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Q1 Big-Box Warehouse Demand Sets Chicagoland Record
Demand for the Chicago region’s biggest and most modern industrial buildings set a new record during the first quarter of 2021, Colliers’ Craig Hurvitz reported. Net absorption totaled 8.2 million square feet during the first three months of the year, the greatest quarterly total ever recorded for the big-box product type.
The completion of four build-to-suit projects totaling 4.7 million square feet, combined with a 31% increase in new leasing volume totaling 8.2 million square feet for the quarter, was behind this jump in demand, reported Hurvitz, VP of market research. As a result, the big-box vacancy rate decreased by 36 basis points to 8.15%.
Five new leases greater than 500,000 square feet were signed during Q1, including two greater than one million square feet. The largest new lease was Duke Realty’s BTS deal with e-commerce furniture company Wayfair for a 1.2-million-square-foot building to be built in Romeoville.
- ◦Lease
- ◦Development
