Trinity Scurto Completes 44K SF O’Hare Submarket Lease

February 21, 2023 —  Brown Commercial Group partner Trinity Scurto represented Advanced Metalcraft in nearly tripling its space in an O’Hare submarket lease. The company, a fabricator of precision metal components and assemblies, is moving from a 15,000-square-foot space in Franklin Park, IL to 44,600 square feet at 110 and 210 Gateway Rd. in Bensenville, IL.

“This was an ideal location for Advanced Metalcraft as the company sought to expand its footprint while also reducing its tax expenditure by moving into DuPage County,” said Scurto. “By working with my connections in the market, I identified this off-market property as a good location for the company’s expansion.”

The seller, 110 Gateway LLC, owned both properties. The buyer plans to complete building renovations and take occupancy later in the first quarter.

O’Hare Submarket Lease Activity

As noted in this IL RE Journals story, many Chicago area businesses are focusing on O’Hare submarket leases. Given its proximity to O’Hare International Airport and its ranking as the busiest airport in North America for cargo traffic, the O’Hare industrial submarket witnessed a significant uptick in freight traffic year over year, increasing by over 9% from 21Q4 to 22Q4. According to CoStar research, this is particularly impressive considering the supply chain bottlenecks and other challenges in the industrial sector.

O’Hare industrial submarket’s net absorption over the past year was 690,000 square feet. Construction activity picked up during 2022 after a lackluster supply growth over the previous two years. O’Hare rents should continue to rise, as Chicago’s airports may be a better option to transport goods than the channels on either coasts. Rents are increasing at a brisk 8.8% pace, reaching another all-time high of $10.10/SF, according to CoStar.

Story via Connect Media.