Duke Lands 2 Leases in Chicagoland

1341 Enterprise Drive

Duke Realty Corp. has secured two leases that bring its 17.4 million-square-foot Chicago logistics portfolio to full occupancy.

Duke closed a deal with Goodwill Industries for 198,696 square feet at 1341 Enterprise Drive in Romeoville, Ill., along with the tenant’s commitment to expand into the entire 324,115-square-foot facility by 2023. Kris Bjorson, Dan McGillicuddy, Bill Spaulding and Sam Brashler at JLL served as tenant representatives, and Traci Buckingham and Stephanie Park of CBRE represented Duke Realty in lease negotiations.

The REIT also inked a lease with Southwire Co., one of North America’s largest wire and cable producers, for 83,125 square feet at 430 Kimberly Drive in Carol Stream, Ill. Adam Marshall at Newmark was the tenant representative, and Cushman & Wakefield’s Doug Pilcher represented Duke Realty.

Plenty of development

Duke Realty currently has four developments totaling more than 2.5 million square feet under construction in the Chicago region:

• a 1.2 million-square-foot e-commerce fulfillment center for Wayfair LLC at Airport Logistics Center Phase II in Romeoville, Ill.;
• a 655,200-square-foot build-to-suit facility in Bedford Park, Ill., for a national home improvement retailer;
• a 370,973-square-foot speculative development at 10000 Woodward Ave., in Woodridge, Ill.;
• a 299,520-square-foot facility at 110 N. 25th Ave., in Bellwood, Ill., preleased to a snack food manufacturer;

The Chicago area’s industrial market is being driven by an “unprecedented” quantity of build-to-suit properties, with eight such projects totaling 11.2 million square feet having been delivered in the third quarter of 2021, according to a report from Colliers International. Even so, average vacancy has decreased to 6.0 percent, the lowest since 2001, and the average asking lease rate is $5.04 net.