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Clear Height Properties buys 522K sf office/industrial portfolio
The $30M deal gives the firm 4 more properties in what is a strong market for industrial
Clear Height Properties bought a four-property office and industrial portfolio in the suburbs for $30 million.
The Chicago-based firm did not identify the seller, but sources said it was New Jersey-based Denholtz Associates.
The 522,000-square-foot portfolio includes the 202,000-square-foot Butterfield Office Plaza at 2625 Butterfield Road in Oak Brook. The building sits on 10 acres off Interstate 88 and was 81 percent leased at the time of the deal, Clear Height said.
The deal also includes Elmhurst Metro Court, a seven-building, 141,000-square-foot flex property in Elmhurst that is 78 percent leased; Tower Lane Business Park, a two-building, 96,000-square-foot flex property at 1050-11 Tower Lane in Bensenville; and Willowbrook Court, a three-building, 84,000-square-foot flex property at 625-701 Executive Drive in Willowbrook.
Clear Height CEO Dominic Sergi said the firm plans to modernize and rebrand all of the properties.
The acquisitions come at a time when the suburban industrial market is booming and portions of the suburban office market are also doing well.
Second-quarter industrial rates in the overall Chicago market hit a record high of $5.58 per square foot while vacancy rates essentially remained even, according to Newmark Knight Frank’s second quarter industrial market report.
Suburban office vacancy rates earlier this year hovered at 23.3 percent, according to data from JLL, giving landlords a sign of hope after several quarters of increases.
And a Savills Studley report this month said overall suburban office asking rents rose by 1.4 percent in the second quarter to $23.48.