CHICAGO | Economic & Business Development - Page 75

jpIllInoIs · #**1481** Posted **May 23, 2018, 12:53 PM**

Quote:

Originally Posted by marothisu

2545 W 24th Street. I guess maybe it's "Heart of Chicago" but not far from Marshall Square technically.

https://www.google.com/maps/place/25...!4d-87.6893875

It's supposed to be just shy of 175,000 sq ft and 40 feet in height. It's good to see these things come back to areas like this if there's actual jobs associated. Sounds like spec, but we'll see. I guess at a minimum at least it means an ugly vacant lot will become something.
https://www.cityofchicago.org/city/e...dustrial-.html

^ could be this project by Cushman Wakefield Also reported in BizNow But soemthing about that site from google maps doesnt fit. I have also seen this project linked to 5400 West 16th Street Which is much larger.

Anyway the trend is good and is advancing. Chicago infill industrial sites are in high demand. Mostly for last mile logistics. Of course it would be higher use to see some actual manufacturing.

rgolch · #**1482** Posted **May 23, 2018, 12:55 PM**

Wow. Only 13 for LA. That’s a tremendous shocker. But also demonstrates that you don’t have to be a part of a Fortune 500 company to generate wealth. Which brings me to my next point. There’s also a lot of economic activity in Chicago that doesn’t show up on that list (i.e. companies in the futures, derivates, and options world).

the urban politician · #**1483** Posted **May 23, 2018, 1:24 PM**

Quote:

Originally Posted by rgolch

Wow. Only 13 for LA. That’s a tremendous shocker. But also demonstrates that you don’t have to be a part of a Fortune 500 company to generate wealth. Which brings me to my next point. There’s also a lot of economic activity in Chicago that doesn’t show up on that list (i.e. companies in the futures, derivates, and options world).

Exactly.

The F500 list tells the story that the media doesn’t in its obsession over “superstar coastal cities”, which only tell a story of rising new industries, but ignores the extant industries that have been generating wealth for places for a very long time.

And to the contrary if you think that these old industries are sleepy and dying. They have had to adapt to the changes of technology, and many old guard companies are, essentially, tech companies today in their own right.

Investing In Chicago · #**1484** Posted **May 23, 2018, 1:56 PM**

Quote:

Originally Posted by marothisu

Yes, though Minneapolis has been like this for a long time. Some of these companies are mainstays... 3M, Target, Best Buy, etc. You also have Medtronic which has it's operational HQ in the area, but it doesn't show up on the list because the full HQ is in Dublin. That's a $30B company with a significant presence and operational HQ. And then 75 miles away but not in the MSA is the Mayp Clinic which is usually ranked the #1 or #2 hospital in the country. They do $11B per year.

Maybe it is because I grew up in Minnesota I knew this stuff, but the Minneapolis area especially is a kind of powerhouse. It's similar in size to Seattle and San Diego areas and the GDP is a little above San Diego, but it has more F500 companies in its area than those 2 combined

Plus MPLS has the largest privately held company, Cargill, which I believe would be top 10 on the fortune list, if it were publicly traded.

LouisVanDerWright · #**1485** Posted **May 23, 2018, 1:58 PM**

Quote:

Originally Posted by marothisu

2545 W 24th Street. I guess maybe it's "Heart of Chicago" but not far from Marshall Square technically.

https://www.google.com/maps/place/25...!4d-87.6893875

It's supposed to be just shy of 175,000 sq ft and 40 feet in height. It's good to see these things come back to areas like this if there's actual jobs associated. Sounds like spec, but we'll see. I guess at a minimum at least it means an ugly vacant lot will become something.
https://www.cityofchicago.org/city/e...dustrial-.html

Perfect, that lot is pathetic, glad it's biting the dust. This is technically Marshall/Little Village, the train embankment is the border.

killaviews · #**1486** Posted **May 23, 2018, 2:53 PM**

Quote:

Originally Posted by marothisu

Fortune 500 rankings for 2018 are out. Chicago area has the 2nd most Fortune 500 HQ still - and by a healthy over the 3rd place (Dallas). Chicago area also has more Fortune 500 HQ than the entire Bay Area, by 2. As far as just city proper goes, Chicago has the 4th most after NYC, Houston, and Atlanta.

1. NYC MSA: 79 companies
2. Chicago MSA: 35 companies
3. Dallas MSA: 22 companies
4. Houston MSA: 21 companies
5. Minneapolis MSA: 18 companies
6. San Francisco MSA: 17 companies
7. San Jose MSA: 16 companies
8T. Atlanta MSA: 15 companies
8T. Washington DC MSA: 15 companies
10. Los Angeles MSA: 13 companies
11T. Philadelphia MSA: 11 companies
11T. Seattle MSA: 11 companies
13T. Boston MSA: 10 companies
13T. Denver MSA: 10 companies
13T. Detroit MSA: 10 companies
13T. St. Louis MSA: 10 companies
17. Cincinnati MSA: 9 companies
18T. Miami MSA: 7 companies
18T. Milwaukee MSA: 7 companies
18T. Nashville MSA: 7 companies
18T. Pittsburgh MSA: 7 companies
18T. Richmond, VA MSA: 7 companies
23T. Bridgeport, CT MSA: 6 companies
23T. Charlotte MSA: 6 companies
23T. Phoenix MSA: 6 companies

Kraft Heinz has two HQs, Chicago and Pittsburgh, but its always listed under Pittsburgh.

Vlajos · #**1487** Posted **May 23, 2018, 3:33 PM**

Quote:

Originally Posted by killaviews

Kraft Heinz has two HQs, Chicago and Pittsburgh, but its always listed under Pittsburgh.

Odd, Chicago is really the HQ from what I can tell.

marothisu · #**1488** Posted **May 23, 2018, 4:06 PM**

Quote:

Originally Posted by Vlajos

Odd, Chicago is really the HQ from what I can tell.

Yeah it might be by official mailing address. Forbes gets weird when there's dual HQ. Medtronic in most people's minds in based in the Minneapolis area for example, but their main HQ is listed as Dublin with "operations" hqd in the US. Not a common thing but there are a few areas like Chicago, NYC, and Minneapolis which would probably increase by 1 or 2 as a result.

Fortune also goes up to 1000, so I'll be collecting that data too. Am curious if there's another msa that has a bunch of companies just outside of the top 500 but doesn't have as many in the top 500

Vlajos · #**1489** Posted **May 23, 2018, 5:47 PM**

Quote:

Originally Posted by marothisu

Yeah it might be by official mailing address. Forbes gets weird when there's dual HQ. Medtronic in most people's minds in based in the Minneapolis area for example, but their main HQ is listed as Dublin with "operations" hqd in the US. Not a common thing but there are a few areas like Chicago, NYC, and Minneapolis which would probably increase by 1 or 2 as a result.

Fortune also goes up to 1000, so I'll be collecting that data too. Am curious if there's another msa that has a bunch of companies just outside of the top 500 but doesn't have as many in the top 500

Got it, makes sense.

moorhosj · #**1490** Posted **May 23, 2018, 8:35 PM**

I know some people who work here, good for them. Tribune Link

Quote:

Kroger Co., the largest supermarket chain in the U.S., is paying $200 million to acquire Chicago-based meal kit company Home Chef in a deal the companies say will bring the kits to more customers and help redefine shopping habits.

Quote:

The deal, which is expected to close in about a month, includes future “earn-out” payments of up to $500 million over five years, contingent on achieveing milestones such as meal kit sales growth.

Quote:

Home Chef delivers about 3 million meals a month, the company said. Last year, it made $250 million in revenue. It also receives more than 100,000 reviews every month, giving it insight into consumers’ needs and desires that Kroger likely can learn from, said Yael Cosset, chief digital officer for Kroger.

marothisu · #**1491** Posted **May 24, 2018, 3:14 AM**

Here are the Fortune 1000 numbers. Fortune 1000 revenues start around $1.85 Billion for year 2017.

By MSA
1. NYC MSA: 121 companies
2. Chicago MSA: 69 companies
3. Houston MSA: 44 companies
4. Dallas MSA: 43 companies
5. Los Angeles MSA: 37 companies
6T. San Francisco MSA: 35 companies
6T. San Jose MSA: 35 companies
8. Washington DC MSA: 31 companies
9. Boston MSA: 29 companies
10. Atlanta MSA: 26 companies
11. Philadelphia MSA: 23 companies
12. Minneapolis MSA: 22 companies
13T. Denver MSA: 17 companies
13T. Phoenix MSA: 17 companies
15T. Detroit MSA: 16 companies
15T. Miami MSA: 16 companies
15T. St. Louis MSA: 16 companies
18T. Bridgeport, CT MSA: 15 companies
18T. Cleveland MSA: 15 companies
18T. Columbus, OH MSA: 15 companies
18T. Seattle MSA: 15 companies
22T. Charlotte MSA: 14 companies
22T. Cincinnati MSA: 14 companies
24T. Nashville MSA: 13 companies
24T. Pittsburgh MSA: 13 companies

By City Proper
1. New York, NY: 74 companies
2. Houston, TX: 39 companies
3. Chicago, IL: 28 companies
4. Atlanta, GA: 21 companies
5. Dallas, TX: 16 companies
6. San Francisco, CA: 14 companies
7T. San Jose, CA: 12 companies
7T. St. Louis, MO: 12 companies
9T. Charlotte, NC: 11 companies
9T. Columbus, OH: 11 companies
9T. Irving, TX: 11 companies
9T. Pittsburgh, PA: 11 companies
13T. Boston, MA: 10 companies
13T. Cleveland, OH: 10 companies
13T. Los Angeles, CA: 10 companies
16T. Cincinnati, OH: 9 companies
16T. Milwaukee, WI: 9 companies
18T. Stamford, CT: 8 companies
18T. Las Vegas, NV: 8 companies
18T. Omaha, NE: 8 companies
18T. Richmond, VA: 8 companies
18T. Santa Clara, CA: 8 companies
18T. McLean, VA: 8 companies
24T. Deerfield, IL: 7 companies
24T. Denver, CO: 7 companies
24T. Minneapolis, MN: 7 companies
24T. Phoenix, AZ: 7 companies
24T. Seattle, WA: 7 companies

By State
1. California: 118 companies
2. Texas: 94 companies
3. New York: 93 companies
4. Illinois: 70 companies
5. Ohio: 57 companies
6. Pennsylvania: 42 companies
7. Virginia: 37 companies
8. Florida: 35 companies
9. New Jersey: 33 companies
10. Massachussetts: 32 companies
11. Georgia: 30 companies
12. Michigan: 29 companies
13. Connecticut: 27 companies
14. North Carolina: 26 companies
15. Minnesota: 25 companies
16T. Missouri: 23 companies
16T. Tennessee: 23 companies
18. Wisconsin: 22 companies
19. Colorado: 19 companies
20T. Arizona: 17 companies
20T. Indiana: 17 companies
22. Washington: 16 companies
23. Maryland: 12 companies
24. Oklahoma: 10 companies
25T. Kentucky: 9 companies
25T. Nevada: 9 companies
27T. Arkansas: 8 companies
27T. Nebraska: 8 companies
29. Rhode Island: 7 companies
30T. Iowa: 6 companies
30T. Kansas: 6 companies
32T. Oregon: 5 companies
32T. South Carolina: 5 companies
34T. DC: 4 companies
34T. Utah: 4 companies
36T. Alabama: 3 companies
36T. Hawaii: 3 companies
36T. Idaho: 3 companies
36T. Louisiana: 3 companies
40T. Delaware: 2 companies
40T. New Hampshire: 2 companies
40T. Puerto Rico: 2 companies
43T. Maine: 1 company
43T. Mississippi: 1 company
43T. North Dakota: 1 company
43T. Vermont: 1 company

the urban politician · #**1492** Posted **May 24, 2018, 1:30 PM**

So well below 50% of Chicago area F1000 companies are based in the city.

Thanks, Marothisu

IrishIllini · #**1493** Posted **May 24, 2018, 2:21 PM**

Quote:

Originally Posted by the urban politician

So well below 50% of Chicago area F1000 companies are based in the city.

Thanks, Marothisu

Should be over 50%, but I doubt the suburbs are going to support a regional initiative to concentrate employment in the core. Hopefully it continues to happen anyway. We have an extensive and reliable regional rail network. Local and state officials should be making a greater push to maximize its potential.

IrishIllini · #**1494** Posted **May 24, 2018, 2:22 PM**

Marothisu, are you pulling these #s from Forbes?

the urban politician · #**1495** Posted **May 24, 2018, 2:53 PM**

What all of this data show me is that here is still LOTS of wealth in the Chicago area, tons of it, really locked up in the suburbs.

So for those of us who can't equate that with saturation of the downtown office and housing markets, I use an analogy from physics:

Velocity versus volume. We can still see a trickle of people/jobs flowing downtown, yet end up with rising vacancies and falling rents. That all has to do more with the PACE of construction than the overall net demand.

In other words, I predict that the size of the well of jobs and people who ultimately will relocate to the city center is enormous. We may only still be just at the beginning. I mean, sunbelt shitholes seem to still have more centralized jobs (albeit the land area of those cities is also larger and much more suburbanized) than Chicago does. And New York is about 60% centralized compared to Chicago being under 50%.

So despite market fluctuation that has a lot more to do with the velocity of construction outpacing the rates of absorption, I think the central area boom is in it for the long haul. That's why downtown boomed even after the 2009 recession. What some market analysts still don't seem to understand is that this is not just some boom and bust thing. There is a fundamental structural change happening to the metro area*.

* And no, despite saying all of this, I don't think the suburbs are dying.

Vlajos · #**1496** Posted **May 24, 2018, 2:56 PM**

^ I think you are right. Also, the just released population estimates has revised Chicago's 2016 population up by 15,000 people from last year's estimate. Chicago has now gained 21,000 people since 2010.

the urban politician · #**1497** Posted **May 24, 2018, 3:01 PM**

If Chicago had the same percentage of F1000 companies based in the city as NYC, it would have 42

If we had the same percentage as Houston, we would have 61 companies based in the city.

the urban politician · #**1498** Posted **May 24, 2018, 3:02 PM**

Quote:

Originally Posted by Vlajos

^ I think you are right. Also, the just released population estimates has revised Chicago's 2016 population up by 15,000 people from last year's estimate. Chicago has now gained 21,000 people since 2010.

Huh? All of the local newspapers are saying that we've lost population 3 years in a row. Source?

Vlajos · #**1499** Posted **May 24, 2018, 3:04 PM**

Quote:

Originally Posted by the urban politician

Huh? All of the local newspapers are saying that we've lost population 3 years in a row. Source?

The same source as all those papers. The census revised the population estimate of 2016 from 2.705Million to 2.720Million. The 2017 population is now 2.716M. 2010 population was 2.695. Of course none of the papers talked about this. It doesn't fit the narrative.

https://factfinder.census.gov/faces/...w.xhtml?src=CF

the urban politician · #**1500** Posted **May 24, 2018, 3:10 PM**

Quote:

Originally Posted by marothisu

By State
1. California: 118 companies
2. Texas: 94 companies
3. New York: 93 companies
4. Illinois: 70 companies
5. Ohio: 57 companies
6. Pennsylvania: 42 companies
7. Virginia: 37 companies
8. Florida: 35 companies
9. New Jersey: 33 companies
10. Massachussetts: 32 companies
11. Georgia: 30 companies
12. Michigan: 29 companies
13. Connecticut: 27 companies
14. North Carolina: 26 companies
15. Minnesota: 25 companies

I find this quite staggering. Despite California, Texas, and New York being 5 zillion times bigger and more populous than Illinois (and with Texas and Cali in particular having multiple major cities), Illinois does quite well in this list. Look at all those wealth generators, those cylinders pumping, in Illinois. There is a near infinite pool of wealth to fuel an ongoing central area boom. We just need to tap it as well as we can.

In addition, despite the joyfully morbid death knells about the "rust belt" from lazy coastal elitist bloggers, northern and north east states continue to be very well represented here. Look at Ohio, Pennsylvania, and Michigan. Even Minnesota. And much of New York is still part of the "rust belt" as well.