Seefried Properties recently announced that it had started construction on its speculative industrial development in Elgin, Ill. The class A campus incorporates more than 465,000 square feet of Chicago industrial space and is scheduled for completion in Q3 2024. Jason West and Doug Pilcher of Cushman & Wakefield are leading leasing and marketing efforts for the property.

Located at the corner of Madeline Road and Alft Lane in Kane County, the campus includes two buildings, the larger of which totals nearly 321,000 square feet and the other roughly 144,400 square feet. The design of both buildings calls for clear heights ranging between 32 and 36 feet; ESFR fire suppression systems; 185-foot-deep truck courts; a combined total of 236 trailer spaces; and ample parking.

Located one mile south of a full, four-way interchange at Interstate 90 and Randall Road, the development offers proximity to a population of 3.8 million within a 30-mile radius. Additionally, the campus can accommodate tenants with space needs ranging from 25,000 to 465,000 square feet and is designed to offer significant flexibility.

In addition to Cushman & Wakefield, project partners include Spaceco as the civil engineer, FCL Builders as the general contractor and Harris Architects as the architect of record.

“Seefried is extremely proud of this latest development in Chicago,” said David Riefe, senior vice president of Seefried’s Midwest region. “This development underscores Seefried’s leadership and expertise in navigating more challenging market conditions to drive profitable investment opportunities.  We look forward to the successful completion of this development and we are actively pursuing additional development opportunities throughout the Midwest.”

According to the latest national industrial report published by CommercialEdge, the Chicago industrial market is home to one of the largest pipelines in the country. With nearly 23 million square feet of new industrial space underway, Chicago ranked fourth behind the Inland Empire, Calif. (31 million square feet); Dallas-Fort Worth (53 million); and Phoenix (59 million). Asking rents here in June reportedly remained below the national average of $7.33 per square foot, and the vacancy rate was slightly less than 6%.

In terms of industrial real estate investment, Chicago also ranked among the top 10 in the country. With a total of more than $760 million in sales closed during the first half of the year, the market came in seventh nationwide and first in the Midwest. The sale price during that same time averaged around $84 per square foot.