JLL Chicago Industrial - Real Time

Sean Reynolds of JLL's Chicago Data Center Practice Group returns to the podcast to talk about the data center real estate environment as the year comes to a close. Topics include power requirements and power sources, infill markets, demand for data centers, transaction velocity in today's real estate environment, construction time and cost.

Episode 52 features Andrew Volz, JLL America's research lead for Project and Development Services (PDS). In this episode, we discuss the findings of the 2023 US and Canada Construction Outlook report. The construction pipeline remains robust and year-over-year construction costs remain up despite a drop in pricing for select materials.  While declining buildings starts will relieve some price pressures, infrastructure projects and international demand for select materials are likely to offset relief, leading to more moderate growth rates for prices rather than a net drop. Industrial occupiers have been faced with a persistent shortage of skilled labor - a driving factor in wage increases in the construction sector. After Andrew sets the stage with the state of the industry, George and Chad dive into the key considerations with industrial construction including concrete supply, roofing materials and the electrification of buildings.   While speculative industrial construction may taper off in 2023 and 2024, large-scale advanced manufacturing projects and investments in the energy sector could keep construction crews busy for years to come.  

Episode 51 features Justin Fierz, Founding Principal of Midwest Industrial Funds along with Sam Durkin and Steve Trapp to discuss the Palatine Corporate Center  Topics Include JLL's involvement with the site started back in 2019 with disposition of the former Weber Grill Manufacturing Campus. Sam and Steve were also involved with another disposition across the street which was redeveloped as a last mile delivery station. Palatine is not typically thought of as an industrial destination, but has a some large corporate occupiers and key parcel distribution hubs. Midwest Industrial Funds was able to secure approvals and close on the 25 acre site during the midst of the Covid lockdowns in 2020. A two-building plan of 275,388 s.f. and 150,042 s.f. was laid out to appeal to a wide range of potential tenants. S&C Electric, was founded in 1909 and is a Chicago-based manufacturer specializing in the switching, protection, and control of electric power systems. S&C will maintain their large manufacturing plant in Rogers Park and the expansion creates approximately 200 production and engineering jobs. The 150 Sellstrom Drive Building has 153,042 s.f. available and is move-in ready with warehouse washrooms and lighting installed.

Episode 50 features a previous guest, Josh Grozdin partner relations manager with the Illinois Manufacturing Excellence Center.   IMEC has a team of experts with previous careers across various manufacturing sectors that can help with data, whitepapers, and hands on training. The organziation offers services for small manufacturers such as helping to improve process workflow via systematic plant layouts to achieve lean manufacturing inititatives and ISO Certification.  In addition, IMEC is also accepting applications for the Cook County Manufacturing Reinvented grant program.  Tune in to hear about how IMEC can be a resource for all Illinois manufacturing operations and how to take advantage of their services and expertise.  To hear other episodes with Josh, check out episodes 26 and 43 

Sean Reynolds of JLL's Chicago Data Center Practice Group joins the podcast to discuss trends and activity in the data center real estate world. Topics include: Chicago as a key data center market due to its history as a railroad hub. Hyperscalers are helping to push for sustainability through wind energy development. In 2021 The State of Illinois passed an important bill with tax incentives for the data center industry. Data centers contribute significantly to municipal finances through electricity sales tax generation. Elk Grove Village is a “main and main” location for data centers due to power and fiber access. Power supply issues on the east and west coasts are crimping new supply. Supply chain delays are leading to longer lead times on procuring equipment.

Episode 48 is live from the new home of Lion Electric Vehicles at Clarius Park Joliet. We are joined by Michael Connor from JLL and Clarius Partners' Eric Johnson to hear about JLL's involvement with Building I and the development and leasing of the 906,517 sq. ft. manufacturing facility.   This location will become Lion Electric's first manufacturing facility in the US and a showcase for consumers. Lion Electric was attracted to Joliet for its robust logistics industry, labor force and the Illinois Climate Change Policy which aligns well with the electric vehicle market. When the project started, the team knew it would have a big economic impact due to the amount of power and parking needed to support the plant. There was a tremendous amount of effort to take a speculative shell building and adapt it for producing zero emission vehicles.  Hear how the team pivoted in the middle of construction to add in over 100,000 square feet of office space, cranes, paint booths and reconfigured loading docks in our latest episode.

Episode 47 is live from ATMI Precast in Aurora, IL.  We are joined by Mike Walsh, VP of Business Development to learn about the process of making precast and see their finished product.  Hear more about the facility, their capabilities and trends in industrial construction.   Show Notes  ATMI produces precast for industrial buildings, data centers, parking structures, and more.   Hear about the how raw steel and rebar is custom fabricated to customer specifications.   The facility is on 22 acres and consists of two production buildings, two concrete batch plants and yard space to store product awaiting delivery.   Waubonsee Development is their sister-company that handles the erection on the jobsite.   ATMI serves the Midwest region from both Aurora and their newly expanded Indianapolis plants.   Discussion of building features for cold storage projects.   Will “tilt-up” construction become a new trend in the Chicago market?

Episode 46 is live visiting with the principals of Timber Hill Group: Founder Cary Goldman, partner Ryan Battistoni and Marty Siegel along with Robin Stolberg from JLL.  Topics include Background on JLL's Industrial Service Facilities (ISF) Practice Group ISF is a niche area of transportation and logistics real estate. How JLL Research classifies the various industrial property subtypes. Learn about what is Managed Truck Parking Hear about Timber Hill's National Truck Parking platform Consideration for the electrification of truck fleets.

Tune in to hear why the Midwest industrial market's fundamentals are strong from land availability, rail access, and the ability to reach large portions of the east coast and central region's population base. The 2022 outlook covers insights and key trends impacting the Midwest industrial markets, including: A modern bulk overview Rising tenant demand Supply and demand across the region Outlook for the remainder of 2022 We are joined by Sam Stouffer, JLL Columbus research manager and lead author of the Midwest industrial report and Mike Cagna, JLL Indianapolis research manager.   Click to download the report  For additional listening, check out Episode 37, covering the 2021 Midwest Industrial Outlook and see how the market has changed over the last 12 months.

Episode 44 is live on location from71st Street in Bedford Park, Illinois home of CSX Transportation, known as the largest freight railroad in the Eastern U.S.   We are joined by Tom Livingston, the Head of State Government Relations and Community Affairs for CSX Transportation, who shares his insights and expertise on freight rail operations and shipping across the company's network. Show Notes 2:25 Tom portrayed Chief Iliniwek during his time at University of Illinois   5:25 Some of the notable ports that CSX services are, New York/ New Jersey, Baltimore, Hampton Roads, Charleston, Savannah and JaxPort in addition to various inland ports.   11:05 Companies are focusing on the greening of their supply chains and moving freight on rail helps with ESG considerations.   12:55 Chicago is the Super Bowl for railroads   15:10 Bedford Park handles a lot of intermodal volume for the parcel shipping companies.   16:05 JLL was involved in the sale of a building on 71st Street which CSX acquired for future expansion of their facility.   27:30 The 71st Street facility does about 900,000 lifts and the 59th Street Facility does about 400,000 lifts per year.   31:00 Shifting freight off the roads and onto rail has a tremendous public benefit in reducing wear and tear on roads   33:00 Transportation Secretary Pete Buttigieg visited CSX Bedford Park to discuss the importance of infrastructure investment   37:20 As part of the CREATE Program, CSX will build a flyover along the 75th Street Corridor to alleviate congestion

Chad, George, and Brian Carroll join Josh Grozdin, Director of Business Development and Marketing for Elk Grove Village on the Strictly Business Podcast for Episode 53.  The Village's industrial vacancy rate at the end of 2021 was a historic low of 2.36%.  Find out why the demand for industrial space is thriving and hear about some notable transactions and trends.  Check out other episodes of Strictly Business including the JLL's teams last appearance on Episode 35 

Episode 42, is live on location at 3711 S Ashland Avenue Chicago, the new home of Aviation Institute of Maintenance, a technical school offering offer hands-on training for full service aircraft repair and maintenance. We are joined by Ben Fish from Logistics Property Company to tell us about the building and development process. Brad Wood from JLL's Project and Development Services team tours us through the classrooms, hangar, and welding room. Then hear from Gavin Stainthorpe and Michael Conway on the site selection process, the tenant's unique requirements, and why they selected the location in the City of Chicago. 1:35- Introduction to the Chicago Stockyards Industrial Park. 3:10- Walk through the corridors of the facility to view the classrooms, computer lab, student resource library, and faculty offices. 6:50- Step into the hangar to see the various aircraft. 9:37- All the columns have compressed air drops and coil reels for pneumatic tools like you would see in a service garage 13:00- View the welding lab area which has its own self-contained exhaust system. 15:05- Step into the composition lab which will be used for working on aircraft fiberglass repairs and modification. 17:25- Ben Fish explains why LPC was attracted to the site, “we could almost see our office building downtown from this location.” 21:20- The mural on the west side of the building along Ashland Avenue is as part of a public art initiative on new developments in the 11th Ward. 24:40- Michael Conway and Gavin Stainthorpe give background on the tenant's requirement and their search across Illinois and Indiana and the need to find a building with sufficient parking. 28:30- The facility did not need to be next to airport and instead focused on population density and the ability to attract students from not only the City of Chicago but all across the metro area.

Episode 41 features Dean Brody to discuss truck terminals and their role in movement of goods.  This episode introduces a recent whitepaper: Driving Forward which describes the background of truck terminals, how they fit into the supply chain as well as building characteristics, development considerations, and investment trends.    Click to download the report. 

Reggie Greenwood, Executive Director of the Chicago Southland Economic Development Corporation  and Scott Duerkop join the podcast to discuss the unique logistics and transportation assets and industrial site opportunities in the region.  Show Notes 2:20 Defining the geography of “Chicago Southland” which encompasses South Chicago, South Cook County, Eastern Will County and the I-57 and IL-394 Corridors.   4:00 The recent sale of the Balmoral Horse Racing Track in Crete could be a potential industrial development site.   7:25 The CN Intermodal terminal in Harvey is a major transportation hub in the region.   8:50: Scannell Properties has acquired 140 acres in Tinley Park for the development of up to three buildings.   11:25 Governors State University has a Supply Chain Innovation Center to help with job training and recruitment.   16:00  The construction of a South Suburban Cargo Airport could lead to the development of more industrial facilities.   23:30 Two large E-commerce fulfillment centers have opened in South Cook County in Markham and Matteson.   25:30 The new full interchange at I-57 & I-294 has contributed to the success of the region as a whole.   33:50 Housing prices have increased substantially across region in the last year.  

In this episode, Chad and George join David Bodamer, host of Wealth Management Real Estate's Common Area Podcast to discuss some areas within the industrial world you may not think about such as cold storage, truck terminals and transloading and how they are currently changing and adapting to the technology-based world we live in today As e-commerce continues to change the way we live our day-to-day lives, there have been some major impacts in the world of transportation and distribution that are reshaping the industrial and logistics market. Chad and George discuss: How the pandemic has affected distribution and increased demand for more advanced and adaptable delivery systems throughout the world What transloading is and why it works  New delivery developments such as 15-minute grocery delivery services in New York City Emerging niche markets and how they are creating competition for major big-box distributors  

This supplemental podcast episode is a recording of our April 2021 Chicago Industrial Market Perspective Client Webcast.  Hear from a panel of JLL professionals on various segments of the market including land pricing, urban logistics, construction, and capital markets and more.      0:50 Introduction from John Picchiotti, Chicago Industrial Market Lead.   2:07 George Cutro, Director of Research, provides a recap of first quarter statistics and positive trends including falling vacancies and leasing volume growing across all size segments.   9:01 Kris Bjorson, Head of Retail /Ecommerce Distribution, discusses how customer service and transportation impact site selection decisions.    14:13 Keith Stauber, Managing Director, runs through recent big box market activity and explains how the supply and demand imbalance has drastically shifted in the I-55, I-80 and I-57 submarkets.   22:02 Conor Mullady, Senior Vice President, covers land pricing ranges across the Tri-State market and how entitlements and utility availability impacts the development potential of a site.   28:09 Michael Conway , Vice President, reviews last mile and urban logistics trends within the City of Chicago.      34:53  Sam Durkin, Executive Vice President of JLL Industrial Services, describes how the limited pool of Class A inventory and growing deal sizes across the infill markets are leading to steady rent growth.   41:48  Rick Steger, Head of Industrial Project and Development Services, touches on construction pricing and lead times impacting the delivery of building materials.   46:10 John Huguenard, US Industrial Capital Markets lead, closes the webcast with highlights on cap rate compression and how the depth of the buyer pool has grown for limited industrial offerings.  

This is Episode 37 recapping the JLL 2021 Midwest Industrial Outlook Report which provides insight into 14 markets across the nation's heartland region. The report focuses solely on modern bulk distribution product with an emphasis on the top tenants, institutional developers, and investors. The report also includes findings from a survey from the field of JLL professionals in each market. Questions were focused on the state of each market's institutional product both currently under construction and the pipeline for the next 12 months. 1:35:  Introduction of how JLL defines institutional grade modern bulk or “Big Box” warehouse product 4:03: Modern bulk product accounted for 70% of the overall net absorption since 2016 across the Midwest 7:40:  Tenants are signing leases with phased in occupancy with plans to grow into a large space. 10:40: Survey respondents are expecting a 15% increase in tenant demand in 2021 11:22:  The interactive dashboards in the report allow us to understand trends and see which investors and tenant industries are active across the different markets 13:00: Looking at 2020 figures, Chicago, Columbus and Indianapolis set records for construction completions 14:35: The owner-user build-to-suit trend is increasing as a result of reshoring 18:31: Land constraints challenge developers to look along the fringe of the market for larger tracts for business park development 21:27: The region benefits from critical transportation infrastructure such as the parcel air hubs, intermodal terminals and inland waterways. 22:30: The Midwest markets can service a large swath of the East Coast population within one day's drive time. To access a copy of the report, visit our website for the 2021 Midwest Industrial Outlook https://www.us.jll.com/en/trends-and-insights/research/2021-midwest-industrial-outlook

Matt Goode, Principal of Venture One Real Estate joins the Podcast to discuss the firm's value-add acquisitions platform and ground up development business.  The company is active across nearly every submarket in Chicago and recently branched out to the East Coast.  Also hear about Matt's personal background and a recap of several successful transactions locally with the JLL Chicago Industrial Team.     1:30: Matt reflects on the benefits of starting his career as a development analyst at a publicly traded REIT. 6:22: Venture One recently opened an office in New Jersey and is looking at acquiring property in that market as well as in New York City and Long Island. 8:11: The 20 distinct submarkets of Chicago don't necessarily compete with each other. 12:25: When looking at acquisitions, we look past components of a building which somebody else may see as a detriment to the property. 14:40:  With the former WMS Building in Waukegan which had a lot of amenities, we were able to offer a heavy amount of office space at a significant discount to replacement cost. 20:00: There may be opportunities for industrial developers to partner with retail owners. 23:30: We want to buy functional properties that work for a wide variety of users. 28:32: Core pricing today for industrial is more aggressive than it was coming into the pandemic. 42:36:  Despite Covid cancelling the Chicago Marathon, Matt ran his route along the Des Plaines River Trail and raised money for Lurie Children's Hospital. 44:15: Matt credits his grandfather, who owned a real estate brokerage company, and his father Mark Goode as mentors.    

Phillip Smailes, Director of Marketing for Progressive Rail Incorporated joins the podcast to talk about the Chicago Junction Railroad and the Chicago, St. Paul & Pacific Railroad.  These two short lines service the Centex Industrial Park in Elk Grove Village and the Bensenville Industrial Park.  Progressive Rail has a national reach operating 13 short lines in 8 states and locally services a diverse group of industries on their 20 miles of track and yards with the ability to interchange with other Class 1 railroads.     2:35:  Progressive Rail is heavily concentrated in the Midwest and got their start in Minnesota by taking over an abandoned rail line.   8:40: Short line railroads provide detailed local switching service which compliments precision scheduled railroading (PSR).   10:36: Mention of some of the various industrial customers served.   12:10: JLL's introduction to PGR while working with 3W Plastics and reactivating rail service in their new Elk Grove Village facility.   17:35: Transloading offers customers the ability to take advantage of the efficiencies of rail.   18:08: One covered hopper railcar can carry the equivalent of approximately four truckloads of product.    22:30: Plans to expand their transloading capacity in Elk Grove Village.   29:05:  Striving to maximize customer output by turning cars more frequently to meet their needs for moving inbound raw materials and outbound finished product.   33:45: The Village of Elk Grove has been very supportive and views the rail line as a critical asset to their industrial park. 

Rick Steger, head of JLL's industrial project and development services group, marks his first return to the podcast since Episode 3. In this installment, we discuss the state of the industrial construction market during COVID-19—including safety features clients are requesting in buildouts, and opportunities in e-commerce, manufacturing and medical/biotech. We also examine how a few trends have evolved since Rick discussed them back in 2017.   2:50: Before COVID-19 hit, U.S. construction was projected to be flat in 2020. 4:17: Project times have lengthened due to government shutdowns, productivity declines, labor shortages and delayed equipment/material deliveries during COVID-19. 7:26: Construction hit its bottom April 22, when 60% of U.S. projects were put on hold or canceled, but began bouncing back by May 20, with many projects back up and running early to mid-June. 11:48: The construction industry is predicted to be down 10-15% overall in 2020 vs. 2019 – not bad considering how much it's grown over the past few years. 13:18: Opportunity: Growing use of e-commerce, specifically grocery e-commerce, during COVID-19 is driving demand for new distribution centers in urban centers, multi-floor downtown warehouses, dark-store conversions, and more. 16:54: Opportunity: During COVID-19, many manufacturers have been rethinking their supply chain operations, seeking to de-risk by building more facilities stateside and relying less on overseas operations. 18:22: Opportunity: Some of medical and biotech also will move manufacturing back stateside following problems faced overseas during COVID-19. 19:23: Ensuring safety on the job site: From temperature checks and questionnaires to HVAC systems and UV light. 22:20: Preassembled components and automation likely to rise in use in the construction process due to COVID-19. 23:34: Revisiting topics from Ep. 3: Precast supplies, 40' clear and LEED/energy efficiency programs.

The COVID-19 pandemic is changing the way we're working, shopping, living and planning for the future. In this episode, we discuss shifts in e-commerce to accommodate an influx in shoppers and expansion of the supply chain. We also revisit predictions from two years prior when we first spoke with Matt Powers, executive vice president for retail and e-commerce distribution at JLL.   2:05 – Companies are not focusing on a single building in a single market, they're looking to roll out a true network.   4:00 ­– Tertiary markets are as hot as they have ever been. 6:33 – Consumers are more cautious in their shopping experience. 8:33 – Starting to see a shift in the supply chain from global to regional. 9:35 – Many retailers recognize the need to open a large presence closer to major metros and a secondary presence in tertiary markets to fulfill customer needs. 13:24 – How different generations experience online shopping. 14:23 – Opportunities for online ordering and pickup in the wake of the pandemic may create problems for inventory, especially in areas of cold storage. 15:15 – Consumers forced to do “BOPIS” (Buy Online Pickup In Store) during the pandemic will now be more comfortable with this shopping method going forward. 18:40 – The future is bright for grocery and their delivery services. 18:56 – Following up on predictions from two years prior. 19:38 – There's a continuing demand and driver for e-commerce to arrive at the end customer more quickly. 21:15 – Some companies are more sophisticated and ready to approach e-commerce and supply chain conversations, and others want to hear success stories and best practices before they take the next step.

When the pandemic first hit the U.S., it seemed everything came to a standstill. Now, we're seeing how companies are reacting and adapting to in the way they conduct business. Listen to the latest episode featuring Christian Beaudoin, managing director, research and strategy at JLL to discuss how the firm is supporting clients and pushing forward during these uncertain times.   3:09 – JLL is laser focused on helping companies with re-entry and how to safely get back into the workplace. 5:50 – JLL's Workplace Survey assesses available resources and productivity when working remotely. 9:00 – JLL was well prepared to get ahead of the curve with a transition to working from home.   10:45 – Stories on how the research team is tracking transaction activity and collaborating virtually with our tech tools. 13:45 – Supply chain reconfigurations could benefit Chicago's industrial and transportation sector. 15:15 – Closely tracking new available spaces coming to market to assess the impacts on vacancy. 16:00 – Life on the home front: what does your daily routine look like?

With the rise of e-commerce, buyers expect goods to be delivered to them in one day. This in turn drives the amount of industrial construction needed to keep up with demand. A recent research study from JLL analyzed 4.2 billion square feet of industrial product representing 32 percent of the total United States industrial base, and identified trends and growth in 14 cities across the Midwest and Great Lakes regions in regards to dock door construction.   Download the full report here.   2:45 – Key findings from Cincinnati and other Great Lakes markets in the “e-commerce corridor” including Louisville, Cincinnati and Columbus. 4:53 – Dock door ratios have grown to one dock for every 7,000 square feet, approximately. 5:30 – Indianapolis has seen record dock door construction over the last three years. 6:46 – Most developments are in urban areas. 10:39 – St. Louis and Western Michigan saw the greatest increase in dock door construction.

We're back with episode 30 and another segment of our industrial education series. Today,you'll hear from JLL's Managing Director of Supply Chain & Logistics Solutions,Bob Silverman,who supports JLL's Northeast industrial group. We discuss rules of thumb and important considerations for both occupiers and developers when choosing an existing warehouse or designing and constructing a new warehouse facility. You'll also learn about cubic capacity, best-in-class property features, how things flow “inside the box” and how to analyze efficiency. 4:30: Outbound transportation tends to be more expensive than inbound transportation and being close to the customer is critical. 6:39: Some users may benefit from modern, higher clear height facilities by gaining an extra pallet storage position. 11:54: The number of inventory “turns” varies by industry and can help determine an optimal building. 15:39: Tenants are balancing different types of space requirements to determine storage capacity to hold product and the “throughput” requirements to receive and ship volumes. 17:43: In many cases, 36-foot and 40-foot clear are not being utilized, but capital markets considerations and future re-tenanting of the building are spurring the construction of higher cube buildings. 19:33: Site coverage standards are changing dramatically to focus on incorporating more flexible parking layouts. 22:54: Industrial power requirements are increasing as industrial users are requesting greater electric capacities for faster lift truck charging, air conditioning and powering the material handling equipment. 27:32: “Co-bots” is a term used to describe robots and people working side-by-side. 32:29: Autonomous yard spotters may be adopted more quickly than fully autonomous tractor trailers due to their operation on private property.

In a new crossover episode from JLL Chicago Industrial Real Time and Where We Buy, JLL researchers discuss the holiday shopping season and a product's journey from the warehouse, to the store, to the consumer, and sometimes a return.Listen as our experts discuss the triumphs of the 2019 holiday season, and how their predictions from their last collaboration in 2017 panned out. 1:37: The peak seasonal spike for warehouse labor is a big issue for companies as unemployment is low. 3:19:Most products come from overseas and require different modes of transportation to get the goods to their destination. 5:10:Third party logistics (3PL) companies are a great solution for flexible warehousing, overflow and seasonal spikes. 6:47:Packaging and transportation companies are affected by the busy holiday season as they need to account for the influx well before the season begins. 8:17:The rail and trucking industries work together to move goods. 10:08:Holiday sales increased from last year, and online sales continued to grow. 11:16: Warehouses for online stores and traditional stores vary in square footage, height and technology at the facility. 13:10: Returns are a big supply chain cost, and retailers struggle with how to accept them due to the costs associated with getting the item back. 14:47: The future of warehousing looks different for each company. 16:44: Malls are here to stay, but they need to be focused on experience and entertainment. 18:30: KidZania is a role-playing experience for kids where they are assigned a career and participate in activities that teach them various skills. 20:02: There are too many malls, but not too many retailers. 22:15: Grocery stores have changed in the last 10 years in the products and services they offer. 23:43: How e-commerce companies are making the move—if at all—to brick-and-mortar stores.

Recently, we joined Commercial Property Executive to discuss what's considered a “big box” warehouse, where we're seeing rentgrowth, how population densityfactors intolocation selection, and more. Thanks to Senior Associate EditorLaura Calugar for hosting us and posingpoignant questions about what's driving the industry and where it's headed. 0:25–What's considered “big box,” and where demand lies for these facilities. 3:36–Absorption is keeping pace with demand. 4:34 –Population density is driving location choice for occupiers. 7:17–Rents are escalating along both coasts between fiveto 10percent; in the Midwest, rents are growing between three and five percent. 8:37–Investors are entering secondary markets searching for higher yielding opportunities. 10:25–Population density is a factor to consider when looking at emerging markets for “big box”industrial facilities. 13:00–Third-party logistics companies have been a top driver inleasing activity in 2019as companies focus ontheir core business—running their stores, developing a new product or strengthening customer service—and outsourcing warehousing and transportation to 3PLproviders. 14:23–Tariffs and trade disputes with China have slowed down some industries, including raw materialsand agriculture. 18:52–Labor shortages are a major challenge for thegrowth of the logistics anddistribution industry. 21:13–Employers can attract and retain talent by selecting a location in close proximity to retail and dining amenities. 22:23 –Overall the industryoutlookis positivefor 2020.

Episode 27 brings together Chris Arnold, of the Transforming Cities podcast, and JLL Chicago Industrial Real Time. Listen as we discuss data and tools that are most useful, the warehouse of the future and how to market buildings in today's world. 2:20 – Chad Buch and George Cutro share their backgrounds and how they entered the world of commercial real estate. 8:40 – There's a lot of data points to consider, but the most important items they track about an industrial asset are: location, price, clear height, docks, drive-in doors, office space within the building and power. 12:50 – Since industrial buildings may be far apart, the team uses various technology—including Blackbird, a geospatial tool—to show clients an asset before making the trip to see it in person. In a virtual market tour they may review: transportation connectivity, drive times, labor and demographics, siteplans and circulation and nearby amenities. 16:56 – Industrial real estate has become more sophisticated in the last five to 10 years as manufacturing and fulfillment centers have expanded their footprint and functions and technology and automation have made buildings more connected. 17:46 – The warehouse of the future has more power, thicker floors, additional parking, secure truck courts, wireless infrastructure and sensors, and HVAC for quicker shipping and delivery. 23:57 – Chicago has a unique place in industrial history. 27:47 – Some buildings are better candidates for redevelopment and conversion rather than modern production and distribution—here's why. 31:56 – Buildings today are being marketed more strategically now than years ago. 36:20 – Aerial footage and drones are a huge asset to show real-time progression of construction sites. 40:32 – Chad and George highlight fellow industry experts.

We're back with episode 26 and a lively discussion with Josh Grodzin of the Elk Grove Village Strictly Business Podcast. George Cutro, Chad Buch and Brian Carroll, an experienced broker who's worked in the Elk Grove Village market for the last 35 years, were invited to join Josh on his latest episode. Listen as we recount the dynamics of the O'Hare market, the diversity of businesses in Elk Grove Village and why it's enticing to future tenants. Thanks to Josh and his team for inviting us on his podcast. Listen and subscribe, and check out Strictly Business for more details about Elk Grove Village. 2:02: Elk Grove Village alone is 40 million square feet of industrial properties which automatically makes it bigger than eight of the other Chicagoland submarkets. 3:20: It's a fun and diverse marketplace and the village is going through a renaissance. 6:00: Understand your lease expiration date and start looking for space at least a year in advance. 7:00: According to JLL's lease activity dashboard, 50 percent of all the deals in the O'Hare market are between 20,000 to 50,000 square feet. 8:40: When we conduct business ambassador visits, our local businesses say their biggest issue is not always taxes: it's workforce. 10:50: Progressive Rail offers customer-focused rail service to industrial businesses in the village. 13:16: Elk Grove Village's TIF District and our goal is to be beyond business-friendly. 14:40: Developers have focused on infill redevelopment and the O'Hare market is ideal for these “closer-in” sites for faster delivery. 18:18: ComEd upgrading substations which is bringing massive power improvements to the village. 18:51: A lot of foreign investment coming into the market along I-90, MC Machinery Systems and Yamazen.

Welcome to Episode 25 and another submarket battle! In this segment we discuss market trends seen in several cities. You'll learn about vacancies, absorptions, developments underway and the largest sale in one market's history. 1:08 – “All figures pointing in the right direction with vacancy holding steady and demand being driven by midsized deals.” – Chad Buch, Research Manager, Chicago 1:56 – “Vacancy is consistently coming down, a lot of preleasing, average spec building size is 150,000 to 200,000.” – Tyler Hegwood, Senior Research Analyst, Minneapolis 3:00 – “Much of the absorption is driven by build-to-suit (BTS), and a large proportion of construction is BTS due to specialized building needs.” – Andrew Thompson, Senior Research Analyst, St. Louis 4:08 – “Historically low vacancy for modern bulk, over 1 million square feet of spec this year since Cleveland has historically been a BTS market.” – Johnathan Miller, Research Analyst, Cleveland 5:45 – “Construction keeps on coming out of the ground, over 11 million square feet is underway, and rents are up 5% year-over-year.” – Mike Cagna, Research Manager, Indianapolis 7:24 – “Lots of institutional investment happening, and the largest portfolio sale in market history.” – Carolyn Bates, Director of Research, Minneapolis

Welcome to Episode 24! In this latest edition we spoke with Sarah Borchersen-Keto, editorial director at Nareit and Nareit's REIT Report Podcast, a voice representing real estate investment trusts. This episode covers why 2019 is a transitional year in real estate, activity we're seeing across markets and industrial trends. It's a quick 10 minutes packed with a lot of content—listen to the full episode to learn more. 0:30 – Why 2019 is a transitional year in industrial real estate 2:14 – All major industrial markets are currently in the peak phase of the real estate cycle 3:43 – Heightened activity in smaller segments 6:32 – Trends in speculative activity versus build-to-suit 8:27 – Why Chicago is considered a bellwether market

Truck terminals are a crucial part of our daily lives—whether we realize it or not. In the Chicago metro market alone, there are 200 terminals making up roughly 9.3 million square feet. In this episode of JLL Chicago Industrial Real Time, we discuss truck terminal facilities, what they are and how they're used. Time stamps: 1:28 – Costs associated with trucking terminals 3:21 – Coverage and land-to-building ratio 4:58 – The layout of a trucking terminal 9:32 – Valuation of truck terminals 14:20 – The challenges of establishing a truck terminal 16:10 – Sale and lease pricing

Indianapolis has grown exponentially in recent years as a destination for industrial space. A main driver? Easy access to nearly 70% of the U.S. population. The latest installment of the Chicago Industrial Real Time podcast will detail what's happening in Indy and how it compares to other cities in the Midwest.

The gloves come off in this battle of an episode. Our market research experts battle on whose submarket is the best starting with urban infill. Listen to see who comes out of their corner the winner! You can find more on urban infill: the route to delivery solutions here: https://www.us.jll.com/en/trends-and-insights/research/Urban-infill-the-route-to-delivery-solutions

Episode 20: Understanding Intermodal with Union Pacific by JLL Chicago

Episode 19 - Talking trade: How past, present and future tariffs influence industrial real estate by JLL Chicago

Episode 18 - Site Selection Stories: Toyota/Mazda, Part 3 by JLL Chicago

Episode 17 - Site Selection Stories: Toyota/Mazda, Part 2 by JLL Chicago

Episode 16 - Site Selection Stories: Toyota/Mazda, Part 1 by JLL Chicago

Episode 15.5 - Q2 2018 Stats Preview by JLL Chicago

Episode 15 - Will robots overtake humans? The Changing Landscape of Industry 4.0 by JLL Chicago

Episode 14 - Can the market stump JLL Chicago's industrial experts? by JLL Chicago

Episode 13.5 - Q1 2018 Stats Preview by JLL Chicago

Episode 13 - Inside Chicago's $80 billion manufacturing industry by JLL Chicago

Episode 12 - mHUB CEO Haven Allen talks manufacturing innovation by JLL Chicago

Episode 11.5 - Q4 2017 Stats Preview by JLL Chicago

Episode 11 - Pardon the Interruption: ESPN meets Industrial by JLL Chicago

Episode 10 - Stampedes, secret shoppers, same-day shipping, oh my! by JLL Chicago

Episode 9 - Overheard at NAIOP CRE Converge 2017: Top trends and takeaways by JLL Chicago

Episode 8.5 - Q3 2017 Stats Preview by JLL Chicago

Episode 8 - Location, location…logistics: On the road at RidgePort Logistics Center by JLL Chicago

Listen to Part 1 of our special crossover podcast on Where We Buy, hosted by JLL Retail Research expert James Cook: http://wherewebuy.libsyn.com/