In a significant deal showing how strong the local industrial market still is, SL Industrial Partners recently purchased a 17-building portfolio totaling 925,391 square feet of industrial flex space across three business parks in Chicago’s Lake County and Northern Fox Valley submarkets.
SL Industrial properties is a member of the Silverman Group, a commercial real estate developer.
The properties, 92% leased to a diverse tenant base, mark a key milestone in SL Industrial’s growth strategy.
Located in Buffalo Grove, Vernon Hills and Elgin, Illinois, the buildings offer exceptional access to major transportation corridors, including I-94, I-294 and I-90. Their proximity to a variety of amenities further enhances their appeal to tenants across industries.
Each business park will be rebranded under the SL Business Center name:
- SL Business Center at Buffalo Grove: An eight-building complex offering 406,406 square feet of industrial flex space. Single-story buildings range from 42,000 to 69,000 square feet and are ideal for office, industrial, and manufacturing uses. Features include ample parking, multiple dock and drive-in doors, and 15’ clear heights. Its prime location near I-94 and I-294 interchanges is complemented by nearby nature preserves and jogging trails.
- SL Business Center at Vernon Hills: A five-building complex with 281,340 square feet of industrial flex space. Building sizes range from 43,000 to 69,000 square feet, featuring office and flex suites, multiple dock and drive-in doors, and 14’6” clear heights. Located near Route 60 and I-94, this park provides exceptional access for tenants.
- SL Business Center at Elgin: A four-building complex comprising 237,645 square feet of industrial flex space. The single-story buildings range from 59,000 to 60,000 square feet and offer 18’ clear heights, ample parking, and multiple dock and drive-in doors. The location is well-positioned in the Northern Fox Valley market, catering to small businesses and light industrial tenants.
The acquisition more than doubles SL Industrial Partners’ presence in the Chicago market, growing its portfolio from 800,000 square feet to just under 2 million square feet. The company sees strong fundamentals in the region, driven by demand for smaller, functional industrial flex space that is increasingly hard to replicate or develop. The properties offer immediate occupancy opportunities for tenants ranging from 2,500 to 25,000 square feet, providing flexible solutions for businesses of all sizes.
“Smaller flex space has proven to be a critical asset for businesses looking for highly functional and well-located industrial facilities,” said Blake Silverman, President of The Silverman Group, in a statement. “Expanding our presence in Chicago further underscores our confidence in the strength and resilience of both the product and the market.”
SL Industrial Partners plans to optimize the portfolio by repurposing select spaces into light industrial and flex configurations, better addressing the needs of small business tenants. All properties will be managed internally by SL Industrial Partners.
The portfolio was sold by an institutional owner, with Cushman & Wakefield representing the seller. The transaction was facilitated by Vice Chairs Mike Tenteris, Adam Tyler, and Jim Carpenter of Cushman & Wakefield.
