January 11, 2019
Chicago’s industrial pipeline is more than twice as full as a year ago, Colliers International reported. As 2018 ended, 60 buildings totaling 18.9 million square feet were going vertical, compared to 8.9 million square feet at the end of 2017. Starts were also 74% ahead of year-ago levels.
Of that total, 12.8 million square feet, or 68%, was represented by speculative projects. Among these buildings, 12.3 million square feet of vacant space will be added to the market when completed, unless buildings are pre-leased over the coming months, according to Colliers. As it is, just 16% of 2018’s spec deliveries have been leased.
The fourth quarter’s largest completion was Marina Crossings (pictured), a 633,057-square-foot project in McKinley Park that represents Chicago’s largest spec project in decades. At Q4’s end, the largest industrial project under construction was another spec build, LFI Real Estate’s 879,040-square-foot project in Monee’s Bailly Ridge Corporate Center.
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