Industrious to gobble up more space in West Loop

Firm will expand to 93K sf at 500 W. Madison St.

TRD CHICAGO /
Sep.September 24, 2019 02:21 PM
Jamie Hodari and 500 West Madison (Credit: Wikipedia)

Jamie Hodari and 500 West Madison (Credit: Wikipedia)

WeWork rival Industrious is growing its footprint in the Loop.

The shared workspace provider is expanding from 46,500 square feet to 93,000 square feet at 500 W. Madison St., a 1.5-million-square-foot office tower owned by KBS Realty Advisors, according to Crain’s.

Industrious, founded by Jamie Hodari and Justin Stewart in 2013, has eight locations in the Chicago area. While much of WeWork’s deals are traditional leases with landlords, Industrious inks management agreements with the building owners and finds enterprise clients.

It’s not clear what Industrious is paying for the space, but deals typically run between $25 and $30 a square foot at the office tower, which was rebranded the “Accenture Tower” earlier this year. KBS renovated the tower in 2015.

Industrious has been growing rapidly over the last two years. The flexible office space firm acquired another co-working company, TechSpace, earlier this year. In June, it announced a partnership with Hines to open flexible-office locations across the U.S. And in August, it raised $80 million in a Series D round.

Chicago is projected to have 3.2 million square feet of co-working space by the end of the year, and 4.2 million square feet by the end of December, according to Newmark Knight Frank data.

WeWork leases more than 1 million square feet of space in Chicago. Adam Neumann announced Tuesday that he would be stepping down as CEO and move into the role of nonexecutive chairman.

Artie Minson, the company’s CFO, and Sebastian Gunningham, its vice chairman, will replace Neumann as interim co-CEOs while the company searches for a permanent head. [Crain’s]James Kleimann


Related Articles

arrow_forward_ios
Somerset Development President Ralph Zucker and renderings of Bell Works Chicagoland

The suburban office market is making a comeback

The suburban office market is making a comeback
353 N. Clark with Chester Kamin of Jenner & Block (Google Maps)

Actually, you owe us money: Chicago law firm fires back at landlord

Actually, you owe us money: Chicago law firm fires back at landlord
If there’s a 20% drop in users of the downtown office market, Chicago’s character could massively decline (iStock)

The double whammy hitting Chicago’s downtown

The double whammy hitting Chicago’s downtown
Thomas Roszak and 145 S. Wells (Credit: Cgarner123 via Wikipedia and 145 South Wells)

Spec Loop office project developers land White Claw producer as latest tenant

Spec Loop office project developers land White Claw producer as latest tenant
CareerBuilder CEO Irina Novoselsky and 200 N. LaSalle (Credit: Google Maps)

CareerBuilder plans to sublet its entire Chicago HQ

CareerBuilder plans to sublet its entire Chicago HQ
Groupon space at 600 W. Chicago, Groupon interim CEO Aaron Cooper (Credit: Sterling Bay and Groupon)

Groupon looks to sublet huge office space at Sterling Bay-owned building

Groupon looks to sublet huge office space at Sterling Bay-owned building
The Chicago office leasing market was strong in the first quarter of 2020, but the good times appear to be over. (Credit: Unsplash)

In the age of Coronavirus, Chicago real estate’s biggest bright spot fades

In the age of Coronavirus, Chicago real estate’s biggest bright spot fades
Uber CEO Dara Khosrowshahi and the Old Post Office at 433 West Van Buren Street (Credit: Khosrowshahi by Vipin Kumar/Hindustan Times via Getty Images; Google Maps)

Ride canceled: Uber pauses construction at Old Post Office

Ride canceled: Uber pauses construction at Old Post Office
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...