CHICAGO | Economic & Business Development

[ebitdadada]

Chicago hotels set summer record

https://www.chicagobusiness.com/commerci...er-tourism-fills-hotels-profits-squeezed

From Crains:

Chicago's hospitality sector just wrapped up its best summer ever measured by hotel rooms filled. But hotel owners are still chasing the bottom lines they enjoyed before the COVID-19 pandemic.

Choose Chicago today announced there were nearly 3.6 million nightly stays at downtown inns from the beginning of June through the end of August, breaking the all-time high for that three-month stretch set in 2019. Hotels in the central business district posted a record-high of $949 million in revenue during those three months of this year, up by 0.8% from the same period in 2024. Nationwide, that number dipped by 0.5% over that span, according to Choose.

[twister244]

Another big win for the Quantum Campus.......

https://www.chicagobusiness.com/technolo...sletter-breaking-news-20251009&utm_term=

Pasqal will invest at least $65 million to set up its first U.S. operations in Chicago and create 50 jobs under an agreement with the state, which is providing $6.1 million in incentives and a $15 million loan to the company.

[VKChaz]

Following differing anouncements, looks like Belvidere might finally have a reopening plan

The new investment over the next four years is said to bring 5,000 jobs and production of five new vehicles in Illinois, Ohio, Michigan and Indiana. Officials say the investment is the largest in the company's 100-year history in the United States.
..

Other investments include $600 million in Illinois to produce the Jeep Compass and Cherokee beginning in 2027, bringing 3,300 jobs. The automaker announced in January that it would reopen the Belvidere facility.

https://www.cbsnews.com/detroit/news/stellantis-announces-13-billion-investment-in-four-states/

[jpIllInoIs]

October 17, 2025 – CSX and the CREATE program reached a major milestone on Oct. 15, 2025, as the first train crossed the new Forest Hill Flyover, a transformative project aimed at alleviating decades of rail congestion in Chicago. The flyover elevates CSX tracks above a critical intersection, enhancing efficiency, safety, and reliability for both freight and passenger rail operations.

Part of the 75th Street Corridor Improvement Project, the Forest Hill Flyover is the result of a collaborative effort between public and private partners. By separating CSX tracks from those of BRC, Metra, and Norfolk Southern, the project eliminates a long-standing bottleneck where 30 SouthWest Service Metra trains and 35 freight trains intersect daily along the Western Avenue Corridor. This separation reduces congestion, minimizes delays, and improves service across the region.

The placement of the final girder in July 2025 and the first train movement in October mark a new era for Chicago’s rail infrastructure. The project highlights how innovation and collaboration can drive meaningful progress in one of the nation’s busiest rail hubs.

https://www.youtube.com/watch?

CREATE project page

[ardecila]

^ Great to see this finally open. We've gotta get faster at building this stuff, the Google streetview images are ten years old and you can see this project in early phases.

This isn't even the whole 75th St Corridor, there are multiple other projects on this scale that they need to complete before the rail lines in this area can be properly untangled.

[marothisu]

County level GDP is out for 2024 as of a few days ago. Prelim but the Chicago area jumped up beyond $900B GDP. Looks to be probably less than $10B behind Paris now. Dallas area isn't catching up to Chicago anytime soon contrary to popular belief (SF still above them anyway, barely)

[VKChaz]

Originally Posted by marothisu

County level GDP is out for 2024 as of a few days ago. Prelim but the Chicago area jumped up beyond $900B GDP. Looks to be probably less than $10B behind Paris now. Dallas area isn't catching up to Chicago anytime soon contrary to popular belief (SF still above them anyway, barely)

wiki also includes 2024 numbers
https://en.wikipedia.org/wiki/List_of_United_States_metropolitan_areas_by_GDP

fwiw
I know the Bay Area is divided between two MSAs, but living there much of the time I certainly never consider the San Francisco/Oakland and Silicon Valley two separate metro areas (no one would say the SF 49ers moved out of the metro area after all). Combined they would be about 10% less than the LA area.

[left of center]

Some back of the napkin math:

% increase 2023-2024

NYC: +6.17%
LA: +5.07%
Chi: +4.21%
SF: +5.38%
DAL: +5.48%
HOU: +5.09%
DC: +5.78%
BOS: +5.60%
ATL: +5.39%
SEA: +7.36%

We were the slowest growers in the top 10, but not terribly behind the average. Would be great to see our growth rate improve in the coming years.

[sentinel]

Jan 2025 - Jan 2026. Most of Illinois is very much on the higher end of the that spectrum, home prices increasing the most here and WI.


Kind of shocking, or maybe not

[VKChaz]

Originally Posted by sentinel

Jan 2025 - Jan 2026. Most of Illinois is very much on the higher end of the that spectrum, home prices increasing the most here and WI.

Kind of shocking, or maybe not

The areas of the country that previously saw a big price and new construction surge are now deflating a bit. Maybe developers will put some emphasis into the north / central area

[OrdoSeclorum]

Originally Posted by VKChaz

wiki also includes 2024 numbers
https://en.wikipedia.org/wiki/List_of_United_States_metropolitan_areas_by_GDP

fwiw
I know the Bay Area is divided between two MSAs, but living there much of the time I certainly never consider the San Francisco/Oakland and Silicon Valley two separate metro areas (no one would say the SF 49ers moved out of the metro area after all). Combined they would be about 10% less than the LA area.

People say this about San Jose and San Francisco as a way to boost it. "It should include San Jose." But San Jose has a bigger population. It would be rolling SF into San Jose and not the opposite.

[sentinel]

Originally Posted by VKChaz

The areas of the country that previously saw a big price and new construction surge are now deflating a bit. Maybe developers will put some emphasis into the north / central area

'A bit' is an understatement. If TX, FL and CA are declining statewide, and the Great Lakes areas (and inland) are exploding, I think that says a lot about where the near future lies. Any developer with common sense would jump at this opportunity. And now with the state wanting to expand new housing construction to address housing shortages, IL could be positioned as a new mecca of affordability.

[twister244]

Originally Posted by sentinel

'A bit' is an understatement. If TX, FL and CA are declining statewide, and the Great Lakes areas (and inland) are exploding, I think that says a lot about where the near future lies. Any developer with common sense would jump at this opportunity. And now with the state wanting to expand new housing construction to address housing shortages, IL could be positioned as a new mecca of affordability.

Yeah, It's a very fascinating trend, and I'm happy to see it.

The good news is that we are seeing growth in the city, even if it's not in the form of 500+ foot highrises going up like they were pre-Covid. As I said in the general thread, there seems to be a ton of these smaller developments going up all over the city which, to me, reflects this trend, and the developers see it.

[Randomguy34]

^ yeah, it'll be faster and more affordable to bring a majority of neighborhoods to 30k ppl/sq mi via midrises+4 flats+coach houses (i.e. the Philly approach) than to focus on building a few select 100k ppl/sq mi corridors (i.e. the Toronto approach).

[marothisu]

Originally Posted by VKChaz

wiki also includes 2024 numbers
https://en.wikipedia.org/wiki/List_of_United_States_metropolitan_areas_by_GDP

fwiw
I know the Bay Area is divided between two MSAs, but living there much of the time I certainly never consider the San Francisco/Oakland and Silicon Valley two separate metro areas (no one would say the SF 49ers moved out of the metro area after all). Combined they would be about 10% less than the LA area.

For the record, the wiki page posted those numbers before the BEA (where the official US numbers come from) even had county data up.

Those numbers aren't official numbers at all.

[VKChaz]

Originally Posted by marothisu

For the record, the wiki page posted those numbers before the BEA (where the official US numbers come from) even had county data up.

Those numbers aren't official numbers at all.

The BEA source links for each metro are included in the wikipedia table. From a quick glance, the totals appeared correct. Unless you don't believe the correct source data is being used.

[ebitdadada]

We're back bishes????

IBM to hire 750 at Chicago’s quantum campus
April 29, 2026 10:02 AM CDT John Pletz

IBM plans to dramatically increase its presence in Chicago with a commitment to hire 750 technical workers at the Illinois Quantum and Microelectronics Park on the South Side.

The company will create jobs in AI, cybersecurity, data science, quantum and other technologies, in part through an apprenticeship program with City Colleges of Chicago.

https://www.chicagobusiness.com/technology/ccb-ibm-quantum-pritzker-city-colleges-20260429/

Mars plans to add 600 jobs as it expands Chicago headquarters
March 26, 2026 11:11am CDT

Gov. JB Pritzker and company leaders announced the expansion Thursday in a statement from the governor’s office. This includes adding Mars Snacking’s North America Region, Accelerator Division, and Global Functions to its Chicago operations.

Mars Snacking will open a new North America regional office hub in Chicago’s Fulton Market district, with capacity for more than 1,000 associates, according to the statement. The Accelerator division will also establish a new global office hub downtown, taking over the former Kellanova global and North America headquarters.

https://www.fox32chicago.com/news/mars-add-600-jobs-expands-chicago-headquarters

Halsted Pointe Begins Construction On Goose Island
Ian Achong 7:45 am on April 29, 2026

Construction has kicked off for the first tower of Halsted Pointe at 931 North Halsted Street on Goose Island. ... While the completed project will include five high-rises and a mid-rise, this initial phase will consist of a 46-story tower designed by local architecture firm HPA.

https://chicagoyimby.com/2026/04/halsted-pointe-begins-construction-on-goose-island.html

[ebitdadada]

And... more today

West Coast tech firm eyes big Chicago office expansion
By Danny Ecker April 30, 2026 01:44 PM CDT

A West Coast data and artificial intelligence company is beefing up its workspace in Chicago, a promising tech sector win for the depressed local office market and one of two new leases being finalized at a 60-story Loop tower.

San Francisco-based Databricks is poised to lease about 50,000 square feet in the Franklin office building at 227 W. Monroe St., according to sources familiar with the matter. The company would relocate and dramatically expand from offices it occupies today across the street in co-working operator Convene at 311 W. Monroe St.

....

If Databricks’ local growth signals what’s ahead for burgeoning AI companies seeking a Chicago presence, the tech industry could help rescue a downtown office market that has more vacant space than ever before.

https://www.chicagobusiness.com/real-est...alliant-office-leases-franklin-20260430/

[twister244]

Originally Posted by ebitdadada

And... more today

West Coast tech firm eyes big Chicago office expansion
By Danny Ecker April 30, 2026 01:44 PM CDT

A West Coast data and artificial intelligence company is beefing up its workspace in Chicago, a promising tech sector win for the depressed local office market and one of two new leases being finalized at a 60-story Loop tower.

San Francisco-based Databricks is poised to lease about 50,000 square feet in the Franklin office building at 227 W. Monroe St., according to sources familiar with the matter. The company would relocate and dramatically expand from offices it occupies today across the street in co-working operator Convene at 311 W. Monroe St.

....

If Databricks’ local growth signals what’s ahead for burgeoning AI companies seeking a Chicago presence, the tech industry could help rescue a downtown office market that has more vacant space than ever before.

https://www.chicagobusiness.com/real-est...alliant-office-leases-franklin-20260430/

That's awesome..... Interesting to see if this trend continues of bringing tech companies into the city, and how much this is tied to the Quantum wave......

[OrdoSeclorum]

Originally Posted by twister244

That's awesome..... Interesting to see if this trend continues of bringing tech companies into the city, and how much this is tied to the Quantum wave......

My read on it as that Quantum investments are 100% R&D focused at this point and long-term. Companies like Google and IBM are doing well so they can afford to make these bets and it's good that Illinois is going what it can to nucleate a cluster here so that if it pops off, we can benefit from a concentrated position.

AI/Data Center/Semi Conductor/Power stuff is upstream of that and looks similar if you squint, but expansion and leases are being driven by revenue *today*. There's a broader set of companies that have more money than they can spend right now and unlike Facebook and Salesforce from the last tech boom, some of them are old-economy companies like Eaton. Eaton bought Triplite in Bridgeport a few years ago and that's as old economy as it gets. As these sorts of companies see revenues triple and stock prices quintuple, they tend to hire people and rent office space because that investment starts to look pretty modest compared to their windfall and they don't want to make an conservative choices that might slow down the money train. Better to have 75 people you might not need so that you don't have to turn down a contract you don't have room on the calendar for. If you really don't need them, no big deal. You've got all the money you need.

Chicago tends to benefit from that sort of expansion because we're the third largest talent pool, easy to fly into and, well, other stuff too but mostly that. Chicago also benefits from a similar dynamic when recruiting gets too hard in San Francisco. They open up satellite offices and we're on the short list. If there's going to be a new industrial revolution, Chicago is in a good position to be involved for the same reason we were for the last one.