2014-2015 C.A.R. President Hugh Rider Reaching Out

Time had washed away the luster of the old Aurora Hotel. Once considered by many to be the most elegant hotel outside the city of Chicago, it had fallen into severe disrepair and became a haven for pigeons by the 1990s. Hugh Rider had just joined the family real estate business a few years after graduating from college when Realty & Mortgage Co. took on the project that he would later recount as one of his proudest achievements. As the 2014-2015 Chicago Association of REALTORS® president, Hugh, 46, co-president of Realty & Mortgage Co., brings a lifetime of experience in real estate and a focused desire to explore new partnerships.

Restored to glory

The company his grandfather acquired during the Great Depression returned the former Aurora Hotel to its architectural glory as the North Island Apartments – affordable housing for seniors in the heart of downtown Aurora on the Fox River. “We transformed this derelict building into 56 apartments for senior citizens who couldn’t afford a great place to live,” Hugh said. Realty & Mortgage Co. undertook this rehabilitation project with the respect and care necessary to retain the significant architectural features of this historic landmark. “We did it in a historically-sensitive way. The common space is very reminiscent of when it was an old hotel,” Hugh said. “It just worked out very well.” The project earned the prestigious Richard H. Driehaus National Preservation Award in 1998. ‘I grew up in this business’ Hugh’s parents, Harold and Susan, met as students at Colorado College outside Denver and married after graduation. Susan was a native of suburban Barrington, and the couple returned to the Chicago area in 1967. Harold was a research chemist who switched careers to take over his father-in-law’s Chicago-based real estate business. Hugh’s office wall in Andersonville is adorned with black-and-white photos of his grandfather, Oscar Sehnert. Oscar had worked as an employee and acquired the business founded in 1906 in 1932. In many ways, Realty & Mortgage Co. is part of his family. Hugh recalls the many summers he spent working for the family business, around the office and cleaning apartment building basements. “When I was little, all I knew was this – running a small management company was a 24/7 job,” he said. “Dad took the train to the city every day from Barrington, and would get home at 7 every night and be gone before we woke up.” Hugh’s memories encapsulate how much the real estate industry has changed over the decades. “I remember ripping apart the old MLS books. You used to have to destroy them – That was the rule, so they would save them up for months at a time. There would be stacks of them and you had to shred them all up by hand.” In 1982, Hugh watched his father’s inauguration as president of what was then the Chicago Real Estate Board — just as his father witnessed him sworn in as president of C.A.R. at the 131st Inaugural Gala on Sept. 10. “I grew up in this business — literally. Everybody in the office knew us,” Hugh said. “One of our employees started in 1980 and I just happened to be there the day she started as a receptionist.”

Rooted in real estate

After graduating from Elgin Academy in suburban Elgin, where he currently serves as a board member, Hugh attended Hillsdale College in Michigan. He graduated with a bachelor’s degree in economics and political science in 1990. His father never pushed him and his three brothers to pursue real estate, and strongly encouraged them to explore other opportunities. Hugh returned to the Chicago area after college for a job in human resources for Spraying Systems, Inc., a manufacturer of spray nozzles in Wheaton. But real estate always called him and he began working for the family business in 1995. About four years ago, Hugh and his older brother, Harold Jr., bought the company from his father. A third brother, Steve, also works for the business. They rehabbed an Andersonville property and turned the former dance studio on the second floor into their new office. Hugh commutes from Wilmette, where he and his wife, Lesa, live with their three children: 14-year-old Hugh Jr.; 11-year-old Ben; and 10-year-old Margaret. Realty & Mortgage Co. primarily operates as a third-party manager for properties ranging from a single-family house in Lake View to a 600-unit multifamily building. About half of its portfolio of 5,000 units includes affordable housing. The typical client is an individual who owns several buildings.

Strength of C.A.R.

Hugh describes himself as a doer and team player. It’s a combination that has guided him as an active C.A.R. leader. With more homeowners turning to leasing, especially in the downtown area, it became more imperative to offer members a solid form lease. Last year, he helped lead efforts to create this form. Using the agreement of a local landlord attorney as a template, Hugh together with 2014 C.A.R. President Matt Farrell and fellow board member Ron Abrams put together an “easy to use” lease agreement. The issue that led Hugh to become active in C.A.R. continues to be something he would like to change: the city’s Residential Landlord Tenant Ordinance (RLTO). Under the ordinance, a landlord who pays interest on a renter’s security deposit one day late or one penny short will immediately owe the renter twice the security deposit plus a security deposit refund. It’s a standard that’s too strict on landlords, he said. Hugh would like to see changes enacted that are fair to both the renter and landlord. Reaching out Topping Hugh’s list of goals for the year is a focused effort on collaborating with other real estate groups. He wants to help C.A.R. connect with individual groups working on behalf of their own members – to build bridges and work together. Close to his heart and mind is a desire to come together as one voice of real estate to achieve mutual goals. “C.A.R. and its members will benefit. I think we can grow C.A.R. in size if we can bring some of these other groups to the table,” he said. “We have to start the conversation.” Beyond joint networking events, he would like to combine some of the educational offerings into what’s currently offered at the REALTORS® Real Estate School. “That’s part of a synergy that I think could happen,” Hugh said.