Former Summit House apartment tower sold

Back to TopCommentsE-mailPrintBookmark and Share

The landmark apartment building at 38th and Meridian streets formerly known as Summit House has been purchased by a pair of Chicago investors who plan to invest  “a significant amount of capital” into the 20-story tower.

Nicholas T. Leftakes and George C. Touras, the founders of Chicago-based real estate investment firm LT Group, bought the property March 2. It last changed hands in 2007, when real estate investor Frank Pons bought it, renamed it CityView on Meridian and began laying plans for a major renovation.

When those plans fizzled, Pons lost the building to his lender, which listed it last summer for $6.95 million. Steve LaMotte, the CB Richard Ellis broker who represented the seller, would not identify his client. Another broker familiar with the property said the seller was Prudential Life Insurance.

LaMotte wouldn’t disclose the sale price but said the property sold for 60 percent of the unpaid principal balance on the loan. He said the 44-year-old high rise drew interest from 23 buyers, 14 of which wrote offers. Three buyers made cash offers, but the LT Group offer wasn’t one of those, LaMotte said.

CityView is the first Indianapolis property for the new owners, one of whom, Touras, spent 22 years working in various capacities for entities controlled by billionaire real estate entrepreneur Sam Zell. According to the LT Web site, Touras was responsible for the financial performance of Zell’s $1.5 billion multi-family, office and retail portfolio.

The new owners’ plans for the 166-unit building include new windows, upgrades to many of the apartments, renovation of the lobby, the addition of a tenant amenity center and coffee bar and a redesign of the building’s canopy facing Meridian Street. Neither Touras or Leftakes could be reached to comment on their plans or the amount of rent they think the property can command.

CityView contains a combination of one-, two- and three-bedroom apartments. More than 60 percent are one-bedroom units. The average size is 944 square feet and average rent is $855.

George Tikijian, whose Tikijian Associates brokers multi-family properties, said the previous owner’s plans assumed rents of close to $1,100, about $100 more than rents at another prominent high-rise, Riley Towers, which is within walking distance of the heart of downtown.

Whether the new owners can reposition CityView so that it fills up at healthy rental rates will depend largely on how renters perceive the area around 38th and Meridian.

“That’s the million-dollar question,” said Tikijian, who noted that there are affluent families in single-family homes just a few blocks to the north but that many apartments to the east, west and south are of marginal quality.

The former Summit House was owned more than 25 years ago by Century Realty Trust, a local real estate investment trust that dissolved a few years ago. It was purchased in the 1980s by a Chicago group that had several general partners over the years before selling the property to Pons.


Post a comment to this story

We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
You are legally responsible for what you post and your anonymity is not guaranteed.
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
Subscribe to IBJ
  1. These liberals are out of control. They want to drive our economy into the ground and double and triple our electric bills. Sierra Club, stay out of Indy!

  2. These activist liberal judges have gotten out of control. Thankfully we have a sensible supreme court that overturns their absurd rulings!

  3. Maybe they shouldn't be throwing money at the IRL or whatever they call it now. Probably should save that money for actual operations.

  4. For you central Indiana folks that don't know what a good pizza is, Aurelio's will take care of that. There are some good pizza places in central Indiana but nothing like this!!!

  5. I am troubled with this whole string of comments as I am not sure anyone pointed out that many of the "high paying" positions have been eliminated identified by asterisks as of fiscal year 2012. That indicates to me that the hospitals are making responsible yet difficult decisions and eliminating heavy paying positions. To make this more problematic, we have created a society of "entitlement" where individuals believe they should receive free services at no cost to them. I have yet to get a house repair done at no cost nor have I taken my car that is out of warranty for repair for free repair expecting the government to pay for it even though it is the second largest investment one makes in their life besides purchasing a home. Yet, we continue to hear verbal and aggressive abuse from the consumer who expects free services and have to reward them as a result of HCAHPS surveys which we have no influence over as it is 3rd party required by CMS. Peel the onion and get to the root of the problem...you will find that society has created the problem and our current political landscape and not the people who were fortunate to lead healthcare in the right direction before becoming distorted. As a side note, I had a friend sit in an ED in Canada for nearly two days prior to being evaluated and then finally...3 months later got a CT of the head. You pay for what you get...