R.I.G. Capital acquired Pavilion Apartments, a 1,115-unit multifamily complex near Chicago's O'Hare International Airport, for $167 million. Arbor Realty Trust provided $125.3 million in acquisition financing for the deal, with Eastern Union serving as the debt broker.
The property sits in O'Hare, one of Chicago's most transit-accessible neighborhoods. Brookfield Asset Management sold the complex to R.I.G. Capital, marking another turnover in the competitive Chicago multifamily sector. The loan structure shows debt covering roughly 75 percent of the purchase price, leaving R.I.G. Capital to cover the remaining $41.7 million in equity.
Arbor Realty Trust, a Connecticut-based mortgage real estate investment trust, continues expanding its multifamily lending portfolio in major metros. The lender focuses on commercial real estate financing across the country, making this Chicago play consistent with its strategy of backing experienced operators in supply-constrained markets.
For R.I.G. Capital, the acquisition adds scale to its Chicago presence. The O'Hare location offers strength in fundamentals. The neighborhood draws tenants seeking proximity to the airport and the Blue Line CTA connection, supporting stable occupancy and rental growth potential.
Sellers benefit from the brisk transaction velocity. Brookfield's exit shows institutional capital remains active in rotating portfolio holdings, particularly when buyers offer certainty through arranged financing.
For existing tenants at Pavilion Apartments, the ownership change typically means no immediate operational shifts. R.I.G. Capital will inherit lease obligations and existing unit pricing. New management often brings capital improvements and modernization efforts, which can support rent trajectory over the medium term.
Market observers track these mid-sized multifamily sales closely. At roughly $150,000 per unit