Ideal Industrial Expansion
NAI Hiffman EVP Larry Much just repped Ideal, a point-of-purchase merchandise display manufacturer, in a new lease with Silver Beauty for 177k SF of industrial space at 5800 W 51st St on the Southwest Side. Ideal liked the location, which will be used as a distribution warehouse, for its proximity to the company’s existing HQ at 4800 S Austin Ave, Larry says. (The area’s also unincorporated Cook County and there’s a new four-way interchange at I-55 and Central Avenue.) The industrial leasing climate varies depending on the user, but Larry’s seeing increased activity in food-related tenants like packaging (USDA meat processing) or co-packaging (like Pro-Line Packaging, which just leased at 870 Lively Rd in Wood Dale.) We couldn't get Johnny Oduya to comment.
Ideal’s lease is a great example of an industrial user trying to grow while creating more efficiencies for its customers, Larry says. Investing in new infrastructure passes along better pricing to customers, and manufacturing growth is also a huge plus for long-term job creation. The Chicago area's industrial construction stands at roughly 8.7M SF these days, with 5.2M SF for build-to-suits and the remaining for spec space and additions, Larry tells us. Cushman & Wakefield’s Sally Macoicz repped Silver Beauty in the deal, which was prompted by former tenant Graham Packaging’s consolidation of operations. The company occupied 350k SF at the complex and needed a tenant to sublease some of its space.