Velocity sells for $37.5M

Chicago-based company buys converted condos

Velocity in The Gulch, a former condo development that converted to apartments, has sold to a Chicago-based company for $37.5 million.

Walton Street Capital — operating as WLA Velocity Investors V1 GP — picked up the 220 apartment units for a little more than $170,000 per unit. The condos were bought by Atlanta's Pollack Partners for $25.3 million last year.

Not included in the sale are 43 individual condo units sold when Velocity was part of the condominium explosion. The ground-floor retail at Velocity — which has had a recent resurgence with the addition of Bar Louie and others — is owned by Market Street and is also not part of the deal.

Velocity was taken over by the bank as part of a friendly foreclosure in 2010 before its new life as an apartment complex.