UPDATED, Oct. 15, 2020, 8:46 a.m.: In a work-from-home world, Industrious is still betting on the office.
The flexible-office provider has agreed to take 52,000 square feet at Blackstone Group’s Willis Tower, according to Crain’s. A representative for Industrious told The Real Deal it was not a traditional lease, but a revenue-sharing agreement with Blackstone.
The deal is a rare bit of good news for the Chicago office market, which has sputtered as companies exit leases and scale back on their space. Industrious competitor WeWork recently decided to leave Fulton Market.
The Willis Tower location will be Industrious’ eighth in the city, according to the report. The lease agreement points to how the industry is hedging risk in the Chicago office market amid uncertainty created by the pandemic.
“Current events are reinforcing the importance of flexibility and adaptability for every organization,” said David Moore of Blackstone’s EQ Office unit, in a statement to Crain’s.
Last month, Cushman & Wakefield announced it would partner with Industrious, which has about 100 locations in 50 cities.
This article now reflects that the deal between Industrious and Blackstone is not a traditional lease.