Medline Industries inked one of the largest suburban office leases in Chicagoland since 2020, following its massive expansion in River North.
The medical supply giant, led by CEO Charles Mills, signed a 210,000-square-foot lease at 2375 Waterview Drive in Northbrook, adding to its office footprint weeks after upping its presence at Vornado Realty Trust’s Merchandise Mart by 110,000 square feet, Crain’s reported.
Medline now occupies 3.8 million square feet of real estate in the Chicago area, which includes office and industrial facilities, such as its 1.4 million-square-foot distribution center in Grayslake.
The new lease, 4 miles from Medline’s Northfield headquarters, will support over 1,000 employees. Staff will occupy nearly a full building in the two-building complex, which is owned by the U.S. arm of Japanese drugmaker Astellas Pharmaceuticals.
Astellas built the complex in 2012, but the company has largely scaled back its office use in recent years, leaving one building mostly vacant.
Mediline’s Northbrook lease stands out in a suburban market struggling with high vacancy rates, which hit a record 31 percent this year.
“Medline regularly optimizes our footprint and operations to best serve our customers and empower our team members,” said Kate Slattery, vice president of real estate and construction for Medline.
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Over the past five years, the company has grown its local employee base by 33 percent, reaching nearly 6,100 employees in the Chicago area.
Some of the biggest office leases in Chicago this year include a pair of deals at State Teachers Retirement System of Ohio’s 77 West Wacker Drive, totaling more than 500,000 square feet. Another significant lease is Wheels’ sublease of over 200,000 square feet at Zurich North America’s headquarters in Schaumburg, which marked the largest suburban lease in over two years.
— Andrew Terrell