the "Obama Effect" is embracing the future of the Windy City. The inauguration of President Barack Obama happened only a week ago, but a strong wave of positive karma already is lifting the spirits of Chicago's real estate developers and lenders, experts say. "A new direction for the future growth of the Windy City is about to take shape as a result of Barack Obama, a Chicago resident, ascending to the Presidency of the United States," predicts developer Nicholas S. Gouletas, CEO and chairman of American Invsco. "President Obama, with the support of Mayor Richard M. Daley, chose to start his political career in Chicago and live here by choice because he realized what a great city of opportunity and change Chicago represents," said Gouletas, a condo-conversion specialist who has developed, marketed and managed over 45,000 units valued at $4.5 billion since 1969." Now, many experts believe the Obama Effect will have an uplifting impact on Chicago's chances to host the Olympic Games in 2016. And, this scenario creates promise for new international recognition for Chicago, already viewed as a world-class city.... Read  |  Purchase from Publisher

Waterview Tower Crain's Chicago Business, Andrew Schroedter, 1/26/09 "... source: Appraisal Research Counselors."

Nearly three years after construction started on the 90- story Waterview Tower, all that stands at Wacker Drive and Clark Street is the concrete core of a building. Chicago-based Teng started work in 2006 on this $500-million hotel-condo project using its own money and later a $20-million bridge loan from Chicago's LaSalle Bank N.A. But Teng has been unable to secure the loan it needs to complete the building.... Read  |  Purchase from Publisher

Lincoln Park 2520 Crain's Chicago Business, Andrew Schroedter, 1/26/09 "... source: Appraisal Research Counselors."
	The developers have a prime location overlooking Lincoln Park and a partner with deep pockets, General Electric Co.'s pension fund. But what Ricker-Murphy lacks is the loan of $200 million to $250 million it needs to build this Lucien Lagrange-designed complex.... Read  |  Purchase from Publisher

Chicago Spire Crain's Chicago Business, Andrew Schroedter, 1/26/09 "... according to Chicago-based real estate consulting firm Appraisal Research Counselors."

The Chicago Spire has seen its share of ups and downs. Beanie Babies mogul Ty Warner reportedly agreed in September to buy the 10,293-squarefoot penthouse, which had an asking price of $40 million. Sales at the project, acclaimed for its soaring height and twisting design, accounted for 58% of all new downtown condos sold in 2008 as of October, according to Chicago-based real estate consulting firm Appraisal Research Counselors.... Read  |  Purchase from Publisher

X/O Condominiums Crain's Chicago Business, Andrew Schroedter, 1/26/09 "... source: Appraisal Research Counselors."

Slowing sales at this Lucien Lagrange-designed condo project aren't due to a lack of exposure. The developers engaged in a well-publicized feud with Alderman Robert Fioretti (2nd), filing suit in October 2007 to prevent him from downsizing the project, which some residents claimed was too large for the neighborhood. The suit was dropped after Mr. Fioretti later withdrew a proposal to reduce the height of the two towers (one is 450 feet and the other about 310 feet) to a maximum of 225 feet.... Read  |  Purchase from Publisher

Peshtigo Crain's Chicago Business, Andrew Schroedter, 1/26/09 "... source: Appraisal Research Counselors."
	The angular design of this proposed 57-story condominium tower is eye-catching, but the look has wooed few buyers. Weak sales at the $180-million project, designed by well-known architect Ralph Johnson, a principal with Chicago-based Perkins & Will Inc., have raised questions about its future.... Read  |  Purchase from Publisher

Collection suits hit 2 West Loop projects Crain's Chicago Business, Alby Gallun, 1/21/09 "... said Gail Lissner, vice president of Appraisal Research Counselors...."

Debt collectors are calling on two more West Loop condominium projects, one that’s completed but has failed to sell out and another that isn’t even out of the ground. In the first case, Cole Taylor Bank has sued to collect $6.8 million owed on a 132-unit condo development at 740 W. Fulton St. that opened in 2007. The Chicago-based bank alleges that the project’s developer, an affiliate of Thrush Cos., failed to pay back the money, which represents the outstanding balance on $38.5 million in construction loans, by a Nov. 1 due date.... Read  |  Purchase from Publisher

Downtown deals and housing downturn allow renters to go upscale Chicago Tribune, Mary Ellen Podmolik, 1/18/09 "... said Ron De Vries, a vice president at Appraisal Research Counselors."

With an abundance of empty apartments, renters are negotiating their way into premium buildings - It's not just a chance to see how the other half lives. It's a chance to live there yourself. A bumper crop of chic rentals, coupled with a lack of demand, a crippled economy and a typically sluggish time of year for real estate, is creating some of the best downtown deals in at least five years. An added wrinkle — much to the chagrin of landlords — is the growing market of individually owned and aggressively priced to rent condos in premium buildings such as the Trump Tower, the Helmut Jahn-designed 600 North Fairbanks and 600 North Lake Shore Drive.... Read  |  Purchase from Publisher

Kenwood sales benefit from 'The Obama effect' Chicago Sun Times, Celeste Busk, 1/18/09 "... said Gail Lissner of Appraisal Research Counselors..."

Kenwood, the community President-elect Barack Obama calls home, is emerging as one of the premier destinations for buyers looking for a stunning lakefront enclave with a suburb-in-the-city ambience. Real estate experts say the fact that Obama has lived in Kenwood since early 2005 has spurred a new catchphrase among residents and real estate professionals predicting Kenwood's continued growth: "The Obama effect." Add the speculation the city may win its bid for the 2016 Olympics, which would prominently feature the city's South Side, and you have a flurry of interest in Kenwood among home and condo shoppers and local developers looking for sites to build or redevelop residential housing. The spotlight is shining on Kenwood also due to recent improvements to nearby Lake Shore Drive and the Lake Michigan shoreline, including a beach planned at 39th Street and a harbor proposed at 31st Street.... Read  |  Purchase from Publisher

South Loop cool-down seen in '09 Crain's Chicago Business, Alby Gallun, 1/5/09 "... according to Appraisal Research Counselors..."

The downtown Chicago condo market is bad all over, but it's worse in the neighborhood that was hottest during the building boom: the South Loop. Builders will complete 2,147 condos in the South Loop this year, a 66% increase over 2008 and nearly half the total for all of downtown Chicago, according to Appraisal Research Counselors, a Chicago-based real estate consulting firm. But with 932, or 43%, of the new South Loop condos unsold, the neighborhood now accounts for more than half the unsold units expected to hit the downtown market this year.... Read  |  Purchase from Publisher