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Carroll Tower, the affordable senior housing high-rise overlooking the Fox River in downtown St. Charles, has a new owner.
PEF Advisors, a private equity firm that specializes in preserving affordable housing, closed on the 108-unit property this month. The company says the deal will keep the aging complex affordable for seniors 62 and up for at least another two decades.
Here's what to know:
New owner, extended timeline: PEF Advisors bought the six-story, 108-unit building next to the Hotel Baker. As part of the deal, PEF restructured the property's Section 8 contract to extend affordability protections another 20 years.
Almost at capacity: Carroll Tower was 98.1% occupied at closing. Units average 680 square feet, and residents are within walking distance of downtown grocery stores, restaurants, and healthcare.
Its most recent chapter: In 2022, 3 Diamond Development bought Carroll Tower for $23.5 million using a $20 million loan from Associated Bank. Last year, Associated filed a $21.1 million foreclosure lawsuit against the developer, alleging the loan had gone into default.
Several decades downtown: Carroll Tower was first proposed back in 1982 as a rent-subsidized high-rise for seniors, developed by Westway Construction and Robert C. King. The goal was to model the building to “capture the feel” of Hotel Baker.
PEF Advisors says its first priority is restoring services for residents and investing in capital improvements to address deferred maintenance at the property.
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