LOS ANGELES – June 25, 2014 – A fund advised by CBRE Global Investors has acquired a Class A industrial portfolio located in the greater Chicago area.
Totaling 814,002 square feet, the portfolio consists of three high-quality core single-tenant industrial properties that are well-located in established, infill business parks with excellent access to Chicago’s interstate highway system. The portfolio, which is fully leased long-term to two investment-grade tenants, includes:
- 3901 Rock Creek Blvd. in the Rock Run Business Park in Joliet: The property, which is 464,400 square feet, features a 30’-35’ clear height, crossdocking, 2.5 percent office finish, on-site trailer parking, and 120 dock and 4 drive-in doors. While currently fully leased to one tenant, the building is also set up to accommodate multi-tenant occupancy. The current tenant recently executed a long-term lease renewal and is making an investment to upgrade its conveyor and racking system.
- 6325 Muirfield Drive in the Turnberry Lakes Business Park in Hanover Park: The 146,538 square foot building features a 24’ clear height, ESFR, T-5 lighting, single-load interior docks, 6.5 percent office finish, and rail service. The tenant, which relies on the rail service to produce packaging at the location, recently committed to a long-term renewal.
- 801 Bryn Mawr in Itasca: The 203,064 square foot building features a 25’ clear height, new roof, ESFR, T-5 lighting, HVAC, upgraded front-loading docks, 3.1 percent office finish, on-site trailer parking and rail service with 6 dedicated rail docks. The tenant, which is also the tenant at the Hanover Park property, recently committed to a long-term lease at this location with the intent of expanding warehousing and production capacity. The property’s rail service was critical to the tenant’s commitment to the property.
These properties are located in Will and DuPage Counties, which have a significantly lower real estate tax load as compared to nearby Cook County. Additionally, the Hanover Park and Itasca buildings have immediate access to the Elgin-O’Hare Expressway, which is undergoing significant improvements and expansion that will enhance accessibility and improve the overall location of these assets.
“Chicago is a primary industrial market in the Midwest with strong demand drivers and a very deep tenant base,” said Kim Hourihan, Senior Managing Director and Portfolio Manager. “This portfolio is a strategic core investment that provides further product type diversification and a secure income stream that is consistent with our long-term objectives. We are pleased to have such a great opportunity to invest in this market.”
About CBRE Global Investors
CBRE Global Investors is a global real estate investment management firm with $90.2 billion in assets under management* as of March 31, 2014. The firm sponsors investment programs across the risk/return spectrum for investors worldwide.
CBRE Global Investors is an independently operated affiliate of CBRE Group, Inc. (NYSE:CBG). It harnesses the research, investment sourcing and other resources of the world’s premier, full-service commercial real estate services and investment company for the benefit of its investors. CBRE has approximately 44,000 employees (excluding affiliates) in more than 350 offices (excluding affiliates) worldwide. For more information about CBRE Global Investors, please visit www.cbreglobalinvestors.com
*Assets under management (AUM) refers to fair market value of real estate-related assets with respect to which CBRE Global Investors provides, on a global basis, oversight, investment management services and other advice, and which generally consist of properties and real estate-related loans; securities portfolios; and investments in operating companies, joint ventures and in private real estate funds under its fund of funds program. This AUM is intended principally to reflect the extent of CBRE Global Investors’ presence in the global real estate market, and its calculation of AUM may differ from the calculations of other asset managers.