570 Lake Cook Road. Image courtesy of Bradford Allen
Bradford Allen has completed two lease agreements totaling 35,000 square feet at 570 Lake Cook Road, a 138,000-square-foot office building in Deerfield, Ill., a northern suburb of Chicago. The landlord handled the lease signing in-house, while Bespoke Commercial Real Estate and Savills provided tenant representation.
Coworking firm Venture X signed a 19,000-square-foot lease, to operate a new flex office location on the third floor of the property. Set to open later this year, the space will be the firm’s second location within metro Chicago.
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Venture X’s expansion represents a response to the growing need for coworking space in suburban areas. Bradford Senior Managing Director Joel Berger negotiated the deal on behalf of the landlord, while Bespoke Commercial Real Estate Co-Founder Vic Sanmiguel acted on behalf of the flex office provider.
Planning and design consulting firm Kimley-Horn signed a long-term extension and expanded its office space to 16,000 square feet. Berger negotiated the lease on behalf of the ownership, while Savills Senior Director Hayden Rasmussen and Senior Managing Director Jon Azulay brokered the agreement on behalf of the tenant.
The property’s existing tenant roster comprises Ferris & Thompson, Coast To Coast Logistics, Banner Real Estate Group, The Pinnacle Financial Group and Newman Insurance Services, according to CommercialEdge.
The five-story 570 Lake Cook Road underwent renovations last year and features heated underground parking, a solarium on the top floor, conference facilities and on-site property management services. The building is in close proximity to the Lake Cook Road Metra station, while Chicago Executive Airport-PWK is some 6 miles away.
Office rents increase in suburban areas
According to the latest CommercialEdge report, suburban office properties took the lead in terms of rent increase, with a 4.2 percent growth year-over-year through April, bringing the rate to $31.0 per square foot. CBD office rents followed closely behind, up 3.7 percent, to reach an average of $51.1 per square foot. Urban office rents remained on a downward trend, with a year-over-year decrease of 3.2 percent, averaging at $44.0 per square foot.
At $27.9 per square foot, Chicago asking rents were $10.3 lower than the national average, which hit $38.2 per square foot in April. That same month, the metro’s vacancy rate clocked in at 18.8 percent, higher than the national average of 16.7 percent.
