Value Industrial Partners Sells Industrial Property

It’s a seller’s market for industrial property owners.

The latest example is a commercial real estate firm closing on an Arlington Heights property for about three times what it sold for eight years ago.

A Delaware LLC that shares addresses with Unilev paid about $15 million for the site at 702 West Algonquin Road and 501 West Golf Road last month, Cook County records show. The seller, Elmhurst-based Value Industrial Partners, acquired it for about $5 million in 2014, according to the firm’s Brian Gedvilas.

Gedvilas admitted his firm did well with the deal but declined to comment.

Unilev, which has offices in California, Texas, Minnesota and Colorado, didn’t respond to an inquiry. Its portfolio covers more than 6 million square feet, according to its website.

The sale of the Arlington Heights property is the latest in a string of industrial properties trading for multiples of their previous sale prices across the Chicago suburbs in recent months. Values of asset classes including warehouses, truck yards, data centers and vacant land have soared, fueled by consumers’ growing reliance on e-commerce and a short supply leading to competition for space among tenants.

Massachusetts’ High Street Logistics Properties picked up a 252,000-square-foot warehouse in Itasca for $36 million in August, more than four times the property’s value a decade ago. And in September, Hawaii’s James Campbell Company sold a 215,000-square-foot warehouse in Franklin Park for more than $30.3 million, tripling the property’s value.

Meanwhile, Chicago industrial developers have never been busier as they build to fill the demand. The Chicago area hit a new record for the number of construction starts in the third quarter, with 17.2 million square feet of buildings across 48 projects getting underway.