Search
 

Build-to-Suits Expand Dramatically in First Half of 2001

CHICAGO-A report released this week by a Skokie-based developer documents a significant increase in metro Chicago BTS activity. He charts first-half growth at more than six million sf.

By Dees Stribling | Updated on October 22, 2001

CHICAGO-Build-to-suit activity in the metro Chicago commercial real estate market soared in the first half of 2001, to 6.17 million sf, a 21% increase from the same period last year, and are the highest numbers in more than a decade, according to a new report by the Alter Group, a Skokie, IL-headquartered developer. The report tracked BTS activity in the seven-county northeastern Illinois/southern Wisconsin region. BTS also posted an increase when compared to the second half of 2000. About 4.6 million sf of build-to-suit space came on line in that period.

“We’re seeing the effects of shock therapy to the economy,” says Richard M. Gatto, EVP of the Alter Group. “Lower interest rates have spurred firms to own their own buildings rather than lease.”

The report showed that a predominance, 87%, of the new build-to-suit space in the first half of 2001 was manufacturing or warehouse space, a fact somewhat at odds with the manufacturing slump that has afflicted the Chicago area for at least 18 months.

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.