Blackstone Real Estate Advisors cashed out of a 282,000-square-foot industrial property in suburban Chicago for $57.5 million.
Mapletree US Management bought the land that FedEx Ground occupies on 9500 West Sergo Drive in La Grange on September 30, Cook County property records show. Blackstone bought the property from Scannell Properties for $12.8 million four years ago.
Mapletree has been expanding its industrial investments. The Singaporean REIT bought two portfolios consisting of 141 properties in major cities including Chicago and Houston for $3 billion in July and September. Mapletree had owned 14 logistics properties in the country prior to the purchase. The company owns more than 70 million square feet of logistics space in the country.
Chicago’s industrial real estate has been steadily growing but the pandemic sparked even more activity. Demand for e-commerce skyrocketed, driving up the need for last-mile warehouses and distribution centers.
A total of 16.4 million square feet of new industrial space was built in the third quarter, almost doubling the previous record set in 2019, according to Collier’s. Vacancy rates for speculative space in the city dropped to an eight-year low of 13.4 percent. With insatiable demand for industrial, sales are set to exceed last year’s $2.13 billion as more than $1.5 billion sales were posted in the first half of this year.
Amazon built two five-story warehouses in suburban Markham and Matteson totaling 7.2 million square feet. Silver Creek Development’s $130 million purchase of a Michelin warehouse property in Wilmington is the largest industrial sale this year.