(Read more on the industrial market.)

MINOOKA, IL-Macy’s Inc., with corporate offices in Cincinnati and New York City, will move its Chicago distribution center to a newly constructed 850,000-sf, single-story facility at 600 Mid Point Rd. Macy’s is purchasing the facility and the 48.6-acre parcel it is located on from Opus North Corp., headquartered in Rosemont, IL. The acquisition price was not disclosed but a spokesman for Macy’s says the company will invest $50 million for the center, which includes the acquisition costs of the building and land in addition to the cost of equipment for the new facility. Representatives from Opus North declined to be interviewed.

Macy’s current distribution center is at 4000 W. Diversey Ave., Chicago. The building had been used by Marshall Fields as a distribution center before Macy’s acquired May Department Stores in 2005, the spokesman says. The current distribution center is a six-story, 1.5-million-sf facility and is not efficient. “The logistics systems today is that the trucks with your merchandise pull up to the side of the building and the merchandise comes out of the trucks and into trucks on the other side,” he says. “The merchandise stays in the distribution center a matter of minutes as opposed to weeks or months or days.”

The new single-story distribution center will employ 210 people, down from the 350 workers currently employed at the current facility. A furniture clearance store in the current distribution center will lease about 50,000 sf in a retail center in Aurora, IL. The lease is still being negotiated, the spokesman says. The current facility in Chicago will be sold after closing in 2008.

The Diversey property will close in spring 2008 after the new facility is operational. The new location was chosen because it was an existing building which was recently completed and “it is located near major interstate highways so we can get to our stores throughout that region,” the spokesman says. The building was being constructed on a speculative basis by Opus North. The site allows for expansion.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


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


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.