Search
 

Suburban Chicago Office Market Remains Stable

CHICAGO-A Cushman & Wakefield report finds that, in spite of vacancy increases, asking rates for space remain constant. No new construction was completed in Chicago's CBD while 1.5 million sf of space was added in the suburbs.

By Bonnie Grota | Updated on August 14, 2001

CHICAGO-The 84.3 million-sf suburban Chicago office market realized a significant amount of sublease space that contributed to an increase in the market’s overall vacancy rate to 15.5% from 12.6% at year-end 2000. However, rental rates remained stable, according to a report from Cushman & Wakefield Inc.

Although vacancies increased for class A space, the average asking rate for class A space increased about 1.1% per sf from year-end 2000. The same is true for class B and class C space, which increased about 4.4% and 3.8%, respectively. Mid-year leasing activity totaled 3.6 million sf.

In contrast to Chicago’s CBD, which completed no new construction in the first half of 2001, new office completions were concentrated in the suburbs with about 1.5 million sf. A total of 4.4 million sf is currently under construction, with 22% secured with pre-lease commitments, according to the report.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.