Tom’s Recommended Reading for the Week
Check out the top news in Chicago commercial real estate before heading into the weekend!
- Five Reasons People are More Important Than Buildings – The word “office” doesn’t mean what it used to. When workers refer to going into the office, they could mean they’re heading to the brick-and-mortar building that houses their company, but they could also be referring to the unlimited expanse of the digital and technological world that connects the workforce in previously unimaginable ways. Today’s office travels where the worker goes.This worker-centric structure requires that the workspace be flexible, mobile, and managed by technology. Times are changing, and the office needs to keep up. Here are five ways offices should already be putting people first… WorkDesign Magazine
- LaSalle Street office towers sell for $270 million – Two office towers facing each other on LaSalle Street sold for more than $270 million combined. New York-based AmTrust Realty Corp. paid $237.5 million for the 43-story tower at 30 N. LaSalle St., while Chicago-based John Buck Co. paid $32.8 million to seize a financially distressed 38-story tower at 33 N. LaSalle St. through a deed-in-lieu of foreclosure, according to Cook County property records… Crain’s Chicago
- New, state-of-the-art headquarters to stand as symbol of Zurich’s growth in North America – Zurich North America Commercial and North American Regional Chairman Mike Foley and dignitaries, including Illinois State Sen. Dan Kotowski, Illinois State Rep. Michelle Mussman and Schaumburg Mayor Al Larson, have broke ground on Zurich’s new North American headquarters. The 40-acre site will be home to the 735,000-square-foot-building that will house 2,500 employees and contractors who work in Schaumburg and live in the surrounding communities… RE Journals
- Rent jump at Chicago’s best office towers – Chicago office landlords that endured the recession are enjoying a comeback — for those who own high-end towers, anyway. Landlords with upper-tier buildings collected a lot more in rent last year than they did in 2012, according to a report by New York-based Savills Studley. The report looks at effective rents, which factor in extra costs that affect how much landlords take in and tenants pay out… Crain’s Chicago
- Tech Firms Hitting the Tipping Point – According to the new MBRE Index, landlords of the 30 newest class A office buildings in downtown Chicago saw, partly due to significant leases signed by tech firms, the direct vacancy rates for their properties decline over the last quarter from 11.2% to 10.3%. The decline was a recovery from the previous quarter, when the same buildings had an increase in vacancy, breaking what had become a pattern of steady improvement in the market… Globe St.