In recent industrial news, Prologis recently acquired a fully leased asset in Bolingbrook, Illinois, for $23 million.
The 240,000-square-foot building at 900 Carlow Drive was purchased from a venture affiliated with Chicago-based investor Heitman, according to a recent article, which has been occupied for over 20 years by Ed Tucker Distribution, with more than 3.5 years left on its current lease.
And Prologis isn’t the only company to invest into that area. It was announced a few weeks ago that Sterling Bay purchased land from 4530 DISTRICT BLVD., INC., an Illinois LLC, for a 147,00-square-foot speculative project located at 4510 West Ann Lurie Place in Archer Heights, Illinois. The value of the project was estimated to be just higher than the Prologis acquisition, at around $25 million.
In a broader sense, the sector is cooling down, and the vacancy rate is climbing up, however slowly. But this is good news—for prospective users, at least. With the increase in spec projects currently being delivered, the market now has space to offer them, which could not be said the last few years.
Per Colliers, developers are expected to complete close to 42 million square feet of warehouse space in the region by year end, most of which is available to be leased.
