This Week's Chicago Deal Sheet
The Chicago City Council approved a Class 6(B) property tax incentive program that Ryan Cos. and Chicago Neighborhood Initiatives will use to help develop a 400K SF speculative industrial building in Pullman Crossings, the new 62-acre industrial park rising in the Pullman neighborhood. The developers will locate the building, expected to be completed in early 2020, on vacant land that once housed Ryerson Steel.
The same team was behind the building of Gotham Greens, Pullman Park, the Whole Foods Midwest Distribution Center, Method Products and more in Pullman, helping to create more than 1,500 new jobs.
“The incentive will enable Ryan Companies to market the Pullman location as an opportunity for businesses looking for Class A space and competitive rents at a location with toll-free access to I-80, less than a half-hour from the Chicago Loop,” Ryan Cos. Director of Real Estate Development Curt Pascoe said in a release.
Pullman Crossings, at Interstate 94 and 103rd Street, is in an opportunity zone. The industrial park can accommodate multiple industrial warehouse and distribution facilities totaling up to 1.2M SF.
“I’m grateful for City Council’s support for the speculative building’s development because it will help us continue to attract growing businesses and new jobs to the community where in the last several years more than $350M has been invested,” 9th Ward Alderman Anthony Beale said.
EXECS
Chicago-based The Habitat Co. hired Kimberly Sisney as vice president of the firm’s affordable division, which manages more than 10,000 units. Sisney, a 25-year veteran in property management, has spent her entire career in the affordable housing industry. She will oversee Habitat’s 60 affordable communities in Chicago and St. Louis. Before joining Habitat, Sisney served as property management director at Bickerdike Redevelopment Corp.
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Nathan Mead joined Molto Properties as director of operations. He will manage the company’s industrial portfolio, including leading and managing capital improvement and tenant projects, overseeing the preparation of operating expense budgets, assisting with the disposition of assets and interacting with existing and new tenants. Mead was most recently general manager at NAI Hiffman overseeing an 18M SF portfolio.
LEASES
Opex Analytics, an AI consultant, relocated from its 4K SF Evanston headquarters to an 18K SF space at 350 North Orleans St. in downtown Chicago. Founded in 2013, Opex Analytics partners with both Fortune 500 companies and startups. It more than doubled its team size over the past year. NKF Managing Director Matthew Frazee led the brokerage team representing Opex in its search for new space.
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CTL Global, a Chicago-based logistics and fulfillment company, will expand into a 248K SF warehouse/distribution facility at 1000 North County Line Road in suburban Elmhurst. CTL currently operates out of three facilities in Northlake, Bensenville and Elk Grove Village.
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CBRE’s Mark Smith represented Brown & Joseph LLC in a 23K SF lease at One Pierce Place in suburban Itasca. Owner Hamilton Partners was represented by Patrick McKillen.
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Lee & Associates closed a lease transaction for an 8K SF industrial suite at 770 Hawthorne Lane in suburban West Chicago. Lee’s Jay Farnam represented the owner. Scott Whisler of Brian Properties represented the tenant, Altum Global Management Group. The 35K SF building is now fully leased.
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CenterPoint Properties signed a 64-month lease with Peloton Interactive Inc. for 51K SF in a speculative building at 10601 Seymour Ave. in Franklin Park. The 225K SF structure was built in 2018. The products of Peloton Interactive, a technology company, include Peloton Bike, Peloton Tread and Peloton App. It is the second tenant at the building. Xpress Global Systems, the building’s first tenant, occupies 66K SF. Peloton was represented by Podolsky Circle’s Adam Tarantur and Steven Tick. CenterPoint was represented by Colliers’ Tom Rodeno and Jim Estus.
CONSTRUCTION AND DEVELOPMENT
Golub & Co., CIM Group and Avoda Group, the developers of Fifteen Fifty on the Park, topped off the 32-residence luxury condominium development at the corner of North Avenue and Clark Street in Chicago’s Gold Coast. Scheduled to deliver in Q4, Fifteen Fifty sits on one of the last developable parcels along Lincoln Park. The two-, three- and four-bedroom residences are priced from $1.6M to $5.8M. Most of the residences feature a terrace or balcony, or both. The interiors were designed by Gary Lee Partners, and Solomon Cordwell Buenz designed the exterior.
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Skender, serving as base building and interior construction manager, completed construction of Chicago’s newest Hyatt House. The 14-story, 167K SF hotel at 105 North May St. in Chicago’s Fulton Market neighborhood, caters to extended-stay corporate travelers and includes an indoor pool and multiple green roof features and upgraded common areas such as the bar and lounge with city views. Sterling Bay is the hotel’s developer and Skender collaborated with project architect Eckenhoff Saunders Architects.
Principle Construction Corp. broke ground June 7 on a new 126K SF warehouse and office building for Pharma Logistics Ltd. at 1801 North Butterfield Road in north suburban Libertyville. The company will expand from its current locations in Mundelein and Libertyville, and its new building will include eight docks, one drive-in door, 188 parking spaces and 30-foot clear height ceilings. Principle’s Jim Brucato is acting as principal on the project, Ernest Spina is the project manager and Principle’s Mark Frane is acting as the superintendent. Harris Architects provided design services for the project.
SALES
Marcus & Millichap completed the sale of a new construction 9K SF net-leased Fresenius Medical Care property at 4016 Main St. in East Chicago, Indiana. After procuring multiple offers, the asset sold to an out-of-state buyer for $3.5M. Marcus & Millichap’s Austin Weisenbeck and Sean Sharko exclusively marketed the property on behalf of the seller and also represented the buyer. Josh Caruana assisted on the transaction as the broker of record in Indiana.
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Lee & Associates closed a sale transaction in LakeView Corporate Park for a 196K SF industrial building at 10550 86th Ave. in Pleasant Prairie, Wisconsin. Lee & Associates’ Tom Boyle represented the buyer, Scannell Properties, and Lee’s John Sharpe represented the seller, Lakeview Industrial Development, a joint venture between Hunzinger Construction Co. and Wangard Partners. Sharpe and Boyle have been retained by the new owner to market the facility for lease.
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Colliers International | Chicago brokered the sale of an 8.28-acre site at 550 Devon Ave. in Elk Grove Village. Colliers’ Tom Rodeno and Jonathon Kohn represented the seller, Terry Bolger, as well as the buyer, CA Ventures. The deal is CA Ventures’ first foray into the Chicago industrial real estate market. The site includes a 20K SF building that the company intends to reduce and modernize. It also plans to construct a speculative 142K SF industrial building on the remainder of the land.
