Zero-Sum Game in NW Suburban Office Leases

SCHAUMBURG, IL-With sky-high vacancy rates in the submarket, recent office leases here are welcome relief for at least a few property owners. However, one of them involves a move from this “edge city” to a neighboring northwest suburb, while another move here is at the expense of another owner in the submarket.

Thermos LLC is moving from the Woodfield Corporate Center in Schaumburg to 21,458 sf at 2550 W. Golf Rd. in the Meadows Corporate Center in Rolling Meadows. Space is being built out at the company’s new location. Chicago-based Equis Corp. handled negotiations for Thermos LLC while Cushman & Wakefield represented the property owner, GSIC Realty.

Meanwhile, MeadWestvaco is staying in 12,347 sf at Woodfield Preserve II at 20 N. Martingale Rd. after consolidating offices that were located in neighboring Elk Grove Village and the O’Hare area.

“Schaumburg is a very soft market with Class A vacancies near 30%,” says Julien J. Studley managingdirector Corey Chase, in a statement. “The building owner, Hines, saw the opportunity to secure a credit-worthy tenant for a long-term lease, and were aggressive and accommodating during transaction negotiations.”

Those negotiations were also handled by CB Richard Ellis, who represented Hines Interests.

Meanwhile, DS&P Insurance is staying put at 1530 Dundee Rd. in Palatine, having signed a 13,456-sf renewal and expansion that resulted in a 20% cut in rent. The deal also was handled by Equis Corp.