How to Navigate Leasing in a New Development


How to Navigate Leasing in a New Development

When leasing a new office space, it’s easy to look at properties that already exist, but there is an entire market of new or partially built developments that have potential to be amazing office space, if you plan accordingly. In order to navigate leasing in a new development, follow our steps for success.

Understand When Delivery Will Be and Plan Accordingly

Delivery dates can be a moving target and it’s important to nail down a date that’s as precise as possible. If you don’t have a precise date, you could end up without an office space, which could be detrimental to business. Always have a backup sublease, option to go month-to-month in your current space, or potential space on deck to ensure you have a place to continue business.

Make Sure to Have Contingencies in Place

This is important just in case things aren’t ready, aren’t working or weren’t constructed properly. Make sure your new landlord will handle a punch list of items for completion. As a tenant, it’s vital to work with a broker that can review and request contingencies in your lease to protect your rights.

Make Sure Your Budget Can Afford It

Typically new office spaces are more expensive than existing space. That’s why it’s important to understand all of the costs that are associated with leasing in a new development. From calculating costs for a potential sublease to taking on the extra costs of moving into a new development, make sure to have additional money tucked away in case the leasing process doesn’t go 100% as planned.

Ensure You Can Get Growth Rights

As your company grows, your office space will need to follow suit. This is where growth rights come in. Finding this extra space can be especially tough for smaller businesses in new developments, but working with an experienced broker can ensure that your company will be able to expand when the time comes.

Make Sure the Building has All COOs

Nothing can derail a new office move-in than the building not being up to code. Save you and your team the hassle of a delayed move-in date, and make it a point to ask your landlord to show you the necessary certifications of occupancy.

Navigating leasing in a new development can be a great opportunity for business owners as long as the proper research and precautionary measures are taken. The best way to ensure a successful lease is by working with a qualified broker to make the leasing process as smooth as possible.

Pre-Listed New Retail Space Available in Skokie (Off Market)


E&M Strategic Development Skokie Property

 

Description: Here is an opportunity to lease in the base of the new Homewood Suites Hotel in Skokie on the prominent corner of Oakton & Niles. The space is divisible to possibly 2 – ~5,000sf restaurants and a 2,130 retail use. It’s adjacent to a new residential development site with plans to build 92 loft style dwellings.

Expected delivery date: Summer/Fall 2020

Size: 12,150sf

Demographics

2018 total Population:

1 mile – 25,796

3 mile – 159,591

5 mile – 640,941

Median HH income:

1 mile – $63k

3 mile – $78k

5 mile – $69k

Average age:

1 mile – 41

3 mile – 42

5 mile – 39

Traffic: between 9,000 – 16,000 cars a day

Location: Oakton & Niles Avenue, Skokie, IL 60077

 

 

Executive Networking with Tenant Advisory Group


Every month, Tenant Advisory Group hosts an Executives Luncheon to provide an opportunity for Chicago business leaders to build new, meaningful connections and discuss topics relevant to running a business.

During May’s Executives Luncheon, attendees were prompted with two questions: “What’s the toughest part of running your business and how do you manage through it?” Here are a few of the lessons shared in response:

Joe Blandford, President, Greatline Communications- The hardest thing was to figure out how to be more demanding of people and be a stronger leader. Be bold in asking for what you want. Hoping that other people will know exactly what to do never works.

Phillip Barreda, Executive VP, CMSDC- It’s all about relationships at the end of the day. Not about selling.

Erryn Cobb, CEO & Founder, Fetch IMC- If it’s not a process, it’s a problem.

GUEST LIST:

Dawn Hershik, President, Hershik Enterprises

Jim Lencioni, President, Aria Group

Jonathan Rothstein, Senior VP, MB Bank

Ani Rangarajan, Co Founder & COO, Realync

Tim Schumm, Founder & President, Lucas James Talent Partners

Joe Blandford, President, Greatline Communications

Morrie Elstien, Founder & CEO, MorrieConnects

Phillip Barreda, Executive VP, CMSDC

Paola Meinzer, Marketing Director, Manning Silverman

Michael Favia, Managing Partner, Michael Favia Law

Christopher Gandy, Founder, Midwest legacy Group

Erryn Cobb, CEO & Founder, Fetch IMC

Up-And-Coming Chicago Neighborhood Guide


Class commercial building

Move over Fulton Market, we have some new players ready to take the spotlight. The Southwest Loop, South Loop and Old Town are hot with activity and ready to make their mark. Check out what makes these three contenders a dream for investors, commuters and brokers alike.

Southwest Loop:

It’s no secret that Chicago’s loop is making big moves in commercial real estate. But contrary to past developments, there is a small sleepy corner of the loop making a name for itself. Billions of dollars are being poured into this corner of the loop from projects such as The 78 megadevelopment which boasts a $5 billion dollar price tag, a new red line stop and three new roadways. Not to mention the complete rebuild of the Old Main Post Office and renovations happening in the Willis Tower. With all of this new activity, it’s projected that major players and their thousands of employees will soon find their place in this up-and-coming corridor.

South Loop:

This isn’t South Loop’s first time making its name on CRE broker’s lists everywhere. Around 2015 the South Loop was the “it” neighborhood of Chicago, and while it has managed to continue growth over the years, other neighborhoods like Fulton Market have taken over the spotlight. With potential developments such as the proposed mixed-use development near Soldier Field, Tenant Advisory Group predicts that 2020 will be the year that South Loop sees a resurgence in commercial real estate development, especially in the wake of the aforementioned Southwest Loop Corridor boom.

Old Town:

The new is being brought to Old Town. Known for its rich history and being home to Second City, Old Town has a historical charm that can’t be beat. But it’s not just the existing developments that make this classic Chicago neighborhood part of our up-and-coming areas, it’s the new developments that seem to keep popping up. Office spaces are finding their home in Old Town as well as a new multi-step development with three highrises: the Old Town Park Phase 2. This development is the second highrise in a three-step plan that will eventually hold around 500 residents, a parking garage and new commercial space.

A commonality between some of these projects is a focus on enhancing not only the surrounding areas, but also the accessibility, efficiency and ease of public transportation. It seems that in the coming years commuters will find enhanced public transportation and an easier commute. Which developments are you most excited to see?

Office Space Available in River North – 33 W. Grand/515 N. Dearborn


Office Space Downtown

 

Description: Here is a great full floor tenant opportunity! The space currently features a mix of existing perimeter offices and open areas for workstations. The landlord will contribute a TI package to modify and refresh the space to a qualified tenant. The elevators, corridors and lobby are currently being upgraded. There is Comcast Fiber Internet available in building as well as a new tenant lounge. This space is less than 2 blocks from the blue, brown, green, pink and orange line trains.

Size:
4,000 – 8,400sf – 5th floor
4,000 – 8,400sf – 2nd floor
16,800 sf total available space
$29.50/sf MG

 

Demographics:
Population: 400,694
Households: 215,890
Average Age: 36.40
Median HH Income: $93,934
Daytime Employees: 810,832
Population Growth ’19-’24: 3.4%
Household Growth ’19-’24: 3.3%

 

Location:33 West Grand Avenue, Chicago, IL/ 515 North Dearborn Street, Chicago, IL

Retail Space Available in River North – 33 W. Grand/515 N. Dearborn


Office Space Downtown

 

Description: Prime Corner retail space in the heart of River North. This is a great opportunity for a restaurant, bar, coffee shop, etc. with lots of natural light and a ton of foot traffic. It is also less than 2 blocks from the blue, brown, green, pink and orange line trains.

Size:
2,700sf

 

Demographics:
Population: 136,118
Households: 83,751
Average Age: 37.80
Median HH Income: $98,991
Daytime Employees: 535,558
Population Growth ’19-’24: 6.5%
Household Growth ’19-’24: 6.2%

 

Location:33 West Grand Avenue, Chicago, IL/ 515 North Dearborn Street, Chicago, IL