New Highwood Mixed-Use Development Sells For Nearly $11.3 Million

HIGHWOOD, IL — The developer of a mixed-use development completed last year on Green Bay Road in Highwood sold it this month for $11.29 million to a Chicago-based firm, the broker of the deal announced.

The ground floor of the 33-unit apartment building at 246 Green Bay Road is currently leased to PVR Dental, doing business as The Smilelist, and is the first suburban location of the Persian restaurant Noon-O-Kabab.

The four-story building is located at the site of the former Bertucci's Italian Steakhouse, where reported radio personality Kathy Hart and her husband Billy Baruth had previously planned to open a restaurant and live music venue, Pioneer Press reported in June 2018.

The development was approved by the Highwood City Council in November 2018 and built earlier this year by Benchmark Developers, which dubbed it "The Benchmark of Highwood."

According to the development agreement, the developer is due to be reimbursed $568,000 out of the available property tax revenue that the parcel generates for the city's tax increment financing district, which was established in 2002 and has been extended to 2038.

City Manager Scott Coren said the city has not yet reimbursed any money from its account to Benchmark. But this year, the project is expected to generate more than $167,000 in revenue for the district.

The residential units — 20 one-bedrooms, 10 two-bedrooms and one three-bedroom — are 97 percent occupied, according to Interra Realty, which represented both the buyers and the sellers on the deal.

“Highwood’s downtown has lots of dining and retail options but previously had no luxury apartment options,” Interra Managing Partner Craig Martin said in a statement. “246 Green Bay fills that need, offering large floor plans and upscale finishes in proximity to shops, restaurants and entertainment venues in Highwood and throughout the North Shore.”

The estimated project cost was $9 million, according to the development agreement.

The property's new owner is HP Ventures, which is managed by Steve Cook of Hi-Pointe Development Corp. He said in a statement that his firm has grown its unit count and value by 60 percent so far this year.

“This property, located along the Metra tracks in the suburb of Highwood, is a great example of our niche strategy to serve renters," Cook said, "who increasingly prefer to lease condo-quality units in accessible locations near transit and other community amenities."