Venture One Closes on 2 MSF Chicago Industrial Project
Venture One Real Estate has closed on VenturePark65, an industrial build-to-suit project encompassing 2 million square feet in Crown Point, Ind. Lee & Associates will lead the marketing efforts.
Hallmark Construction Co., together with Venture One, requested a zoning modification in January. Lake County Council unanimously approved the motion in March. Additionally, the development will benefit from a 50 percent tax abatement for 10 years.
VenturePark65 may take on two forms. The conceptual design envisions either a 2 million-square-foot single-facility plan or a two-building layout with the structures slated to measure 1 million square feet and 859,940 square feet. Across both plans, the buildings would have 40-foot clear heights and four drive-in doors.
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Located on roughly 137 acres at the intersection of 101st Avenue and Interstate 65, VenturePark65’s site is more than 47 miles southeast of downtown Chicago and approximately 20 miles from the Port of Indiana, as well as some 45 miles from the Midway Airport.
Lee & Associates Principal Brian Vanosky and Executive Vice President Michael O’Leary will lead VenturePark65’s marketing efforts.
In September, Venture One partnered with DRA Advisors to purchase a 718,709-square-foot, fully leased industrial asset in Monee, Ill., just 28 miles from VenturePark65’s site. Venture One’s acquisition fund, VK Industrial VI closed the deal. Kovitz Investment Group, along with Venture One, co-sponsored the fund. Additionally, the duo co-sponsored VK Industrial VII, utilized in the acquisition of a 421,638-square-foot industrial portfolio throughout the Windy City.
Chicagoland’s industrial pipeline shrinks
At the end of September, metro Chicago’s industrial pipeline included 11 million square feet under construction. Of these, 5.7 million square feet were in build-to-suit projects, according to a report by Cushman & Wakefield. The pipeline shrunk 42.7 percent year-over-year.
During the third quarter, developers broke ground on 16 industrial projects throughout the Windy City, while last year 46 developments were added to the pipeline during the same interval, the report shows.
In terms of industrial completions, Chicago had 10.3 million square feet added to its inventory during the first nine months of the year, a 52.9 percent decrease year-over-year, the same source reveals. However, build-to-suit deliveries rose 18.2 percent year-over-year, clocking in at 2.7 million square feet year-to-date through September.
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