Teachers Union Renews Lease at Merchandise Mart

CHICAGO-The Chicago Teachers Union has renewed its lease at the Merchandise Mart, signing a 41,598-sf deal at the 3.4-million-sf property. The union, which represents 35,000 teachers and school system employees, hired Equis Corp. to explore possible relocations but decided to stay at Paramus, NJ-based Vornado Realty Trust’s River North property, which includes 1.1 million sf of office space.

Although terms were not disclosed, available space at the Merchandise Mart, which is 97% occupied, is on the market at $25 per sf. While economics played a part in the renewal, the Merchandise Mart’s accessibility to public transportation–a Chicago Transit Authority elevated station is at the east door–also was a factor in the union’s decision, according to brokers involved.

“We were able to effectively capitalize on the current market to render a very economically favorable deal for the Chicago Teachers Union,” says Equis Corp. vice president Joe Zona, who represented the union along with senior vice president Kevin Duckler.