In the far north suburbs, the average asking net lease rate has held firm from the first quarter at $5.58 per sf, the highest among the submarkets, according to HSA Commercial Real Estate's second-quarter market report. Meanwhile, the firm reports nearly a 10% decline in asking net lease rates on the South Side of Chicago to $3.69 per sf, while a 7% slide in Cook County's northwest suburbs has dropped the average to $4.40 per sf.
Grubb & Ellis' second-quarter report found less dramatic declines overall. Warehouse and distribution space is going for an average of $4.24 per sf across the market, according to Grubb & Ellis, while Cushman & Wakefield reports $4.26 per sf as the average for that product type. Research and development/flex space has seen a 2% decline to $8.80 per sf in asking net lease rates, according to Grubb & Ellis. Cushman & Wakefield also pegs average asking net lease rates for manufacturing space at $3.96 per sf.
The three firms differ on the overall vacancy rate, partly because of varying definitions of where market's boundaries end. Cushman & Wakefield pegs is at 10.1%, ranging from 5.9% in McHenry County to 17.3% in DeKalb County. HSA Commercial says vacancy in Lake County is 7.68%, while northwest Cook County is saddled with a 13.9% rate. Grubb & Ellis counters with a 7.0% vacancy rate in the far north suburbs but reports a 30.2% rate in northwest Indiana.
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