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By Brandi Smith
Retail development and investment in the Chicago area are undergoing significant changes as developers, investors and retailers adapt to evolving market demands. While certain urban areas like the Loop face persistent challenges with high vacancy rates, suburban markets and neighborhood shopping districts continue to draw attention, buoyed by increasing consumer interest in local and experiential retail.
“Every site is evaluated independently,” said Richard Tucker, CEO of Tucker Development. “Our Fulton Market redevelopment worked out very well, now fully
leased. Certain sites make more sense for retail than others.”
Retail vacancy rates in Chicago’s Loop have continued to rise, hitting over 30% in 2023, the highest in more than two decades. However, other parts of the city and suburbs are faring better, thanks in part to strategic mixed-use developments and increased interest in local shopping experiences. Tucker’s approach to mixed-use properties, combining retail with residential and office space, has helped counter some of the challenges faced by traditional retail spaces.
“Densely populated areas, with moderate to good incomes, usually provide opportunities,” he said. “The key is to determine the scope and mix of the retail.”
National retailers are also becoming more selective in their site choices, prioritizing prime locations in high-traffic areas.
“If a location is not considered prime, they are often electing to pass on it rather than push forward with a non-ideal site,” said Danny Jacobson, Senior Vice President at CBRE. RETAIL (continued on page 18)
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CHICAGO RETAIL MARKET SEES STRATEGIC GROWTH AS DEVELOPERS ADAPT TO CHANGING TRENDS Retail development and investment in the Chicago area are undergoing significant changes as developers, investors and retailers adapt to evolving market demands.
DEVELOPMENT THRIVES ALONG ILLINOIS’ I-80 CORRIDOR
The I-80 corridor in Illinois, a vital artery for logistics and industrial activity, is experiencing a boom in development fueled by significant infrastructure improvements.
SIGNS OF RECOVERY IN SUBURBAN CHICAGO OFFICE MARKET AS LEASING ACTIVITY INCREASES
The suburban Chicago office market, while facing challenges, is beginning to show signs of recovery with experts noting increased leasing activity and an ongoing focus on high-quality, well-capitalized properties.
C-PACE IS ENERGIZING ILLINOIS DEVELOPMENT AND UNLOCKING LOWINTEREST LOANS FOR ECO-FRIENDLY PROPERTY UPGRADES
The momentum behind decarbonization has never been more encouraging. We’ve seen increased local, state, and federal ambition with programs like the U.S. Department of Energy’s Decarbonization Blueprint and the State of Illinois’ Priority Climate Action Plan that emphasize the need to green the building sector.
SUBURBAN CHICAGO OFFICE MARKET EVOLVING DIFFERENTLY FROM CBD
The downtown and suburban Chicago office markets are evolving differently, and property managers serving both must understand the nuances of each in order to navigate today’s fast-changing conditions, says Angela Burnett, LEED AP, of Bradford Allen, a national full-service real estate firm.
BRIGHT SPOTS IN THE OFFICE CONSTRUCTION MARKET IN CHICAGO
The office industry in Chicago is still experiencing changes as vacancy rates struggle to settle after the disruptions of 2020. Amid the ongoing recovery, transactions are still taking place. However, tenants and their brokers are more inclined to take their time and seek the right deals that align with their long-term goals.
TURF TALK: COMMERCIAL LANDSCAPING & SNOW REMOVAL STRATEGIES
6 Reasons Why Property Managers Should Sign Snow Contracts Early
PEOPLE ON THE MOVE The latest promotions, milestones and achievements in the world of commercial real estate
IREJ FUTURE LEADERS: KATRINA DOUGHERTY Dougherty, has become a key player at the Chicago office of Bradford Allen
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By Brandi Smith
The I-80 corridor in Illinois, a vital artery for logistics and industrial activity, is experiencing a boom in development fueled by significant infrastructure improvements. With projects like the Houbolt Road extension in Joliet, the region is positioning itself as a prime destination for industrial investments. Experts in the field are optimistic about the opportunities these changes will bring, not only for the logistics industry but also for the local economy and workforce.
“Prior to the Houbolt Road Extension project, truck traffic had been a major issue on Route 53 south of I-80,” said Matthew Maul, an industrial broker at Caton Commercial. “Upon completion, the flow of truck traffic has improved dramatically now that you have additional access to the intermodal through Houbolt Road.”
The Houbolt Road extension, part of the Rebuild Illinois capital infrastructure plan, is designed to modernize access to key logistics hubs like the CenterPoint Intermodal Center (CIC). The extension includes a toll bridge over the Des Plaines River and a diverging diamond interchange that alleviates congestion and enhances safety for thousands of drivers daily.
“The enhancements made in the I-80 corridor improve road conditions and safety for the region,” said Dan Leahy, executive vice president and partner at NAI Hiffman. “The Houbolt Road Extension provides a more direct path for trucks and cars to access I-80 from the CenterPoint Intermodal Center.”
Leahy emphasized the importance of this development in improving transportation efficiency, noting that the new toll bridge supports 20,000 trucks passing through CIC daily and reduces the carbon footprint by more than 100 million pounds annually. Additionally, it diverts truck traffic from local roads, including Route 53 and Route 6, making the commute safer for area residents and workers alike.
As Joliet grows as a logistics hub, experts like Maul and Leahy believe the region is poised for continued industrial development, particularly along the I-80 corridor. The completion of the Houbolt Road project is expected to drive demand for industrial properties, with new leasing and sales opportunities emerging.
“There are thousands of acres just south of the CIC that we believe will become available for industrial development in the next three to five years,” Maul said. “We see the sprawl far beyond Elwood to towns such as Wilmington and Morris, where we are already seeing 1-million-square-foot facilities being delivered at a rapid pace.”
Between January 2023 and July 2024, more than 850 qualifying projects were tracked along I-80, with industries ranging from logistics to data centers capitalizing on the region’s strategic location and improved infrastructure. As demand for industrial space increases, the I-80 corridor’s proximity to multi-modes of transportation is becoming a key factor in site selection for businesses.
“We’ve been educating customers for more than 20 years on the advantages of co-locating
at the CenterPoint Intermodal Center,” said Leahy, who noted that reduced drayage costs and proximity to Union Pacific and BNSF rail yards provide businesses with a hedge against rising fuel costs while supporting sustainability goals through lower CO2 emissions. “Access to quality skilled labor and proximity to transportation are high priorities for companies as they consider multi-state distribution locations.”
As Illinois continues to attract industrial and logistics companies, the market for industrial properties is becoming increasingly competitive. Maul pointed out that Joliet’s zoning efforts have caused some delays in greenfield site development, but these challenges are expected to clear up once the city’s comprehensive plan is complete.
“The current market for I-1 and I-2 zoned land in Joliet is scarce and demand remains high, causing steady price increases,” Maul said. “We are advising our clients to act fast when opportunities arise and to look farther west along I-80 towards Minooka, where we see tremendous growth for the future.”
Both Maul and Leahy agreed that the long-term benefits of the infrastructure improvements will have a positive impact on local economic development. In addition to improving transportation efficiency and reducing emissions, the expansion of intermodal facilities in Joliet and Elwood is expected to generate more jobs and boost the region’s industrial market.
“It’s an exciting time for the industrial real estate market and its participants,” Maul said. “We see tremendous growth in this area and with new technologies like automation and AI, industrial development is being revolutionized.”
By Brandi Smith
The suburban Chicago office market, while facing challenges, is beginning to show signs of recovery with experts noting increased leasing activity and an ongoing focus on high-quality, well-capitalized properties. Though vacancy rates remain elevated, landlords and developers who invest in building improvements and cater to evolving tenant demands are seeing positive momentum, particularly in Class-A and move-in-ready spaces.
Both Steve Chrastka, Executive Vice President at NAI Hiffman, and Jonathon Connor, Senior Vice President with Colliers’ Chicago Suburban Office Advisory Group, emphasized the importance of creating appealing environments for tenants.
“The landlords that are able to free up capital to proactively build move-in-ready spec suites
“Well-located, high-quality, highly amenitized assets with landlords that are financially capable of transacting are seeing high demand.”
that are furnished and improving common areas are the ones seeing leasing activity,” Chrastka explained.
“Well-located, high-quality, highly amenitized assets with landlords that are financially capa-
ble of transacting are seeing high demand,” added Connor.
According to JLL’s Q3 2024 report, the Chicago suburban market saw positive net absorption of 144,000 square feet, breaking
a three-quarter streak of negative absorption. Sublease availability declined by 6% quarter-over-quarter, signaling a slight improvement in the office market. Large relocations played a significant role in the absorption, with Class A properties gaining while Class
B and C buildings continued to struggle. Wheels, Inc.’s 200,000-square-foot move to Zurich’s sublease space in Schaumburg was a major driver of positive absorption. The company consolidated its operations from Des Plaines and Bannockburn, upgrading to a higher-quality office space in the process.
This trend toward better-quality space is reflective of broader tenant preferences. Both Chrastka and Connor highlighted the importance of tenant experiences in influencing leasing decisions. Chrastka pointed out that landlords who invest in improvements to parking lots, lighting, flooring, and other common areas are more successful in attracting tenants.
“The experience a tenant has when getting out of their car in the parking lot to making their way to their desk is becoming more and more
critical in the decision-making process,” he said. “The news stories over the last year have painted a grim picture for the office market. Tenants are educated on this and can learn quickly if a landlord is not investing in their building or if they will have the ability to make improvements to a space just by walking the interior.”
Tenant preferences are also shifting toward smaller, move-in-ready spaces, particularly those between 1,000 and 10,000 square feet. Bradford Allen’s latest report shows that the vacancy rate for these spaces is just 6% and nearly 30% of all space leased in 2023 was move-in-ready compared to just 11% in 2019.
“Tenants below 5,000 square feet don’t typically plan their real estate decision more than six months out,” Chrastka said, highlighting
“We were relatively encouraged by the amount of activity we’re seeing, and we’re hopeful we’ll get more large deals executed in the fourth quarter.”
the advantage of having spaces ready for immediate occupancy.
Leasing activity in the suburban Chicago office market reached over 3 million square feet year-to-date in 2024, slightly surpassing the levels seen in 2023. Medline Industries’ 200,000-square-foot lease at the Astella Pharmaceuticals campus in Northbrook was the largest lease signed in Q3. This deal stands out as Medline is also expanding its downtown Chicago office footprint, defying the trend of suburban downsizing.
Looking ahead, Connor said he’s “cautiously optimistic” about the future.
“We were relatively encouraged by the amount of activity we’re seeing, and we’re hopeful we’ll
get more large deals executed in the fourth quarter,” he said.
JLL’s report also forecasts continued positive momentum into 2025, with more than 2.7 million square feet of active tenant requirements currently in the market. Redevelopment projects are also expected to reduce the overall suburban office inventory as older properties are repurposed for residential and data center projects. Meadows Office Center I, for example, was recently sold for $8 million to Stotan Industrial, a developer planning to repurpose the property.
Chrastka summed up the path forward, noting that landlords who invest in building improvements and offer attractive amenities will continue to capture leasing activity.
By Tricia Baker
The momentum behind decarbonization has never been more encouraging. We’ve seen increased local, state, and federal ambition with programs like the U.S. Department of Energy’s Decarbonization Blueprint and the State of Illinois’ Priority Climate Action Plan that emphasize the need to green the building sector. At the same time, we’ve seen more and more significant climate-related events, with Hurricane Milton being the most recent in this year’s above-average hurricane season. And, especially in the real estate sector, we’ve seen the rise of decarbonization through electrification, building-grid integrations, and more energy-efficiency infrastructure implementations. However, for many commercial real estate developers and owners, being cost-conscious often continues to outweigh the benefits of being climate-conscious.
For decades, building owners have largely had to decide between being eco-friendly and cost-conscious. The cost of installing energy-efficient systems and buildings with sustainable materials has been considered higher than that of standard building materials. But today, there are options for implementing building improvements for energy efficiency, water conservation, renewable energy generation, and resiliency enhancements that make both climate and financial sense. The price of green building and technology continues to drop, and with that, operational costs, especially those that conserve and use energy resources more efficiently, are lowering total costs. And in Illinois, local governments and developers have worked side by side to implement programs and building designs that set them apart as a leader in decarbonizing the commercial real estate sector.
“Today, there are options for implementing building improvements for energy efficiency, water conservation, renewable energy generation, and resiliency enhancements that make both climate and financial sense.”
According to the U.S. Department of Energy, U.S. commercial buildings account for nearly 40 percent of energy consumed and more than 30 percent of greenhouse gas emissions. In order to combat these staggering numbers and bring these percentages closer to net zero, many policymakers have created Building Performance Standards (BPS): a set of local climate commitments that establish financial incentives to encourage developers and building owners to implement carbon-combative systems and technologies into their designs - for both existing and new projects.
Most BPS benchmarks are based on how they meet Energy Use Intensity metrics (EUI). According to Energy Star, EUI is calculated by dividing the total energy consumed by the building in one year (measured in kBtu or GJ) by the total gross floor area of the building (measured in square feet or square meters) - a low EUI generally signifies good energy performance. With the program beginning in 2024, most of these initial initiatives are written with the goal of building owners achieving low EUI scores by 2030 and even steeper requirements to be met by 2050. Chicago, Evanston, and Oak Park are 3 of the many cities across the U.S. to implement BPS, setting the state apart as a leader in achieving BPS benchmarks across the country.
The Financials of Achieving a Lower-Carbon Future
There are two questions that arise when achieving a lower-carbon future for Illinois building stock:
1. How do we accurately measure progress and success?
2. Is it financially reasonable for buildings to achieve climate goals and milestones?
BPS answers the first question and sets clear benchmarks and goals for how to reduce carbon emissions and increase energy efficiency, but it does not fully answer the second question.
The lending markets have not been kind to building owners in recent years. High interest rates plague traditional CRE lending through banks and have led to increased delinquency rates. In turn, developers are facing much more significant total loan costs than they were only a few years ago. Today, Illinois developers and building owners can solve for how they bring the cost of capital down while bringing up building performance with Commercial Property Assessed Clean Energy (C-PACE) lending.
As defined by the U.S. DOE’s Better Buildings Initiative, C-PACE is a financing structure in which building owners borrow money for energy efficiency, renewable energy, or other projects and make repayments via an assessment on their property tax bill. C-PACE provides unique advantages for developers such as: transferability between owners, financial incentives, and fixed-rate, low-cost financing over longer-term periods.
C-PACE financing is available through private lenders and government programs, giving building owners multiple options for finding the best financing and compliance path for their development or redevelopment. With the recent shift in policy and action set in place by BPS and the Decarbonization Blueprint, there are newer, more powerful financing paths that developers can take advantage of to maximize their returns.
The CIRRUS Low Carbon program is the industry’s only private financial product that offers lower rates when renovations meet a straightforward and practical lower carbon or net zero design specification. Programs such as LEED (Leadership in Energy and Environmental Design) and Energy Star have been around for many years. They are easily accessible, and highly recognizable certifications. The CIRRUS program combines reduced financing rates with a green building certification. The lower interest rate and immediate capital boost paired with the long-term benefits of a CIRRUS-verified low-carbon building combine for a average 13:1
ratio of financial benefits compared to incremental costs to meet required efficiency. CIRRUS is a one-of-a-kind financial tool and one developer in Illinois has already demonstrated how powerful it can be.
Colman Yards - Rockford, IL
Colman Yards, formerly the Barber-Colman Campus, is a multi-building manufacturing site originally constructed in 1907. Today, developers are bringing new life to both the vacant complex and the city of Rockford. As they work to convert the site, the finished Colman Yards redevelopment will become a beautiful mixeduse site that features apartments, retail, and leisure hot spots. Part of this redevelopment is a multifamily component with over 180 apartments and 16,000 square feet of ground floor retail space, which is designed to align with the CIRRUS Low Carbon design specification. The design requirements qualified developer J. Jeffers & Co. for $11M in C-PACE financing, helping complete their capital stack to complete the ambitious project.
“CIRRUS Low Carbon verification for Colman Yards adds value to the development and reinforces its position as a catalytic project,” said Tyler Parbs, Vice President of Investments at J. Jeffers & Co. “Leveraging CIRRUS Low Carbon is an effective way to get great financing terms without adding unnecessary burden to the project.”
Colman Yards is just one of many examples of CRE projects seeking out C-PACE financing to maximize financial returns. With Illinois being one of the early adopters of BPS, communities can expect to see developments in the state leverage C-PACE financing options and become a leader in reaching BPS benchmarks that bring our country closer to a lower-carbon built future.
More and more cities, municipalities, and states will begin to implement carbon-reduction incentives as a reaction to the pressures of decarbonization mandates. Developers no longer have to choose between low-interest financing and the opportunity to get ahead on building greener with their commercial real estate projects. With C-PACE financing, savvy developers will be able to capture financing benefits while reducing operating costs with more efficient buildings, staying ahead of the curve and setting examples for how we can create a better future in Illinois real estate.
Tricia Baker is the Senior Vice President of Strategy and Impact at PACE Equity, leading strategic planning, marketing, and sustainability efforts for one of the nation’s most innovative C-PACE lenders.
By Angela Burnett, Bradford Allen
The downtown and suburban Chicago office markets are evolving differently, and property managers serving both must understand the nuances of each in order to navigate today’s fast-changing conditions, says Angela Burnett, LEED AP, of Bradford Allen, a national full-service real estate firm.
With more than 20 years of experience in mixed-use asset management, Burnett this year joined the firm as director of operations, overseeing its growing national portfolio of office properties. Today, it includes 4.5 million square feet of assets in Chicago; Nashville, Tenn.; Jacksonville, Fla.; Greenwich, Conn.; and Denver. In her new role, Burnett works with on-site property management teams to optimize day-to-day operations, execute capital improvement plans and, ultimately, enhance the tenant experience.
Prior to BA, she served as senior property manager at Chicago’s Willis Tower for 16
“I’ve seen far better day-to-day occupancy in the suburbs versus downtown, with more people in the suburbs coming to the office four to five days a week.”
years, overseeing an annual operating budget of approximately $115 million, 15 property management team members and nearly 200 security and maintenance personnel in the building.
Burnett recently offered some insights on the local office market from a property manager’s perspective, including how needs of suburban and CBD offices differ.
Q: What trends are you seeing in the suburban Chicago office market?
A: I’ve seen far better day-to-day occupancy in the suburbs versus downtown, with more people in the suburbs coming to the office four to five days a week. The office has become an additional space to visit in people’s daily routine, like going to the gym.
Part of that may be ease of commute for the C-suite. At Edens Corporate Center in Northbrook, adjacent to popular, well-heeled suburbs like Highland Park, Deerfield and Wilmette, 90% of the decision-makers among the tenants live within a 10-minute radius of the property, making it easy for them – and many of their employees – to get to the office. It’s worth a lot to some people to skip the commute from the suburbs to downtown, and this building reflects that – it’s currently 90% leased.
Q. What kinds of amenities are tenants gravitating to in the suburbs?
A: Food service is particularly important in suburban offices that are farther from restaurants, and it matters because food service may be the No. 1 driver of getting people to come to the office. A new or improved on-site food vendor provides a very high return on investment in the suburbs.
At our Tri State Lincolnshire property, we brought in new tenant café operator Quest Food Management Services in April 2024 to build a fresh, dynamic and interesting food service program. We have increased the variety of menu items, offered more fresh food choices and focused on specialized menus like Taco Tuesdays and grilling outside on the patio in summer months. Sales are up 30% over the prior operator.
Angela Burnett
In general, you need to understand where you are located and the makeup of tenants to figure out how to invest capital improvement dollars. One building may have a greater need for shared conference facilities than a fitness center; another may be the opposite.
Q: How did your time in property management at Willis Tower affect your approach today?
A: We’re incorporating some of the same amenities, services and engagement programming. We’re hosting blood drives and flu shots, summer sundae bars, fall caramel apple stations and holiday tenant appreciation events. We work to create a real sense of community in our buildings.
I’ve maintained the same focus on customer service at Bradford Allen’s properties that I had at Willis Tower. Tenants will enjoy and find value in coming to the office when you create a great environment for work.
Q: How has the property management business changed since you began your career?
A: The rise of remote work has impacted both recruiting and tenant retention. Property management is an onsite job. We have carefully sought out talented property managers for our team at Bradford Allen. They are committed to providing a great in-office experience for our tenants with a variety of services and amenities.
Q: What are the biggest misconceptions about the suburban office market?
A: Suburban properties may be smaller than downtown buildings, but we still see companies seeking an office that’s well run by a qualified management team for a high-quality tenant experience.
By Ramiro Trevino, Vice President of Construction, Urban Innovations
The office industry in Chicago is still experiencing changes as vacancy rates struggle to settle after the disruptions of 2020. Amid the ongoing recovery , transactions are still taking place. However, tenants and their brokers are more inclined to take their time and seek the right deals that align with their long-term goals. Numerous spaces and buildings are offering concessions and enhanced amenities to make their properties more attractive. In this environment, owners, property managers, and construction firms are shaping the future of office and mixed-use buildings in Chicago.
Several buildings in Chicago have changed ownership, leading to significant investments and revitalization. For instance, the Chicago Board of Trade (CBOT) building has undergone substantial improvements in an effort to reinvigorate this anchor financial district and attract new tenants. Opportunities for redevelopment are available, but finding them may require more effort. Difficulty in obtaining financing is making sourcing and starting these opportunities more challenging.
Many companies in Chicago have taken a more hybrid or flexible approach to work in the past few years, which has changed how much space they need and how they use it. Work-fromhome flexibility has also put pressure on more traditional workplaces who need employees in the office more often.
Many financial and legal firms aim to attract young talent and enhance their existing workplace culture. While attracting talent is crucial, fostering a workplace environment that encourages employees to return to office is equally important. Firms are seeking Class A spaces or upgrading their current ones. Tenants prioritize providing the best possible spaces and amenities for their employees.
For example, Urban Innovations recently built out a space for Consumers Credit Union where 25% of the total square footage was dedicated to amenities. In a 140,000-square-foot building, this included a state-of-the-art gym with locker rooms and showers, a full-service kitchen, a speakeasy café, a game lounge area, an outdoor patio, and more.
While the office outlook may be muddled for the near future, some recent positivity in Chicago has been the retail renaissance in some Chicago neighborhoods. Flagship stores are continually entering the market, with Fulton Market remaining a highly attractive location for retailers. New restaurants and wellness/spa services are opening up, highlighting the area’s
growth. Urban Innovations recently completed the Fjällräven flagship store in Fulton Market and the Ina Spa in River North. The boost these businesses provide to foot traffic may prove to help draw workers back to these neighborhoods as well. One factor that is a constant in commercial real estate is that urban populations are drawn to locations that offer a mix of activities – work, pleasure, and convenience. Urban Innovations is dedicated to contributing to these spaces through the construction and craftsmanship that elevate the well-being of those who inhabit them.
As Vice President of Construction, Ramiro leads the General Construction department at Urban Innovations. His team has completed multiple tenant improvements, capital improvements, adaptive reuse, residential developments, along with multiple retail spaces for his clients. Ramiro’s experience along with his team can handle any type of job large or small. Ramiro is a graduate of UIC School of Architecture and holds a master’s degree in BusinessAdministrationfromKrannertSchool ofManagementatPurdueUniversity.
By Tom Marsan
Tom Marsan is a certified snow professional who has been in the landscaping and snow removal industry for about two decades. He is an active member of ILCA and SIMA and is currently the general manager at Beverly Companies in Chicagoland
A recent study revealed that over 62% of property managers grapple with operational inefficiencies, while nearly half struggle to maximize revenue and profits. As winter approaches, these challenges become even more pronounced for Chicago property managers tasked with securing reliable snow removal services. Choosing the right snow removal company early can alleviate some of these pressures and ensure smoother operations throughout the season.
Here are six reasons why property managers should sign snow contracts early, meaning before October 1st at the latest.
Securing a reputable snow removal company early in the season is crucial. Especially in Chicago, the best companies tend to fill their schedules quickly, leaving latecomers scrambling for less reliable options. Early signing allows property managers ample time to thoroughly vet potential contractors.
Be sure to:
-Check references
-Verify current and adequate liability insurance
-Assess important aspects such as after-hours communication opportunities
Once these top companies are fully booked, securing their services becomes impossible, so acting early is essential if you want the best.
2. Guarantee the Right People and Equipment
Early contracts ensure that you reserve the best personnel and equipment for your property’s snow removal needs. Reliable snow removal services are often in high demand, and many companies may over-promise their capabilities. By signing early, you can secure a commitment that includes consistent and efficient service tailored to your property. This is particularly important for larger properties that require substantial resources. Ensuring that the best equipment and skilled workers are allocated to your site means better overall service and reliability.
Salt, calcium, brine, and magnesium are not in infinite supply. During peak winter months, these supplies can become scarce. This drives up costs and potentially leaves some properties without adequate coverage. By signing a snow contract early, you ensure that your property will have a guaranteed allocation of these crucial materials, which helps maintain safety and accessibility throughout the winter season.
4. Familiarity with Your Property
When snow removal workers are unfamiliar with a property, it can lead to inefficiencies and mistakes. Early contracting provides the
snow removal company with sufficient time to get a lay of the land. They can map out all service areas, train staff specifically for your property’s needs, and familiarize themselves with any unique challenges or requirements. This preparation is vital for ensuring that when the first snow falls, the service is seamless and effective. Knowing the specific areas that need attention, such as hidden walkways or tricky driveways, can make a significant difference in service quality.
5. Better Rates and Budgeting
Contracting snow removal services in advance often leads to more competitive rates. Contractors are more willing to negotiate and offer better deals during the off-season as they are eager to fill their schedules. This early engagement not only helps secure better pricing but also provides an opportunity to combine snow removal with other seasonal services, such as landscaping, under a single contract. This can simplify budgeting and
ensure a comprehensive approach to property maintenance, potentially leading to additional cost savings.
Engaging snow removal contractors before the snow season begins allows for a tailored approach to your property’s specific needs. Contractors can visit the site to provide accurate quotes and develop effective snow removal plans. Several factors need to be considered:
• Scope of Services: Understanding exactly what services are required ensures that all aspects of snow removal are covered.
• Equipment Needs: Identifying the types and numbers of vehicles and equipment necessary for efficient snow clearing.
• Manpower Allocation: Determining the appropriate staffing levels to handle your property’s snow removal effectively.
• Snow Hauling: Assessing whether snow needs to be hauled away and the logistics involved.
• De-icing Materials: Deciding on the types and quantities of de-icers needed to keep walkways and parking areas safe.
By working closely with contractors before the snow season, property managers can ensure their properties receive the most effective and tailored snow removal services. This proactive approach saves time, money, and reduces the likelihood of service disruptions during critical winter months.
Conclusion
Signing snow contracts early is a strategic move for property managers. It ensures access to the
best service providers, guarantees the availability of necessary equipment and supplies, allows for thorough property familiarization, secures better rates, and results in customized snow removal plans.
Taking these proactive steps not only enhances the safety and accessibility of the property but also provides peace of mind throughout the winter season. Don’t wait until the first snowflake falls—start planning now to secure the best possible snow removal services for your property.
He added that this trend is shaping competition for the best retail spaces, leading to rising rents in prime areas like the Gold Coast, where luxury brands and high-end retailers continue to compete for space. The Gold Coast and Magnificent Mile remain top destinations for luxury brands, which attract significant foot traffic and enhance the overall appeal of the retail environment.
“In street retail and submarkets like the Gold Coast, anchor tenants are not necessarily large footprint flagship stores but rather the presence of top brands,” Jacobson explained. “‘Anchors’ can also be restaurants and or hotels.”
Pop-up stores and experiential retail have become popular, offering consumers unique, localized shopping experiences. Glossier’s Chicago store, which opened in the Gold Coast in 2023, exemplifies how brands are catering to this demand by offering an inviting in-store experience that draws shoppers from both the city and surrounding areas.
In addition to the premium urban areas, Chicago’s suburban retail market has seen strong demand. For example, pop superstar
“We continue to find opportunities in mixed-use developments, predominantly in the Chicago suburbs,” Tucker said.
These projects are designed to meet the needs of suburban consumers, who are increasingly seeking retail spaces that offer
“In street retail and submarkets like the Gold Coast, anchor tenants are not necessarily large footprint flagship stores but rather the presence of top brands.”
a blend of convenience, entertainment and community engagement.
“We aim to provide our clients with the most comprehensive information possible to help them make informed decisions about their assets,” Jacobson said. “Since individual client goals vary, we ensure they are equipped with the latest market data and trends. We then discuss and tailor strategies that best align with their specific objectives,
enabling them to negotiate leases that support their long-term success.”
Flexibility and adaptability are critical as retail developers face the post-pandemic reality of fluctuating demand. While some areas continue to struggle, others are thriving, offering developers and investors a range of opportunities if they are willing to think creatively about site use and tenant mix.
The latest promotions, milestones and achievements in the world of commercial real estate
Essex Realty Group, a Chicago-based commercial real estate brokerage firm, promoted Mariano Mollo to director.
Mollo joined Essex in 2022 as an Associate after completing a summer internship with the Essex Suburban Team in 2021. He works alongside Brian Karmowski, Anthony Citriglia, Karla Galva, Jimmy Donahue, and William Crossen and has facilitated over $22 Million in transactions across 209 units throughout Chicago’s suburban markets.
Mollo attended the University of South Carolina, where he received his Bachelor of Science in Finance and Real Estate with a concentration in Business Analytics. Mariano will continue to specialize in providing advisory services for multifamily and mixed-use investment properties in Chicago’s western suburbs.
KTGY, a design firm focused on architecture, branding, interiors and planning, expanded its high-rise expertise with the hiring of Sam Luckino as part of the firm’s strategic growth plans.
He will partner with Craig Pryde, principal, to lead the studio and grow the firm’s team of high-rise designers in Chicago.
Luckino brings more than two decades of experience in shaping the built environment to his new role in KTGY’s Chicago architecture studio. After spending 13 years at Arquitectonica, where he served as principal and director of the firm’s New York office, he relocated to Chicago in 2018 with an initiative to expand Goettsch Partners’ domestic portfolio into urban multifamily high rise markets across the country.
As principal at KTGY, Luckino brings the highest caliber design and management practices to each new development and guides the team in developing innovative, design-driven solutions that help clients achieve their goals while elevating the role of built spaces in people’s lives.
Luckino is a member of the American Institute of Architects, NCARB Certified, is a LEED Accredited Professional, and a member of the Council on Tall Buildings and Urban Habitat, where he previously served as the City Representative for New York. His design leadership is reflected in projects across the globe, with his most recent notable works, Coppia in Chicago’s West Loop and Alcove in downtown Nashville, completed during his time at his previous firm.
Greenstone Partners, a Chicago-based commercial real estate brokerage firm, promoted Jordan Mutlack to Senior Director.
Multack joined Greenstone Partners in 2022 and has established himself as a top multifamily real estate broker in the Chicago market.
The firm also added Connor Sheedy as an Investment Sales Analyst after a successful internship this summer as a part of the Investment Sales Broker Development Program.
Multack is known for his market presence in many of the core neighborhoods of Chicago, including Logan Square, Wicker Park, and West Town.
Sheedy has been promoted from Investment Sales Analyst Intern to Investment Sales Analyst. A licensed real estate broker and 2023 graduate of Marquette University with experience in Property
Management, Sheedy joined Greenstone’s inaugural Broker Development Program intern cohort at an advanced stage.
Syska Hennessy Group, an international engineering firm, has appointed three new associate partners in its Chicago office: Jennifer Kuether, PE; Bill Kuzan, PE; and Drew Kuzan, PE, LEED AP. Bill is Drew’s father.
A licensed electrical engineer in 28 states, Jennifer Kuether has nearly 25 years of experience. Previously, she worked as a practice builder at Kimley-Horn, where she developed client relationships and managed mechanical, electrical, and plumbing engineering projects across a wide range of market sectors. She serves on the Illinois State Board of Professional Engineers and is involved in several professional organizations, including the International Facility Management Association.
Bill Kuzan has more than 43 years of experience in HVAC systems engineering in such sectors as pharma, hospitality, higher education, telecommunication, residential, commercial, aviation, and sports. Most recently, he served as an engineer executive at FE Moran, a commercial HVAC company in Northbrook. Earlier, he spent 28 years at Grumman/ Butkus Associates in Evanston. He is a member of the American Society of Heating, Refrigerating, and Air-Conditioning Engineers (ASHRAE) and the American Society of Plumbing Engineers.
Drew Kuzan is a mechanical engineer with more than 16 years of experience. His project portfolio includes infrastructure improvements, building renovations, and new construction in the higher education, commercial, and healthcare sectors. Previously, he served as a project manager at Grumman/Butkus Associates. He is a member of ASHRAE.
Chicago’s Crescent Cleaning Company added Rebecca Szarzynski to its growing sales team.
Starzynski has joined the Crescent team as its sales operations coordinator, and offers both administrative and client-focused support while maintaining an active presence in the industry.
Starzynski is a graduate of Loyola University Chicago, and sits on the DEI Committee for Professional Women in Construction.
As senior associate at the Chicago office of Bradford Allen, Katrina Dougherty regularly takes on a variety of tasks, including tracking tenants in the market, collaborating on promotional materials, assisting with showings, handling broker outreach and planning and organizing broker events.
Dougherty, then, has become a key player at Bradford Allen. This isn’t surprising: She made her mark, too, at Hines, where she spent four years as a tenant services coordinator before moving to Bradford Allen.
What steps has Dougherty taken to succeed in commercial real estate? And what are her goals for the future? Here’s some of what Dougherty had to say about her busy real estate career.
Tell us about your background. Where did you grow up? Where did you go to school?
My family moved to the northwest suburbs of Chicago from Orange County, California, when I was in grade school, and this has been home ever since. My educational journey took me to Lipscomb University in Nashville, Tennessee, where I studied communications and marketing. During my time in college, I engaged in a
industry and was a great opportunity to experience every part of the business, from accounting to operations to leasing. Over time, I discovered a passion for the leasing side of the business, which led me to transition into a brokerage role as a landlord representative at Bradford Allen.
Did you have a mentor who helped you get on your feet, or is there someone you turn to now for support?
Tom Irvine and Ja’Net Deason were instrumental in guiding me through my initial years in CRE at Hines, providing invaluable insights that shaped my understanding of the industry. At Bradford Allen, Andy DeMoss has been a pivotal mentor, generously sharing his time, knowledge and experience in leasing.
What does an average day at work look like?
In leasing, every day is different! An average day involves a mix of property tours, proposal drafting, broker relations, tenant interactions, lease negotiations, ownership calls and more. Additionally, I make it a priority to stay current with the Chicago market trends to provide well-informed leasing recommendations and ensure our clients are optimally positioned. The job is dynamic and thrilling, and I thoroughly enjoy the energy it brings.
“In this market, deals can sometimes drag. However, persistently pushing good deals forward day by day, and then, months later, witnessing incredible buildouts — along with happy tenants and owners — is an unparalleled feeling.”
What do you like most about your job?
What I find most rewarding is the deal-making aspect of my job. In this market, deals can sometimes drag, and it’s easy to lose perspective. However, persistently pushing good deals forward day by day, and then, months later, witnessing incredible buildouts — along with happy tenants and owners — is an unparalleled feeling. It’s incredibly motivating to see an asset thrive and to know that I played a part in that success. Our portfolio includes several
landmark buildings, and watching these iconic, historical assets successfully compete with new developments is particularly gratifying.
Looking to the future, what do you hope to achieve/work on that you haven’t already?
I hope to grow my skills each year; deepen relationships with existing clients, brokers and tenants; and build new ones. Recently, my role at the firm has shifted toward business development. I’m excited about this transition and
look forward to pursuing opportunities that will allow us to expand our portfolio.
How do you spend your time away from the office?
Outside of work, my priorities are faith, family and friends. I also enjoy traveling, discovering new spots in Chicago and staying active. I’m always eager to pick up new hobbies. Currently, I’m loving pickleball and sewing.
President Ryan Moen, SIOR Vice President
205 W Wacker, Ste 516
Chicago, IL 60606
P: 312.606.0966
Website: ampsre.com
Key Contacts: Kevin Halm, Managing Director, khalm@ampsre.com; Pete Kontos: Managing Director, pkontos@ampsre.com
Services Provided: AM-PS provides property management, project management, and brokerage services to owners and occupiers of office, retail, and industrial real estate.
Company Profile: AM-PS was born out of the desire to take the strategic mindset and processes of the renowned business restructuring firm Alvarez & Marsal and reframe them for the commercial real estate world. Our approach solves problems, improves performance, and unlocks value for our clients. Our work has positively impacted real estate and those who interact with our properties nationwide.
S74 W16853 Janesville Road
Muskego, WI 53150
P: 414.369.3511 | F: 414.435.0251
Website: outlookmgmt.com
Key Contact: Ray Balfanz, President/Partner, ray@outlookmgmt.com
Services Provided: Full service property and asset management services, financial analysis and reporting; budget preparation and expense reconciliations; lease administration; construction management; preventative maintenance and consulting services.
Company Profile: Outlook Management Group, LLC AMO provides comprehensive property and asset management services for all asset classes in multiple states and markets.
Notable Properties Managed: Washington Corners, Naperville, IL; Ironwood Office Park, Glendale, WI; Wood River Condominiums, West Bend, WI; Seven 10 West Luxury Apartments, Chicago, IL; MDJD Aesthetic MOB, Rockford, IL, Ascension Health MOB Milwaukee, WI; Henry Ford Health Systems Pharmacy Services Bldg. in Rochester Hills, MI; Henry Ford Medical Center in West Bloomfield, MI; Baptist Medical Center South, Montgomery, AL; and Lee Memorial Health Systems Building in Fort Myers, FL.
3 E. Huron St. Chicago, IL 60611
P: 872.267.2691
Website: spaceshifts.com
Key Contact: Delanie Prince, Operations Manager, info@spaceshifts.com
Services Provided: SpaceShifts is a platform for optimizing vacant workspaces, not subleasing. It enables the options of utilizing vacant workspaces, sharing staff overhead, and amenities, and helping businesses maximize their property and resources.
Company Profile: SpaceShifts is a unique platform connecting individuals seeking workspace with businesses having extra space to rent. Terms are flexible and arranged by the parties involved. The service is currently free. Sign up at SpaceShifts.com to explore this opportunity.
9550 W. Higgins Road, Suite 400 Rosemont, IL 60018
P: 847-374-9200 | F: 847-374-9222
Website: www.meridiandb.com
Key Contact: Paul Chuma, President; Howard Green, Executive Vice President
Services Provided: Meridian Design Build provides construction and design/build construction services on a national basis with a primary focus on industrial, office, medical office, retail and food and beverage work.
Company Profile: With a team of in-house professional project managers, Meridian has extensive experience coordinating the design and construction of new buildings, tenant improvements, and additions/renovations from 15,000 square feet to 1,000,000+ square feet. Meridian Design Build has been a Member of the U.S. Green Building Council since 2007.
Notable/Recent Projects: Venture Park 47, Huntley, IL - 729,800 sf speculative industrial facility for Venture One Real Estate. Lion Electric, Joliet, IL - 928,500 sf electric bus / medium duty truck assembly plant for Clarius Partners. Greenwood Truck Terminal, Greenwood, IN - 125 door truck terminal on 43 acres for Scannell Properties.
One Parkview Plaza, 9th Floor
Oakbrook Terrace, Illinois 60181
Key Contacts:
Dan Hanson-Illinois, dhanson@midamericagrp.com
Brad Lefkowitz-Michigan, blefkowitz@midamericagrp.com
Brandon O’ Connell-Minnesota, boconnell@midamericagrp.com
Jim Vaillancourt-Wisconsin, jvaillancourt@midamericagrp.com
Services Provided: Mid-America provides strategic consulting services that maximize net operating income, net cash flow, and accelerate property appreciation. We provide property and construction management, leasing, due diligence, and market analysis. Additionally, we offer MA Building Services, a self-performing porter and maintenance company offering our clients cost savings and improved accountability for related services.
Company Profile: Mid-America Real Estate is #1 in retail real estate services in the Midwest, with full service offices in Illinois, Michigan, Minnesota, and Wisconsin. Our exclusive focus on retail property, combined with cutting-edge technology and unsurpassed service, distinguishes Mid-America within the industry and provides clients with a competitive edge. The total consideration value of leasing and investment sales transactions facilitated in 2023 was $1.2 billion. Mid-America leases and manages more than 60 million square feet of retail space, and represents over 270 retailers and other tenants. For more information, visit www.midamericagrp. com
PRINCIPLE CONSTRUCTION CORP.
9450 West Bryn Mawr Ave., Suite 120 Rosemont, IL 60018
P: 847.615.1515 | F: 847.615.1598
Website: pccdb.com
Key Contacts: Mark L Augustyn, COO, maugustyn@pccdb.com, James A.. Brucato, President, jbrucato@pccdb.com
Services Provided: Principle specializes in commercial and industrial property and is committed to providing clients with the highest level of design/build construction services with an absolute dedication to each project.
Company Profile: Design/Build General Contractor established in 1999 specializing in the design and construction of Build-to-Suit, Speculative, Retail, Food Processing, Expansions/ Additions, Tenant Improvements, & Specialty Facilities. Principle also has extensive experience in interior improvements, site evaluation, due diligence, and value engineering.
Recently Completed Projects include:
• 282,588 SF dry-cleaning facility for Tailored Brands, at 2000 Deerpath Rd. in Aurora, IL.
• 31,200 SF facility for Alvil Trucking, at 2570 Millenium Dr. in Elk Grove Village, IL
• 6,200 SF Warehouse for Superfast Trucking, at 1001 Raddant Rd. in Batavia, IL
VICTOR CONSTRUCTION
2000 Center Dr., Suite East C219
Hoffman Estates, IL 60192
P: 847.392.6900
Website: victorconstruction.com
Key Contact: Zak Schuttler, President, ZakS@victorconstruction.com
Services Provided: Victor Construction Co., Inc. manages projects from ground-up site developments to interior buildouts, specializing in retail, industrial, and commercial markets. Company Profile: Victor Construction Co., Inc. remains a family-owned and operated General Contractor. Having been in business since 1954, our firm has extensive experience managing every aspect of interior construction for the corporate, manufacturing, industrial, and retail sectors. Notable/Recent Projects: Owens + Minor Distribution – 600K SqFt distribution facility that involved a full LED lighting upgrade, new HVLS fans, 200K SqFt section that required new cooling for medical distribution, an office renovation of 20K SqFt, and a new exterior employee pavilion.
ECONOMIC DEVELOPMENT CORPORATION OF MICHIGAN CITY
Two Cadence Park Plaza
Michigan City, IN 46360
P: 219.873.1211
Website: www.edcmc.com
Key Contacts: Clarence Hulse, Executive Director, chulse@edcmc.com
Karaline Cartagena Edwards, Economic Development Manager, kcedwards@edcmc.com Services/Demographic Info: Up-to-date inventory of commercial buildings, site selection and orientation tours.
Incentives: Tax-Increment Financing, Façade Improvement Grants, Property Tax Abatements, Enterprise Zones, Job Training Programs
Recent CRE Activity: Double Track Northwest Indiana: $1.6 Billion development reducing train travel to Chicago to 60 minutes; The Franklin at 11th St. Station: $100 Million Development with Residential & Retail Space; “You are Beautiful”/SoLa: $311 Million MixedUse Multi-Family Development with 235 boutique hotel rooms & 174 Luxury Condos; Burn ‘Em Brewing: $3 Million Expansion project with 30 new jobs.
MARQUETTE BANK
1628 W. Irving Park Road, Unit 1D
Chicago, IL 60613
P: 708-873-8639
Website: emarquettebank.com
Key Contacts: Bill Hinsberger, Executive Vice President, bhinsberger@emarquettebank.com; Patrick Tuohy, Senior Vice President, ptuohy@emarquettebank.com
Services Provided: Multifamily/apartment building lending for all Chicagoland. Fast, local decision making. Dedicated local servicing staff. Simple, no-hassle paperwork. Quick close. Flexible terms. All clients enjoy ZRent – an automated, hassle-free, no-cost way to collect monthly payments from tenants.
Company Profile: Marquette Bank has 20 branches, 2 loan offices and $2 billion in assets. Independently owned/operated since 1945. Offering clients full-service, banking, financing, insurance, trust and wealth management services.
WORSEK & VIHON, LLP
180 North LaSalle Street, Suite 3010 Chicago, IL 60601
P: 312.917.2307 P: 312.917.2312 | F: 312.596.6412
Website: wvproptax.com
Key Contacts: Francis W. O’Malley, Managing Partner fomalley@wvproptax.com; Jessica L. MacLean, Partner jmaclean@wvproptax.com
Services Provided: Worsek & Vihon, LLP represents tax payers in Illinois by limiting their property tax liabilities through ad valorem appeals. We have over 40 years of experience and can handle basic to the most complex assessment issues while offering the dependable, personalized attention our clients deserve. We have experience representing owners of all property types. In addition to filing thousands of appeals with the Cook County Assessor, we have been involved in numerous proceedings before various Boards of Review, the Illinois Property Tax Appeal Board, and the Circuit Court of Illinois, and have appeared before the Illinois Appellate and Supreme Courts.
Company Profile: Worsek & Vihon LLP, is a team of experienced attorneys singularly focused on real estate tax law. The firm is dedicated to minimizing property tax liabilities through strategic tax portfolio management, well-researched, creative appeal preparation and aggressive advocacy.
REINHART BOERNER VAN DEUREN S.C.
1000 N Water Street, Suite 1700 Milwaukee, WI 53202
P: 414.298.1000
Website: reinhartlaw.com
Key Contact: Joseph Shumow, Shareholder, jshumow@reinhartlaw.com
VILLAGE OF HUNTLEY
10987 Main Street
Huntley, IL 60142
P: 847.515.5268
Website: huntleyfirst.com, huntley.il.us
Key Contact: Melissa Stocker, Development Manager, mstocker@huntley.il.us
Services/Demographic Info: Huntley, a northwest suburban Illinois community of greater than 29,000 residents, is conveniently located at the crossroads of Interstate 90 and IL Route47. Proximity to the interstate and to international and cargo airports in Chicago and Rockford make Huntley an ideal location for businesses looking to escape the congestion of more populated areas while reaping the benefits of a Chicago market location. Village of Huntley staff provides comprehensive services including site selection assistance and demographic resources, visit huntleyfirst.com to start the search for your new home for business. Residential construction continues with three subdivisions actively building. Huntley is home for your business, and home to the right employees for your business.
Population In Primary Trade Area: 97,283
Incentives: TIF District, Fast Track permitting and development approval process
CRE Activity: Huntley is home to leaders in business. Join Weber, Northwestern Medicine, Amazon and many others that chose Huntley as their home for business. Hampton Inn recently opened in Huntley. Amazon has begun operations in two Huntley facilities. E-Logistics firm headquarters are underway. Speculative development is underway and available near the tollway. Multiple retail strip centers are in the planning and construction phases. With land available for custom-tailored facilities, businesses seeking sites recognize Huntley as a prime location for operations.
Services Provided: Reinhart is a full-service, business-oriented law firm that delivers innovative, value-added solutions for today’s most important real estate needs, including land use and zoning; tax incremental financing; tax credits; leasing; construction; and condemnation and eminent domain issues.
Company Profile: With the largest real estate practice in Wisconsin and offices throughout the Midwest and across the country, Reinhart’s attorneys offer clients customized real estate insight rooted in broad knowledge and deep experience to help you capitalize on opportunities no matter where you do business.
