The healthiest submarket is northern Cook and Lake counties, which checks in with a 17.1% vacancy rate. However, absorption was a negative 424,844 sf, worst among the submarkets, according to CB Richard Ellis. The worst submarket is the O'Hare area, where vacancy stands at 21.2% entering the third quarter.
The I-88 Corridor posted a 19.3% vacancy rate, according to CB Richard Ellis, but another report by Marcus & Millichap Real Estate Investment Brokerage Co. notes the area has seen the most sales activity outside Downtown. The Ondeo Nalco Co. building at 1601 W. Diehl Rd., Naperville, traded for $145 million, or $205 per sf, according to Marcus & Millichap. On the eastern end of the corridor, more than 900,000 sf has been moved in three deals, with Oak Brook Regency Towers ($66.5 million), 2 Lincoln Centre in Oakbrook Terrace ($60 million) and Highland Landmark IV in Downers Grove ($51.5 million) adding another $175 million to the submarket's sales volume.
However, Marcus & Millichap also adds median sales prices in the East/West Corridor is off 12%, blaming the decline in higher vacancy rates and sliding rents.
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