In addition to a 15-year lease, the economic feasibility of the project got another boost from a Cook County Class 6(b) abatement that results in a 55% property tax reduction over the next 12 years.
While terms were not disclosed, property records indicate the building and site were recently acquired for $6.9 million. Coincidentally, that was the cost of Seefried Properties' joint venture with AMB Property Corp. for a 36,000-sf freight transfer facility at 400 E. Touhy Ave. in nearby Des Plaines for ABF Freight System.
"We put together an aggressive package that met the long-term needs of Eagle for their new Chicago hub," Craig Phillips, director of Seefried Properties' Chicago office, tells GlobeSt.com.
Chris Lydon of Lee & Associates' Chicago office represented Seefried Properties while Matt Minnis of Houston-based Moody Rambin Interests represented EGL Eagle Global Logistics.
While the 253,000-sf project may be the largest in a while, it likely will not be the last, Phillips predicts. "We expect to see a continued trend toward highest-and-best-use industrial redevelopment around O'Hare for two reasons," he says. "Freight handlers are starting to expand again and many buildings around the airport have outlived their service life."
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