Midwest Warehouse Takes 350,000 SF Short Term

AURORA, IL-Midwest Warehouse & Distribution has leased 350,000 square feet at a new industrial building completed earlier this year by Duke Realty Corp. at 100 Ferry Rd. The 550,000-square-foot building, still owned by Duke, is located in the Butterfield East Business Park in the west suburban submarket. Tim Thompson, executive vice president and managing director of industrial brokerage, and Brad Borkowski, industrial associate, both with HSA Commercial Real Estate, represented Midwest in the deal.

“They have many locations, and this is a short-term lease that they needed for seasonal accounts,” Borkowski tells GlobeSt.com. Part of Midwest’s decision to take the property was based on the fact that 200,000-square-feet in the building remains vacant, and available for the company. Midwest’s lease term on the space, which will house about 10 employees, is good for anywhere from seven to 12 months.

“The submarket has done quite well over the past three years, but recently there’s been more speculative development, so vacancy has gone up, like most other markets, with the recent changes in the market,” Borkowski says. “The advantage is to the tenant, and there have been some great deals out there.”

He says Midwest’s lease was one such deal. Average asking lease rates in the area range from $4 to $8 per square foot, net, according to Cushman & Wakefield market research.