A local developer has sold two big suburban warehouse developments for nearly $200 million, cashing out even before filling them up with tenants.
Itasca-based Bridge Development Partners sold the projects in Franklin Park and Downers Grove, which total 1.4 million square feet, to Morgan Stanley’s Prime Property Fund. It’s one of the biggest Chicago-area warehouse sales in the past few years: The fund paid $111.6 million for the Franklin Park property, according to New York research firm Real Capital Analytics, and $83.4 million for the Downers Grove property, according to DuPage County property records.
The Chicago industrial real estate market is so strong these days that developers like Bridge are stamping out massive warehouses in the suburbs, selling them quickly and moving on to their next project. Developers will complete 23.7 million square feet of industrial space in the Chicago area this year, just shy of the 24.8 million completed in 2017, a high for the current boom, according to Colliers International.