Preservation Equity Fund Advisors, LLC (PEF Advisors), a real estate private equity firm focused on preserving existing affordable housing in high-cost markets, announced the acquisition of Carroll Tower, a 108-unit affordable senior housing community in St. Charles, Illinois. This represents PEF Advisors’ third acquisition in the greater Chicago metropolitan area.
Originally developed in 1984 as a Project-Based Section 8 community, Carroll Tower provides affordable housing for residents 62 years of age or older. Located approximately one hour west of Chicago in Kane County, the property helps meet growing demand for affordable senior housing in a suburban market where rising housing costs continue to outpace supply. The six-story residential building sits along the Fox River in historic downtown St. Charles, adjacent to the Hotel Baker, and features 108 one-bedroom units averaging 680 square feet along with a community room, food pantry, laundry facilities, outdoor parking, and elevator access. As of closing, the property was 98.1% occupied.
PEF Advisors plans to invest in capital improvements that will enhance the property, address deferred maintenance, and preserve Carroll Tower as a high-quality affordable housing community for current and future residents. The deal closed in July 2026 and represents PEF Advisors’ sixth acquisition for Preservation Equity Fund 3, continuing the firm’s strategy of acquiring and preserving existing affordable housing in supply-constrained, high-cost markets across the United States.
Since 2016, PEF Advisors has focused on acquiring and preserving existing affordable housing in high-cost markets through private equity funding. The firm is an affiliate of the WNC & Associates, Inc. family of companies, with access to WNC’s more than 55 years of experience acquiring more than 121,000 units representing $21.8 billion in affordable housing nationwide.
KEY QUOTES:
“This was an important opportunity to preserve affordable housing as it was at risk of losing its affordability restrictions.”
“By restructuring the transaction and applying for a mark-up-to-market on the Section 8 contract during escrow, we were able to extend the affordability an additional 20 years.”
“Our first course of business will be to restore services to the residents.”
Ann Caruana, President and Chief Investment Officer, PEF Advisors
