WOODRIDGE, IL-Bridge Developments Partners LLC is wrapping up work on its $28 million Bridge Point Woodridge. The development brings 384,000 square feet in two buildings to 24 acres at Lemont and Davey roads in this western suburb. The Chicago-based company, in partnership with investment holding company Globe Corp., began work on the development last summer, and has seen interest but no leases yet secured for either the 264,000-square-foot or the 120,000-square-foot building.
"We're excited and proud of this project, though timing was a little tough, having started development last summer," Anthony Pricco, Bridge principal, tells GlobeSt.com. "Obviously the market has softened, but we're still optimistic and smaller users still seem to be fairly active. If anyone is active in this market, it seems to be those smaller users, and that's what we're really focused on."
The firm has already developed two other business parks in Woodridge, and is targeting users seeking between 10,000 to 264,000 square feet to occupy its new project. Both of the new buildings will be constructed of precast concrete, and feature eight drive-in doors, an abundance of exterior glass and 30-foot clear ceilings. The larger building was planned to offer 24 exterior docks, expandable to 48, while the smaller will offer 16 exterior docks, expandable to 26.
"This was a nice undeveloped parcel that had been there for a while, and the reason it hadn't been developed was because there were a lot of things that needed to be figured out with it," Pricco says. "It was unincorporated DuPage County before so we needed to get it annexed, which takes time. Woodridge has been great to work with, and we had a lot of coordination with DuPage County."
Since Bridge acquired the land two years ago, work has also included road improvements and installation a traffic signal near the park. Pricco says Bridge is in the middle of negotiations for a 25,000 square foot lease and is also in talks with five other potential tenants, ranging in size from 10,000 to 50,000 square feet.
"That location is actually the eastern most location in that submarket, and there's nothing east of us until you get almost into Cook County," Pricco says. "There's some older product, but it's almost Burr Ridge before you get comparable product. We're right on Lemont Road, and visibility and accessibility here are great, since the 355 extension down to 80 really opens up that whole area."
The buildings, located a mile south of Interstate 55 at 1000 and 1020 Davey Road, were designed by Cornerstone Architects Ltd., of Itasca, and are being constructed by Premier Design + Build Group, LLC, of Des Plaines. The development is being marketed by Jeffrey Galante and Brian Vanosky of Lee and Associates. The lease rates were planned to be around $6.95 for the smaller building and $5.75 for the larger, both triple net.
The business park is located in the Interstate 55 submarket, where average occupancy rates are around 86%, according to Grubb & Ellis' mid-year industrial market report. Asking lease rates are near $4 per square foot for warehouse space in the submarket, Grubb's research says.
"There's been a lack of demand and an increase in vacancy, and every deal is very competitive right now," Pricco says. "It's been slow everywhere but the Interstate 55 submarket has a fair amount of vacancy lately and it's one of the higher vacancy submarkets. A lot of institutional owners are getting very aggressive with their space, because there has been a lack of demand everywhere."