As Chicago’s office market continues to stall due to the pandemic, there are positive signs of recovery in some suburban office markets and product types. Low rise office buildings located near main roadways and offering private entrances, outdoor space, and proximity to the suburban workforce continue to attract tenants and investors. In today’s market, many employers are focusing on the convenience of working close to home and offering hybrid work options for employees.
Brown Commercial Group recently negotiated a 25,000-square-foot office investment transaction in the far northwest suburbs that supports this trend. Broker Jim Pietrarosso represented a private investor in buying the building at 2295 Valley Creek Drive in Elgin, while Broker Maria McNeil represented the seller, a private investor. The new owner plans to renovate the building and increase its occupancy.
“While the overall office market has been a challenge since the onset of the pandemic, I have seen an increase in activity with these types of niche suburban single-story office buildings with private entrances and space for employees to spread out,” said Pietrarosso. “I have completed more office transactions over the past few years than in the years leading up to the pandemic, as local business owners looked for convenient spaces to go in every day. These types of spaces also allow employees to have the flexibility of hybrid work schedules.”
The building is approximately 75% occupied and includes offices ranging up to 5,000 square feet.
The building has two main entrances and ample parking, along with proximity to Randall Road and other major roadways in the area.
