Chicago Industrial Market Report

Rapid construction decline drives tightening market. Deliveries slated for 2025 will undercut the half-decade average by 70 percent, dropping below anticipated demand despite falling corporate confidence. With nearly half of 2025 completions fully leased as of June, supply pressures should be at their lowest in over a decade through year-end. In 2024, leasing concentrated in Chicago’s northern and southern suburbs, led by agreements inked for over 1 million square feet each by Amazon, Samsung and Post Consumer Brands. This year, logistics and related companies will drive large-scale move-ins. RJW Logistics Group, C&Y Logistics and Uline have already occupied nearly 2 million square feet, with plans to collectively fill another 2.5 million square feet in the coming months. Meanwhile, sub-50,000 square-foot leases have maintained a wide spread across the metro, with heightened activity near Elk Grove Village, in the Glendale Heights-Addison area and along Interstate 55 from Bridgeport to Romeoville.