1. The Record-Setting Real Estate Cycle Chicago Market Overview
Chicago Industrial Market
The Record-Setting Real Estate Cycle Chicago Market Overview

2. Chicago Industrial Market
Net absorption tops 10 million square feet in first half of 2017 Q2 Q1
Source: Colliers International Research

3. Chicago Industrial Market
I-80 and I-55 Corridors record most demand 2017 YTD
Source: Colliers International Research

4. 560 BPS Chicago Industrial Market
Industrial vacancy rate has dropped to 2001 levels
12.3%
Overall Vacancy
6.7%
560 BPS
since peaking in 2010
Source: Colliers International Research

5. Chicago Industrial Market
Several submarkets with vacancy rates at/near record lows
5.5% Central DuPage
4.8% I-80/Joliet Corridor
4.2% North Suburbs
3.8% O'Hare
Source: Colliers International Research

6. 41 projects currently Chicago Industrial Market
Speculative development outpaces build-to-suit projects
41 projects currently
under construction
Source: Colliers International Research

7. Chicago Industrial Market
Southwest suburbs home to most development
Source: Colliers International Research

8. Chicago Industrial Market
New buildings getting bigger and bigger
Source: Colliers International Research

9. Chicago Industrial Market
2017 new supply set to exceed 2016 record
SPEC
BTS
DEMO
Source: Colliers International Research

10. 178 projects Chicago Industrial Market
Spec development activity since 2013
178 projects
totaling 49.5M
square feet
Source: Colliers International Research

11. Chicago Industrial Market
Most active developers Q – Q2 2017
Source: Colliers International Research

12. Chicago Industrial Market
Average asking net lease rate steady
Source: Colliers International Research

13. Chicago Industrial Market
Average asking sale price dips slightly
Source: Colliers International Research

14. Forecast: what to expect in 2017?
Chicago Industrial Market
Forecast: what to expect in 2017?
Vacancy hits its bottom
About 14 million SF of new spec construction (compared to 13.5 million in 2016)
Continued significant absorption (likely below 2016 levels)
Less contribution from e-commerce sector than in 2016, but still active
Lease rates and sale prices continue to increase
Source: Colliers International Research