CHICAGO—MB Real Estate has just published its latest index report on the city's 30 newest class A office buildings, and found that their direct vacancy increased by 20 bps, and now stands at 8.3%. Meanwhile, CBD direct vacancy has decreased for the sixth consecutive quarter, with overall vacancy falling to 11.1%, the lowest it has been since 2000. And the vacancy spread between the top 30 and the whole CBD decreased by 80 bps to 2.8%.
The largest direct lease signed at an index building in the past three months was Option Clearing Corp.'s lease of approximately 101,620 square feet at The Franklin, 66,537 of which is in the tower at 222 W. Adams and 35,083 of which is in the tower at 227 W. Monroe. The company currently occupies 73,845 square feet in another index building, at 1 N. Wacker.
515 N. State continues to have the largest direct block of available space with 350,000 square feet of contiguous space. There are currently no other available direct blocks of space larger than 200,000 square feet.
There are two blocks of shadow space larger than 200,000 square feet at index buildings that tenants will vacate in 2017 when they move to 150 N. Riverside and 444 W. Lake: Hyatt Hotels Corp.'s space at 71 S. Wacker and McDermott, Will & Emery's space at 227 W. Monroe.
Outside of the index, the largest recent new deal was signed by Cushman & Wakefield for 83,033 square feet at 225 W. Wacker, where it will consolidate its Chicago offices.
MBRE's index will see two new additions in the first quarter of 2017. These two new towers will add 2.4 million square feet to the CBD's office inventory.
Construction on 444 W. Lake has just been completed, and some tenants are moving in by the end of the year. The largest tenants will be McDermott, Will & Emery and DLA Piper.
150 N. Riverside will be delivered in January of 2017. The largest tenants will be William Blair & Co. and Hyatt.
CHICAGO—MB Real Estate has just published its latest index report on the city's 30 newest class A office buildings, and found that their direct vacancy increased by 20 bps, and now stands at 8.3%. Meanwhile, CBD direct vacancy has decreased for the sixth consecutive quarter, with overall vacancy falling to 11.1%, the lowest it has been since 2000. And the vacancy spread between the top 30 and the whole CBD decreased by 80 bps to 2.8%.
The largest direct lease signed at an index building in the past three months was Option Clearing Corp.'s lease of approximately 101,620 square feet at The Franklin, 66,537 of which is in the tower at 222 W. Adams and 35,083 of which is in the tower at 227 W. Monroe. The company currently occupies 73,845 square feet in another index building, at 1 N. Wacker.
515 N. State continues to have the largest direct block of available space with 350,000 square feet of contiguous space. There are currently no other available direct blocks of space larger than 200,000 square feet.
There are two blocks of shadow space larger than 200,000 square feet at index buildings that tenants will vacate in 2017 when they move to 150 N. Riverside and 444 W. Lake:
Outside of the index, the largest recent new deal was signed by Cushman & Wakefield for 83,033 square feet at 225 W. Wacker, where it will consolidate its Chicago offices.
MBRE's index will see two new additions in the first quarter of 2017. These two new towers will add 2.4 million square feet to the CBD's office inventory.
Construction on 444 W. Lake has just been completed, and some tenants are moving in by the end of the year. The largest tenants will be
150 N. Riverside will be delivered in January of 2017. The largest tenants will be William Blair & Co. and Hyatt.
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Brian J. Rogal
Brian J. Rogal is a Chicago-based freelance writer with years of experience as an investigative reporter and editor, most notably at The Chicago Reporter, where he concentrated on housing issues. He also has written extensively on alternative energy and the payments card industry for national trade publications.
