4 Reasons Not To Ignore Garfield Ridge
Garfield Ridge is a quiet neighborhood on Chicago's Southwest Side, but it holds untold opportunities for commercial real estate investors thanks to its neighbor, Midway International Airport.
Garfield Ridge real estate is diverse, with opportunities across multiple sectors. We highlight four reasons investors should consider the submarket.
1. Midway Airport Modernization
The Chicago Department of Aviation launched a $323M modernization project earlier this month that will include a new 80K SF security pavilion — with enhanced technology, extra security lanes and a single checkpoint system that will double the Transportation Security Administration's screening capacity — as well as an expansion of the pedestrian bridge spanning Cicero Avenue that connects "the world's busiest square mile" to parking and CTA's Orange Line.
The modernization is in addition to an ongoing $75M redevelopment of Midway's concessions that will double the number of jobs when it is completed in 2020. The modernizations were spurred by increased passenger usage of the airport, which is a Southwest Airlines hub. Over 22.7 million passengers used Midway Airport last year.
2. Improved Hospitality And Retail Offerings
The updates are not relegated solely to inside Midway Airport. First Western Properties Vice President of Acquisitions Fahim Lakhani said the area around Midway, including Garfield Ridge, is primed for an influx of higher-end retail, restaurants and hotels to accommodate the airport's growing traffic.
Lakhani brokered the November 2015 sale of a site near Midway that is the future site of Vib, an $8M boutique hotel by Best Western. It will be Best Western's first Vib concept in the Chicago market. Choice Hotels CEO Steve Joyce believes Midway Airport has untapped potential.
3. Infill Office Opportunities
Many office-using companies want airport proximity. Oxxford Clothes moved into its new 40K SF headquarters at 5635 South Archer in February after it sold its former West Loop HQ building to The Missner Group in September.
Land and building owners are marketing sites and making improvements to buildings to attract developers and small businesses.
4. Ease Of Access To I-55 Corridor Benefits Warehouses
A good aiport needs access to an expressway, and Midway is easily accessible by Interstate 55, which also intersects Garfield Ridge. The I-55 corridor is one of Chicago's best-performing industrial submarkets, directly connecting downtown Chicago to Joliet. Garfield Ridge is a sleeper investment opportunity for industrial developers and investors aiming to increase their yields in one of the country's hottest industrial markets.