DP Partners can begin infrastructure improvements on the property, also bounded by Cottage Grove Avenue and the Elgin, Joliet and Eastern Railroad tracks. The developers will then begin work on a 412,615-sf spec building, which could be ready during the third quarter. Space in the distribution warehouse, which could be expanded to 776,615 sf, already is being marketed at $3.05 per sf.

"Our approach allows the village to share in an increasing amount of incremental revenues as the development exceeds a base threshold investment return for DP Partners," says DP Partners executive vice president and chief operating officer Aaron H. Paris. He says village officials were focused on increasing jobs and tax revenue, as well as landing a project that attracts additional commercial development.

DP Partners, among industrial developers seeking to tap the new demand near the intersection of Interstate 88 and Interstate 39, is building LogistiCenter at Rochelle, a 300-acre industrial park. However, Paris notes his company's LogistiCenter at Sauk Village will be near five major intermodal yards, as well as within a few miles from I-80/90 and I-94/294 by Route 394. "Rail access is a major demand driver for the park," he says.

Grubb & Ellis senior vice presidents Michael J. Piscoran, SIOR and Randy Koch have been named exclusive leasing agents for LogistiCenter at Sauk Village along with DP Partners Midwest director of development Dennis L. Shaw, who is also overseeing the construction process.

It could be a long haul. Completion of the entire five million sf could take 20 years, says Sauk Village Mayor Roger G. Peckham. However, LogistiCenter at Sauk Village could bring an additional 2,000 jobs as well as $60 million in tax revenue, he adds. "We were also able to minimize the municipality's risk, which is inherent in all development projects, and to maximize the amount of incremental tax revenues that will be paid to the Sauk Village," Peckham says.

Palatine-based Harris Architects Inc. is designing the project and Deerfield-based KCC Group Design Build, Inc. is construction manager.

Instant Insights /

DP Partners Ready to Start $150M Industrial Park

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