Liberty Property Trust recently signed a lease renewal agreement with DSC Logistics, Inc. for more than 1,000,000 square feet of space at 21705-21707 West Mississippi Avenue in Elwood. DSC Logistics, Inc. will continue to occupy 100 percent of the building.
“We’re very fortunate,” said Don Schoenheider, vice president and city manager, Liberty Property Trust. “We have a great relationship with DSC. We really consider them one of our best tenants, and they are certainly our biggest tenant in Chicago. We’ve had DSC as a tenant in other markets across the Liberty portfolio as well.”
One of the other markets they have had DSC as a tenant is in Pennsylvania, which Schoenheider says the relationship there has to be at least 10 years.
In a prepared statement, Michael Weinstock, executive vice president of operations for DSC Logistics said, “DSC’s Elwood Logistics Center is an important part of our growth strategy as a company. We’re very happy to be extending our lease and our relationship with Liberty as our operations continue to grow and evolve.”
The building is located in the BNSF Logistics Park Chicago, which is centrally situated near the intersection of I-55 and I-80 and offers convenient double-direct access rail spur into this facility.
Schoenheider said Liberty bought the building in 2011, and they own one other building in the intermodal, which is also 100 percent leased.
“DSC was a tenant for part of that building when we purchased it,” he said. “During the time since we had found it, they expanded in the building, and then decided it was a good fit for a longer term and renewed their lease.”
Lynn Reich, SIOR, CCIM, executive vice president, Colliers International represented the tenant. James Estus, SIOR and Jeffrey Kapcheck, SIOR represented Liberty Property Trust.
As far as DSC looking at other properties, Schoenheider said he was sure they explored the market.
“Fortunately they determined that the building was a good fit. We’re proud of how we run the building, we manage the building ourselves as well. Again, we have had a good relationship with them as a company, and I think that means something as well.”
Other recent success Liberty has had is acquiring a large national portfolio last fall from Cabot Industrial.
“That’s 24 million square feet of space around the country,” Schoenheider said. “In Chicago that added a little over three million square feet, so that took us to about 12 million square feet here in Chicago. That should make us the third largest owner in town. That’s really helped us broaden our footprint and widen our tenant relationship.”