AI Data Center Set To Be Built In The City: The Chicago Deal Sheet
HydraVault will begin construction this fall on what it calls downtown Chicago's first purpose-built data center specifically for artificial intelligence, machine learning and ultra-low latency financial trading.
The data center, at 2538 S. Wabash Ave., is expected to be ready for a user build-out in late 2026, the company said in a press release. The data center is designed to meet Tier 3 specifications, meaning the company aims to ensure a high level of uptime and reliability with redundant systems.
"We've designed — and will build — a city center AI factory for the future," HydraVault founder Scott Greenberg said in a press release. "The power density per square foot of building area in HydraVault, combined with the most advanced components demanded by the next generations of chip technology, makes HydraVault the definitive next-generation data center."
The facility is engineered to deliver up to 200 kilowatts per rack and will implement a closed-loop, waterless cooling system designed to optimize heat rejection required by the computers.
PEOPLE
NAI Hiffman made four moves within its team. The company promoted Brian Edgerton to executive vice president and Carrie Szarzynski to executive managing director and head of management services. Additionally, Denes Juhasz returned to the firm as research director after roles at CBRE and CoStar, while Joshua Reuter joined as associate director for workplace solutions.
SALES
A private investor group purchased a 127-room Hyatt Place hotel property at 1851 McConnor Parkway in Schaumburg for an undisclosed price. The six-story property features amenities like an indoor pool, fitness center, business center, on-site dining and a market. Marcus & Millichap's Ebrahim Valliani marketed the property on behalf of the seller and procured the buyer.
***
A Chicago-based private investment group purchased a 35-suite grocery and medical-anchored shopping center at 1170 S. Roselle Road in Schaumburg for $14.6M. The 114K SF property is anchored by KD Market, a Chicago-area grocer that recently signed a 10-year lease extension. Marcus & Millichap's Adrian Mendoza, Sean Sharko and Austin Weisenbeck marketed the property on behalf of the seller, a family based overseas who has owned the property for 32 years.
***
A Chicago-based private investor paid $3.1M for 6254 N. Whipple St., a 16-unit vintage apartment building in West Ridge. The fully occupied multifamily property was built in 1931 and renovated in 2023, featuring 16 two-bedroom apartments. Interra Realty's Brad Feldman represented the buyer and the seller, a local private investor.
***
A California-based private investor scooped up the WiFi Tech Center, a multitenant flex industrial property at 3501 West Howard St. in Skokie, for $18M from Weiss Properties. The 183K SF building traded hands in an off-market transaction. Greenstone Partners' Danny Spitz represented both the seller and buyer.
***
An out-of-state investor purchased Highlands of Lombard, a six-suite retail strip at 2820 S. Highland Ave. in Lombard, for $5.6M. The fully occupied, 16K SF retail center features a mix of food, health and service-based tenants. Marcus & Millichap's Adrian Mendoza, Sean Sharko and Austin Weisenbeck marketed the property on behalf of the seller and procured the buyer.
***
A pair of 1031 exchange investors purchased 1151 West Erie St., a nine-unit multifamily property at the edge of West Town and Fulton Market, for $2.3M. Greenstone Partners’ Jordan Multack represented the sellers and the buyers in the deal.
***
An undisclosed buyer purchased The Maynard, a 121-unit mixed-use building at 1325 W. Wilson Ave. in Sheridan Park for $18.5M. Essex Realty Group's Matt Feo and Jordan Gottlieb listed the property and represented the seller, while Feo and Essex's Rick Ofman represented the buyer.
***
Wahid Properties bought a 15K SF warehouse and distribution building at 1460 Jeffrey Drive in Addison for $1.9M. Lee & Associates’ Jay Farnam and Peter Spear represented the buyer, while Transwestern Real Estate Services represented the seller, Liberty Partners.
CONSTRUCTION AND DEVELOPMENT
Seefried Industrial Properties broke ground on a 64K SF speculative industrial development at 10321 Beaudin Blvd. in Woodridge. The Class-A facility is designed to serve a range of modern industrial users and will be available for sale or lease upon completion in the first quarter of 2026.
