Reverb moving HQ to Salt Shed music venue

An online music-equipment seller is relocating its headquarters to the Salt Shed music venue along the North Branch of the Chicago River, adding another commercial use to the former Morton Salt warehouse that local builders R2 and Blue Star Properties redeveloped in 2022. 

Reverb has leased about 25,000 square feet in the low-rise brick building on the northern edge of the Salt Shed, at 1357 North Elston Avenue, which is gearing up to host concerts for its second straight full summer, Crain’s reported. 

Stream Realty Partners’ Adrian Boone and Colliers’ Frank Franzese represented Reverb in lease negotiations, while Blue Star’s Mike Lombardo represented Salt Shed ownership.

The lease amounts to a downsize for Reverb, as it currently occupies a slightly larger space on Lincoln Avenue in the Roscoe Village neighborhood. Thus, when the company moves next year, it will barely add to Chicago’s office vacancy rate, which has soared to record highs in 11 of the last 13 quarters, surpassing the 25 percent mark early this year.

In addition to establishing its new headquarters, Reverb has forged a marketing partnership with the Salt Shed, aiming to enhance its connection with Chicago’s music community.

Reverb’s move underscores a broader trend of commercial diversification along the North Branch, an area that R2 and Blue Star Properties, among other developers, have been revitalizing. Despite challenges such as limited public transportation access, landing Reverb’s headquarters helps affirm developer bets that an office market could take off in the area, potentially attracting other businesses to the burgeoning locale.

While specific details of the lease were not disclosed, the outlet cited sources familiar with the deal that said Reverb’s office will offer a panoramic view of the Salt Shed’s outdoor performance stage, adding an appealing amenity to the workspace.

Reverb, founded in 2013 by former fintech entrepreneur David Kalt, has rapidly ascended as a key player in the online music gear marketplace. Its acquisition by e-commerce giant Etsy for $275 million in 2019 further solidified its position in the industry. With nearly 2 million music gear items available at any given time, Reverb’s marketplace features over 200,000 shops, including offerings from renowned musical acts like Green Day, Muse and Modest Mouse.

—Quinn Donoghue 

Read more

Commercial

Chicago

Garrison’s Goose Island land grab pays off

Commercial

Chicago

Monroe Capital expanding in Loop relocation

Commercial

Chicago

Chicago office vacancies break record again