CHICAGO — Duke Realty Corp. has signed five leases with industrial tenants for four of its properties within metro Chicago. The leases total 860,296 square feet. Susan Bergdoll and Casey Grant of Duke represented the company in all the lease transactions. At Airport Logistics Center in Romeoville, RJW Logistics leased the entire 543,780-square-foot speculative building that delivered in August. Dominic Carbonari and Frank Griffin of JLL represented the tenant and Jason West and Sean Henrick of Cushman & Wakefield marketed the property for lease. Coda Resources leased all of the 183,296-square-foot speculative building known as 990 North Avenue in Glendale Heights. Frank Melchert of Cawley Chicago represented the tenant, while Kelly Disser, Eric Tresslar and Michael Freitag of NAI Hiffman served as listing brokers. At 375 W. South Frontage Road in Bolingbrook, Battery Systems signed a new lease for 17,850 square feet and Corrosion Materials renewed its 17,850-square-foot lease. Brian Kling and John Bolster of Colliers International represented Battery Systems. Ryan Earley and Terry Grapenthin of Lee & Associates were the listing brokers. Lastly, Black Horse Carriers signed a 97,520-square-foot lease at 1835 West Jefferson in Naperville. George Pappas of Hartford Associates represented the tenant and Brian Kling and David …
GLEN ELLYN, ILL. — Pete’s Fresh Market has opened at Baker Hill in Glen Ellyn, about 25 miles west of downtown Chicago. The store occupies 72,397 square feet at the shopping center owned by Phillips Edison & Co. Inc. (PECO). It is the regional grocer’s 15th location in the Chicagoland area. Since 2017, PECO has executed a comprehensive redevelopment at the property in partnership with the village of Glen Ellyn. In addition to the opening of Pete’s, improvements at the property include LED lighting, two electric vehicle charging stations and a new roof. Other tenants at the 135,355-square-foot Baker Hill include Orangetheory Fitness, Learning Express and Massage Envy.
CHICAGO — Marcus & Millichap has brokered the sales of two multifamily properties on Chicago’s North Side for a combined $7.5 million. Kyle Stengle of Marcus & Millichap marketed the properties on behalf of the sellers. The first property, 1044 W. Newport Ave., is a two-story, nine-unit building in the Lakeview neighborhood. It sold for $4 million. Both the buyer and seller were local partnerships. The second property, 3507-3511 N. Elston Ave. in the Avondale neighborhood, is a four-story, 12-unit building. It sold for $3.5 million. Chicago-based Brennan Investments purchased the building from a California-based seller.
LIVONIA, MICH. — Gerdom Realty & Investment has arranged the sale of a 23,900-square-foot retail and office property in Livonia for an undisclosed price. The two-building asset is located on Middlebelt Road between 5 Mile and 6 Mile roads. Larry Siedell, Michael Murphy and Tjader Gerdom brokered the sale. A local investor purchased the property with plans to complete an exterior renovation. Gerdom will remain as the listing broker.
NEW YORK CITY — LinkedIn has signed its eighth lease expansion at the Empire State Building in Manhattan. The deal increases LinkedIn’s footprint by three-and-a-half floors totaling 188,653 square feet. Since 2011, the online job posting and networking platform has grown to 501,600 square feet at the iconic building. Sunnyvale, Calif.-based LinkedIn has offices in more than 30 cities around the world. The company, acquired by Microsoft in 2016, has more than 15,000 full-time employees. There are approximately 645 million LinkedIn users worldwide. Empire State Realty Trust Inc. (NYSE: ESRT) owns the Empire State Building, which rises 1,454 feet. Tenants at the property have access to a 15,000-square-foot fitness center, conference center and in-building dining options. With an Energy Star rating of 86, the Empire State Building is in the top 20 percent in energy efficiency among all buildings measured, according to ESRT. Sacha Zarba, Lauren Crowley Corrinet and Chris Hogan of CBRE represented LinkedIn in the expansion lease. Ryan Kass and Shanae Ursini of ESRT provided landlord representation. ESRT is a real estate investment trust that owns, manages, operates, acquires and repositions office and retail properties in Manhattan and the greater New York City metro area. The company’s portfolio …
Chicago real estate has been the subject of considerable pessimism from local and national investors due to a variety of factors. Much of this can be blamed on our unfunded pension liability, which is expected to significantly increase real estate taxes across the area in the coming years. Many institutional multifamily investors claim that their data says to avoid Chicago. Instead, they seek multifamily properties at far lower returns and cap rates in places such as Nashville, Austin and Denver. While I believe those cities offer phenomenal investments, investors across the country are missing an amazing opportunity to invest in Chicago apartment properties. Real estate taxes Everyone seems to agree that real estate taxes will rise significantly in Chicago in the coming years. Who pays real estate taxes? Homeowners, commercial landlords and some businesses. Noticeably absent from this list are apartment renters who are generally unaffected by an increase in real estate taxes. In fact, a significant rise in residential real estate taxes should create even more demand for rental apartments in the Chicagoland area as would-be homeowners shift into the rental pool. Effect of high tax rates Do Chicagoans leave the city because of high tax rates? The data …
SACRAMENTO — California Gov. Gavin Newsom has signed a statewide rent control bill into law that aims to protect renters against price gouging and provide eviction protections. More specifically, Assembly Bill 1482 bars landlords from raising rents more than 5 percent plus the local inflation rate in one year. The annual inflation rate varies by region, but averages about 2.5 percent across the state.
HAMILTON, N.J. — CBRE has brokered the $84.7 million sale of American Metro Center, an office complex in Hamilton, an eastern suburb of Trenton. The 487,072-square-foot facility was originally constructed in 1918 as a plumbing fixture manufacturing facility for American Standard Co. The property has since been redeveloped as an office complex immediately adjacent to the Hamilton Train Station. Jeffrey Dunne, Jeremy Neuer, Steve Bardsley, David Gavin, Gene Pride, Travis Langer, Zach McHale, Adam Englander and Matt Saker of CBRE represented the buyer, The Birch Group, in the transaction. The CBRE team also represented the seller, which was undisclosed.
QUINCY, MASS. — Callahan Construction Managers has broken ground on a 610-unit multifamily redevelopment project in Quincy, a southern suburb of Boston. The Bozzuto Group and Atlantic Development are redeveloping the North Quincy Station bus depot and parking lot into a three-building residential property with 45,000 square feet of retail space as well as a 1,500-spot parking garage. The residential portion of the project will be delivered over two phases with the first units expected to be available for occupancy in May 2021. Units delivered in Phase II are slated to come on line in January 2022, with the entire project scheduled to be complete soon thereafter. Amenities will include two outdoor courtyards, a pool deck, club lounge, commercial kitchen and a fitness center with yoga and spin classes.
FLORHAM PARK, N.J. — Colliers International has arranged the $31.1 million sale of Florham Park Corporate Center, which consists of twin Class A office buildings totaling 230,000 square feet in Florham Park, located approximately 20 miles west of New York City. At the time of sale, the complex was 88 percent leased by 30 tenants. Amenities of the complex include a central courtyard with landscaped grounds, full-service cafe, conference center, fitness and game center and a bike-sharing program. Jacklene Chesler, Matthew Brown and Frank Summers of Colliers represented the buyer, Association for Corporate Growth, in the transaction. Colliers also represented the seller, a joint venture between Bergman Real Estate Group and Rialto Capital Management LLC.