Quote:
Originally Posted by SamInTheLoop
(and actually thru impacting other investors' psychology by making people think this is actually on its way in the near future, thus inducing more speculative activity/higher risk-taking/appetite on their part)
|
I don't know why you are maintaining this argument that the growth in the West Loop is somehow illegitimate. The neighborhood has arrived. Residents, restaurants, and now employers increasingly want to be there. That's all there is to it.
If you think it's a bad decision on McDonald's part, then get ready for the business community, city officials, and others to double down. They will work through any issues with the neighborhood... it's not like this is Motorola moving to Harvard IL. It is the bleeding edge of the second-biggest CBD in North America, with the entirety of the Chicagoland rail system and expressway system accessible inside of ten minutes.
What are you expecting? McDonald's will say, uh-oh, this was a bad decision and terminate their lease, paying massive penalties to Sterling Bay (or whoever their landlord happens to be)? Or will they sink a smaller amount of money into shuttles or whatever else they need to make the location work? Based on 600 W Chicago, I think the latter is infinitely more likely. I haven't seen a mass wave of defections from that building, in fact it has 1.2M SF mostly leased up, with even poorer transit access than the Harpo site.