Colliers‘ Jeff Devine, Steve Disse and Tyler Ziebel represented an institutional real estate investor in the sale of a three-building industrial portfolio — the Territorial Drive Industrial Portfolio — totaling 187,485 square feet in Bolingbrook, Illinois.
Strategically located in the heart of Chicago’s I-55 Corridor, which links the Joliet intermodal yards to the Chicago MSA, the Class-A facilities are adjacent to each other at 534, 544 and 560 Territorial Drive. The buyer was an institutional real estate private equity fund.
With virtually no land available near the highway for new development, net rents for spaces under 100,000 square feet continue to rise sharply in the I-55 Corridor industrial submarket which boasts one of the lowest vacancy rates in the region at under 2.5%.
The properties are 100% leased to two tenants, with a weighted average lease term just under two years. The sale presented an opportunity for an investor to renew the tenants or re-lease the space at rents significantly above the rents in place.
