Originally published on April 24, 2013
The first new development in the Main Street Triangle in Orland Park is expecting to open to the public this Friday.
The Ninety 7 Fifty on the Park luxury apartment complex has 82 units rented out as of Monday, which is beyond expectations, said Chris Kirles, vice president of development for Indianapolis, Ind.-based developer Flaherty and Collins.
“Having that many pre-leases in place is phenomenal in the apartment world, especially when we just started showing the model unit about a month ago,” Kirles said. “Here we’ve seen a surge activity from the onset, right when we opened a preview center on November 1. Usually that’s the worst time for apartment leasing, November through February.”
The complex will first open around 20 units, and then another 25 units by the end of May, Kirles said. The units will be located on the building’s north side facing Crescent Park next to the 143rd Street Metra Station. Blocks of 50 units will continue to open about every three to four months throughout the summer, as construction crews complete the rest of the building, with total completion scheduled for the end of summer, Kirles said.
Through the past two weeks, crews added security cameras, furniture and other interior amenities to the first opening units, and completed the gym and first floor lounge near the main entrance.
“All elevators will be functioning for the first move in,” Kirles said, when asked about first tenants living on site while construction proceeds. “Fire partitions will be up and access to construction areas will be barricaded from floor to ceiling. There won’t be any active construction above where people will be moving in.”
The two outdoor courtyard areas area still are under construction. The original development plan announced by the village in 2011 included a saltwater pool, however since then plans changed in favor of a chlorine pool that is scheduled to be completed by the end of May, Kirles said. Another courtyard section will include a grilling area, fire pit and dog park, and is scheduled for completion in July.
“A lot depends on the weather,” Kirles said. “It could be accelerated in coming weeks. Crews will be working hard to get it all finished.”
Rent Rates and Financing
One-bedroom units are 746 to 892 square feet with rent between $1,325 and $1,585 a month, at a ratio between $1.70 and $1.90 per square-foot. Two-bedroom units are sized between 975 and 1,512 square-feet and cost between $1,530 and $2,400, with a ratio between $1.40 and $1.60 per square foot.
The cost-per-square foot figure is a main key in determining whether the complex financing system for the project is a success. The village’s $63 million debt for the project is split into two pieces. There is about $38 million loaned to the developer, which is scheduled to be repaid to Orland Park by 2022, similar to a mortgage.
The remaining $25 million is described by the village as a “project incentive.” In 10 years from now, if the average rent is at $1.90 per square foot, then the incentive will be repaid. If that figure is below $1.90 in 10 years, the village has “claw back” provisions in the contract intended to compensate for the lower proceeds, such as the village taking ownership of the property and Flaherty and Collins earning reduced profit depending on the rent levels at the time.
The current rent level is about 6 to 7 percent higher than Flaherty and Collins expected to start with when opening Ninety 7 Fifty, Kirles said.
If all goes according to plan, the village’s stake in the project will be repaid in 10 years. If it goes better than planned, the village could possibly earn additional money. If the project does not go as well as planned, the village could become owners of the property instead of Flaherty and Collins.
People interested in renting an apartment need to pay a $500 administrative fee, a $250 reservation fee and a $50 application fee per lease signee ($75 for a married couple). All of these fees are non-refundable and are instead of a security deposit, according to Flaherty and Collins.
Pets are welcome for a cost. There is a $350 non-refundable pet registration fee, and a monthly $20-per-pet fee. No more than two pets per apartment are allowed, and the pets must weigh no more than 50 pounds together. Cats must be declawed and all pets need to be neutered or spayed.
Leases are for 12 months, though shorter leases are available for a higher monthly cost.
Residents are responsible for all utilities, including water, electricity, trash, sewer and gas. The complex also requires all residents to hold a minimum $100,000 liability renters insurance, and proof of the policy is required for move-in day.
Retail in the Complex
As of Monday, the Amano Vivere Café is the sole business in the complex’s 4,200 square feet set aside for retail. The café when complete will take up about 1,200 square feet, leaving about 3,000 for another business.
Kirles said they have received several inquiries, but it’s too early to confirm which business will take up residence.
“An ideal use would be a unique restaurant, but we’re open to several options,” Kirles said. “We’re looking for something that will compliment the area and what else is around us.”
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