chi-Crossroads_rendering_resized Crossroads 55, a new spec in Channahon, IL, has bothmore than one million SF and 40' clear ceilings.

CHICAGO—After several years of declining vacancy, rising rental rates, andrecord-breaking construction levels, the Chicagoregion's industrial sector might be ready for a temporary pause.The latest statistics released by Newmark KnightFrank show a market that has slowed, but one with enoughunderlying strength to possibly jumpstart leasing activity later in2018.

Vacancy increased for the second quarter in a row and now standsat 8.5%, a rise of 40 bps. NKF also recorded 615,000 square feet ofpositive absorption in the fourth quarter, which was the first timesince 2011 that quarterly absorption failed to hit one millionsquare feet. But NKF experts say a modest slowdown at this point inthe cycle may not be unnatural.

Continue Reading for Free

Register and gain access to:

  • Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Brian J. Rogal

Brian J. Rogal is a Chicago-based freelance writer with years of experience as an investigative reporter and editor, most notably at The Chicago Reporter, where he concentrated on housing issues. He also has written extensively on alternative energy and the payments card industry for national trade publications.