CHICAGO | Economic & Business Development

[Via Chicago]

https://www.chicagobusiness.com/commerci...ovations-moving-hq-adding-jobs-deerfield

Fortune Brands Innovations is moving its headquarters from one Deerfield office building to another and plans to bring at least 400 new jobs to the northern suburb over the next three years, more than tripling its current local headcount.

The home and security company today announced it will expand its presence in Deerfield by consolidating other U.S. offices there and has inked an incentive agreement with the state of Illinois to bring new jobs to the area. FBIN will move its main office to the former Horizon Therapeutics headquarters property at 1 Horizon Way along Interstate 294 from its existing headquarters at the nearby Corporate 500 complex along Lake Cook Road.

Under an agreement with the state signed last week, FBIN committed to adding a minimum of 400 new local jobs by Dec. 25, 2027, a substantial increase from its 183 jobs here today, according to the contract inked through the state's Economic Development for a Growing Economy, or EDGE, program. The company will receive income tax breaks for 15 years for new employees added by the 2027 deadline, according to the agreement.

FBIN said in a statement that its new space will have capacity for more than 1,000 workers by the end of 2027. The EDGE agreement did not disclose the size or length of FBIN's new lease, but the company said it will "ultimately occupy two buildings" at the former Horizon campus, which includes three buildings along Lake Cook Road between the tollway and Saunders Road.

....

FBIN did not immediately disclose how many offices will be consolidated into the new centralized headquarters, but the EDGE agreement said the company intends to "streamline" its main offices for its various U.S. divisions into the new space. The publicly traded firm, whose brands include Master Lock and faucet maker Moen, lists a handful of regional offices on its website in Ohio, Wisconsin and South Dakota, in addition to its Illinois home.

[IrishIllini]

Good news on the jobs front, just wish the expansion was downtown or at least somewhere more accessible.

[twister244]

It's just one blow after another in downtown on the office real estate front....

https://www.chicagobusiness.com/commerci...ampaign=Newsletter-BreakingNews-20250124

Ex-NBA owner Robert Sarver paid less than $89 million last week for the distressed former Groupon headquarters building

.....

according to Cook County property records. The firm acquired the building from an affiliate of Chicago developer Sterling Bay, which bought it nearly seven years ago for $510 million.

I think it's safe to say any developments with Sterling Bay behind them are basically dead ATM.

[SIGSEGV]

Originally Posted by twister244

It's just one blow after another in downtown on the office real estate front....

https://www.chicagobusiness.com/commerci...ampaign=Newsletter-BreakingNews-20250124



I think it's safe to say any developments with Sterling Bay behind them are basically dead ATM.

well, it is a big blow, but that's hardly downtown.

[twister244]

Originally Posted by SIGSEGV

well, it is a big blow, but that's hardly downtown.

No, but it is part of a trend... Every week there's some headline of major office building X selling at 70-85% off the original purchase price. This is the latest in a string of headlines. I focused on this one in particular because of the Sterling Bay connection. It does appear they are trying to pivot away from commercial and towards residential though. I hope that's the approach they eventually take to LY as there's no hope of large office space going in there to jump start that project anytime soon.

[twister244]

More potentially good news on the Quantum front. Nvidia got hit big time this week, but if anything, it just puts more pressure on companies to ramp up their AI/Quantum efforts moving forward.

https://www.chicagobusiness.com/technolo...ampaign=Newsletter-BreakingNews-20250128

Representatives from the giant chip company were in town for dinner and a site visit to the planned Illinois Quantum and Microelectronics Park being built at the former U.S. Steel site on the Far South Side, according to several people familiar with the visit.

[VKChaz]

Citadel to Leave Namesake Chicago Tower as Employees Relocate

https://www.bloomberg.com/news/articles/...=bn&utm_medium=distro&utm_source=yahooUS

[marothisu]

Originally Posted by VKChaz

https://www.bloomberg.com/news/articles/...=bn&utm_medium=distro&utm_source=yahooUS

The Crains article is much better in detail. Bloomberg for whatever reason left out 2 key details (but I'm not surprised):

https://www.chicagobusiness.com/commerci...el-nears-deal-shrink-move-chicago-office

Citadel is in advanced talks to lease about 55,000 square feet on two floors in the office building at 353 N. Clark St., according to sources familiar with the negotiations.

But the impact of the company's downsizing could be partially muted by a related deal: As the owners of the 37-story Citadel Center watch their anchor tenant head for the exit, they are said to be in early-stage discussions with consulting firm Bain about leasing roughly 175,000 square feet for its new Chicago office — a more than 100,000-square-foot expansion from the space it occupies today at 190 S. LaSalle St., sources familiar with the matter said.

Still a big reduction of space from their height, but as I've pointed out time and time again -- Citadel is not exiting Chicago entirely. There's still hundreds of people in Chicago who aren't about to leave
Source: I know people who work at the Chicago office, and some of the big wigs still remain in town.

[urbanpln]

Did anyone hear of a rumor that United Airlines is moving to Denver?

[twister244]

Originally Posted by urbanpln

Did anyone hear of a rumor that United Airlines is moving to Denver?

This is a rumor that loves to come back every year like the seasonal flu.....

From what I recall, they purchased a ton of land out by DIA in conjunction with a flight simulation center. There's always been rumors of them moving out there, but I suspect, even if they did....... Tons of people wouldn't move out there. Yes, CO has a lot to offer, but suburban DIA is not exactly a similar environment as the Sears Tower.....

On top of that, ORD serves to expand in favor of UA with S1 ramping up soon, along with the six gate request.

[munchymunch]

^ New (zoning change, PD? Not sure how it works) for that Lot in Denver would allow for a million+ in office space for that location. I think United is definitely keeping their options open…

[marothisu]

Originally Posted by twister244

This is a rumor that loves to come back every year like the seasonal flu.....

From what I recall, they purchased a ton of land out by DIA in conjunction with a flight simulation center. There's always been rumors of them moving out there, but I suspect, even if they did....... Tons of people wouldn't move out there. Yes, CO has a lot to offer, but suburban DIA is not exactly a similar environment as the Sears Tower.....

On top of that, ORD serves to expand in favor of UA with S1 ramping up soon, along with the six gate request.

One of my best friends is a pilot (not based in Chicago) and told me if they moved their corporate HQ out of Chicago they'd have a lot of people quitting. He told me it makes zero sense and they're essentially expanding their flight training center and things like that.

Not saying it couldn't happen but he's very skeptical.

[urbanpln]

Thanks for explaining.

[marothisu]

Originally Posted by urbanpln

Thanks for explaining.

To add more color on this -- he said most of his pilot peers are afraid of every city including Denver itself. So this location in the middle of nowhere essentially appeases a lot of them for this alone. When they need to spend any time for training. Also there's a ton of open land and easy enough for them to buy.

Again not saying it couldn't happen but he's had a big laugh a few times about this. For the record he's never lived in Illinois, Wisconsin, or Indiana. So he's not some Chicago/Illinois homer. He's based on the east coast and has been living on the east coast for over 20 years now.

[left of center]

Very reassuring, thanks for your insight marothisu!

[Via Chicago]

i very seriously doubt a random pilot has any more of a pulse on the C suite of UA and their intentions than we do

[twister244]

Originally Posted by Via Chicago

i very seriously doubt a random pilot has any more of a pulse on the C suite of UA and their intentions than we do

No, but again - Even if UA decided to move their HQ - I don't think a ton of people would go.

This kinda goes back to the point that was made about marketing Chicago. People love to try to dunk on the city as though we are a larger decaying version of Detroit.... Except:
1 - We are building the first at-scale Quantum computer on the south side, being co-developed by a Silicon Valley company
2 - We have Google pouring a ton of money to renovate the Thompson Center
3 - We have Chase renovating their tower in the middle of the loop.
4 - Older office buildings on LaSalle are being converted into upscale residential units.

I think stories like Citadel's move make waves in the headlines, but then you realize many people still work here and never left Chicago. It just sounds like Ken Griffin is using typical Chicago stomping points to justify moving his HQ to Miami because.... Maybe he has personal preferences for living in Miami and it's actually pretty disconnected from his talking points.

I love visiting Miami during Winter months, but I would never want to live there, and I'm not touching real estate down there given the blossoming insurance headaches driven by climate change..... and sinking condo towers.

So again, could UA move their HQ? Sure, but people have been speculating about this for years now.

[Steely Dan]

Originally Posted by twister244

It just sounds like Ken Griffin is using typical Chicago stomping points to justify moving his HQ to Miami because.... Maybe he has personal preferences for living in Miami and it's actually pretty disconnected from his talking points.

KG fled chicago because he tried to purchase the governor's office, and then his preferred candidate came in last place in the Republican primary (thanks to a whole bunch of Prtitzker meddling).

Realizing that his vast sums of money were never going to buy him the political clout that he craved, he left, of course saving face by throwing the city and state under the bus.

[Via Chicago]

Originally Posted by twister244

No, but again - Even if UA decided to move their HQ - I don't think a ton of people would go.

This kinda goes back to the point that was made about marketing Chicago. People love to try to dunk on the city as though we are a larger decaying version of Detroit.... Except:
1 - We are building the first at-scale Quantum computer on the south side, being co-developed by a Silicon Valley company
2 - We have Google pouring a ton of money to renovate the Thompson Center
3 - We have Chase renovating their tower in the middle of the loop.
4 - Older office buildings on LaSalle are being converted into upscale residential units.

I think stories like Citadel's move make waves in the headlines, but then you realize many people still work here and never left Chicago. It just sounds like Ken Griffin is using typical Chicago stomping points to justify moving his HQ to Miami because.... Maybe he has personal preferences for living in Miami and it's actually pretty disconnected from his talking points.

I love visiting Miami during Winter months, but I would never want to live there, and I'm not touching real estate down there given the blossoming insurance headaches driven by climate change..... and sinking condo towers.

So again, could UA move their HQ? Sure, but people have been speculating about this for years now.

im not disagreeing with any of this (although if theres serious fed involvement in the quantum park like DARPA - cant say im optimistic about those funds coming to fruition given the current uh, environment). just saying....random pilot is not somehow an inside source regarding corporate HQ relocation intentions lol.

[twister244]

Originally Posted by Via Chicago

im not disagreeing with any of this (although if theres serious fed involvement in the quantum park like DARPA - cant say im optimistic about those funds coming to fruition given the current uh, environment). just saying....random pilot is not somehow an inside source regarding corporate HQ relocation intentions lol.

Random pilot? This is a project with upwards of $1 billion in investments from both public and private sources. IBM, and other major players have indicated their own investments in to the initiative.

This isn't a "random pilot".