Top Deals of 2009: Exerpt from CIP December Issue

December 30, 2009

by Paula Widholm

Connolly Tresslar CC With companies scaling back their distribution and manufacturing operations due to economic weakness and reduced consumer spending, industrial owners had a tough time snagging new tenants this year.

California Cartage Co. completed a 374,460-square-foot lease within Ryan Cos. US Inc.’s Laraway Crossings Business Park in Joliet. With this lease, California Cartage, a Long Beach, Calif., transportation and logistics firm, will relocate and significantly expand its local operations at this new location, 251 Laraway Road. The company previously occupied a 213,977-square-foot building in Elwood. Built in 2004, the building being leased by California Cartage was the first building developed by Ryan within the business park. Arnold Logistics previously occupied the building. Steve Connolly and Eric Tresslar of NAI Hiffman represented Ryan in the lease transaction. Mike Brown of e-realty represented California Cartage.

To read the full article by Paula Widholm in Chicago Industrial Properties, click here.

Posted by NAI Hiffman | Filed Under General Business, Industrial, Lease, Media Coverage

Somewhat encouraging news for Chicago manufacturers

December 18, 2009

Marshall, Adam Adam Marshall of the Industrial Services Group at NAI Hiffman recommends this article from Crain’s Chicago Business:

“(Reuters) — Business activity in the U.S. Midwest expanded more than expected in November, reaching its highest level in over a year as new orders jumped, a report showed on Monday…” Read the full article here.

Posted by NAI Hiffman | Filed Under Adam Marshall, General Business

New Podcast: Chicago Market Recap & 2010 Forecast

December 15, 2009

(December 15, 2009) Michael Flynn CCIM, SIOR (Managing Director, Office Services Group) and Craig Hurvitz (Director of Market Research) of NAI Hiffman in Chicago, IL join Jim Garrett to discuss Chicago’s current local commercial real estate conditions and the forecast for the next 12 to 18 months, looking specifically at Chicago’s office and industrial markets.

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Posted by NAI Hiffman | Filed Under Industrial, Office, Podcast

Fastener firm renews Elmhurst leases

December 14, 2009

Fastener maker Semblex Corp. renewed leases totaling about 186,000 square feet at four buildings in Elmhurst. The company signed long-term renewals at 370 Carol Lane, a 60,290-square-foot industrial building owned by TA Associates Realty, and at 199 W. Diversey Ave., a 43,755-square-foot building that’s the company’s headquarters and is owned by a private trust, according to David Bercu of Colliers Bennett & Kahnweiler Inc., who represented Semblex and declines to disclose terms of the deals. The company also renewed in two buildings where it leases a portion of the space: 35,000 square feet at 388 Carol Lane, a 40,502-square-foot building owned by ML Realty; and 47,000 square feet at 342 Carol Lane, a 67,955-square-foot building owned by Mirvac Industrial Trust. TA Associates was represented by Oakbrook Terrace-based NAI Hiffman; the other properties didn’t have brokers, according to Mr. Bercu.

Source: ChicagoRealEstateDaily.com

Posted by NAI Hiffman | Filed Under General Business, Industrial, Media Coverage

Burrows Quoted Regarding Mori Seiki Sale

December 9, 2009

mori seiki “A lot of guys are standing around the pool but no one has jumped in,” says Arthur Burrows, a senior vice-president at Oakbrook Terrace-based NAI Hiffman who was not involved in the deal. “But the mindset has changed over the last quarter or so.” Read the rest of the article at ChicagoRealEstateDaily.com

Posted by NAI Hiffman | Filed Under General Business

Changes within the warehousing and distribution model

December 8, 2009

By Daniel P. Leahy, SIOR
NAI Hiffman/NAI Global Logistics

LEAHY PORTRAIT 2003 The warehousing and distribution industry is taking bold steps to respond to the changing economic and business circumstances we have experienced over the last several months. Demands to reduce overcapacity, improve speed from source to shelf, satisfy concerned stakeholders and comply with emerging regulations are being met with fundamental operational changes. These changes include the increased use of intermodal, maximizing information technology, green warehousing, and logistics outsourcing.

According to Commerce Department figures, retail sales improved 2.7% in August compared to a decline of 0.2% in July. It is too early to say that we are out of this downturn; however ocean trade, a key market indicator, is also making some positive traction. According to the monthly Port Tracker report by the National Retail Federation and IHS Global Insight, U.S. ports handled 1.04 million TEUs (20-foot equivalent units) in May 2009, the most recent month for which data is available. This is a 5% increase from April but down 20% from April 2008. The forecast for the first half of 2009 is 6.5 million TEUs, compared with 7.5 million that passed through the first half of 2008. While these improvements are promising, the economic recovery has a long way to go and will need to build strength through job gains, rising consumer confidence, improved housing market and retail sales in order to turn the tide.

For real estate practitioners, the silver lining during these tough times is discovering the new companies, business operations, trade lanes and industries that are emerging. Read more

Posted by NAI Hiffman | Filed Under Dan Leahy, Industrial, Logistics, Media Coverage