Walker & Dunlop Investment Partners Provides $62.5M Lease-Up Financing to Noah Properties for Buffalo Grove Apartments

BUFFALO GROVE, Ill. — Noah Properties has secured $62.5 million in lease-up financing from Walker & Dunlop Investment Partners for a newly built multifamily development in suburban Chicago, according to an Oct. 16, 2026, announcement from Arrow Real Estate Advisors.

The financing supports 945 Nanusha Residences, a 223-unit apartment property at 945 North Old Arlington Heights Road in Buffalo Grove, Illinois, roughly 30 miles northwest of downtown Chicago. Commercial Observer first reported the transaction.

Walker & Dunlop Investment Partners Loan Details

Walker & Dunlop Investment Partners served as lender on the $62.5 million loan, which Noah Properties, the sponsor and owner, obtained as lease-up financing for the newly delivered property. The financing supports the asset's transition from initial delivery toward stabilized operations.

945 Nanusha Residences comprises 223 apartments across 231,970 square feet of gross area. The loan equates to approximately $280,269 per unit and about $269 per gross square foot. Those figures reflect debt only and are not a measure of property value.

Property and Location

The property sits in Buffalo Grove, a Chicago suburb. Arrow Real Estate Advisors described Chicago and the Midwest as a "core growth priority" and cited 945 Nanusha Residences as an example of its focus on high-quality product in deep suburban submarkets.

Chicago Multifamily Market Context

Chicago multifamily fundamentals remain comparatively favorable, though new supply is adding competition as recently completed projects lease up. Cushman & Wakefield reported 94.9% occupancy in the Chicago multifamily market in the second quarter of 2026, with effective rents up 3.2% year over year to an average of $1,972 per unit, or $2.40 per square foot.

Suburban submarkets accounted for 52.8% of the 9,935 units under construction in Chicago as of the second quarter. Cushman & Wakefield also reported 31,054 proposed units across the broader market, with 56.6% downtown.

J.P. Morgan's Chicago outlook characterized the market as resilient and projected approximately 7,000 unit deliveries in 2026, above the prior-decade average of 6,800 units. The forecast calls for overall vacancy to reach 5.6% by year-end, up 30 basis points from the end of 2025, while effective rents were projected to grow 3.7%.

Capital Markets Backdrop

Multifamily capital remains active in the market. Matthews reported a Chicago multifamily average capitalization rate of 6.53% in the second quarter of 2026, essentially unchanged from 6.54% a year earlier, while average price per unit reached $208,794.

Lease-up financing of this type gives a sponsor time to complete stabilization rather than selling or placing permanent financing before a property reaches targeted operating performance. For Noah Properties, the Walker & Dunlop Investment Partners loan arrives as a sizable suburban delivery pipeline competes for renters.

Sources

• Arrow Real Estate Advisors: https://www.arrowrea.com/recent-press/walker-dunlop-investment-partners-supplies-63m-refi-for-illinois-apartments
• Commercial Observer: https://commercialobserver.com/2026/10/walker-dunlop-chicago-illinois-apartments/