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CHICAGO-First Industrial Realty Trust has expanded its headquarters at 311 S. Wacker Dr. by 50%, signing a 12-year extension for 66,064 sf. The REIT struck the deal with Walton Street Capital for the 38th, 39th, and 40th floors of the 65-story building after considering moves to new Downtown office towers.

With more business expected to come from its joint ventures, including the REIT's second with California State Teachers Retirement System, First Industrial Realty Trust found it needed more office space. The deal holds vacancy at the 16-year-old building at 29%. Although terms were not disclosed, published net lease rates at 311 S. Wacker Dr. range from $11.75 per sf to $25.50 per sf.

"The new lease includes improved rates, expansion and extension of the term, provisions for long-term flexibility, and an allowance to retrofit the existing and new space to meet First Industrial's needs," says CB Richard Ellis' Gregg F. Witt, SIOR, who represented the REIT with Brad Serot. Christian Domin of GVA Williams represented Walton Street Capital, which has owned the 1.3-million-sf building since 2002, after acquiring it from Teachers Insurance Annuity Association for $274 million.