CHICAGO | Economic & Business Development

[bnk]

http://www.chicagotribune.com/suburb...031-story.html

Amazon leasing Elgin building off Randall Road for delivery center, number of new jobs not disclosed



Mike DanaheyBy Mike Danahey
The Courier-News

October 30, 2018, 3:50 PM



Online retail giant Amazon is opening a delivery station in Elgin — the last stop for packages before they head out for delivery to customers.

The company will be using about 105,000 square feet of a large, warehouse-style building at 2450 Northwest Parkway off Randall Road.


Elgin Area Chamber of Commerce CEO and President Carol Gieske said Amazon has leased the space and is in the process of hiring for a “last mile” warehouse in which packages shipped from Amazon fulfillment and “sortation” centers are stored until they’re picked up for delivery.


...

[left of center]

Excellent news on the quantum computing field. I have heard much of the blossoming bromance between UofI and UChicago, and this seems to be a continuation of it. Glad to see the two schools working hard to get some of those federal research dollars sent to Chicago. Hopefully Bezos is watching...

[SIGSEGV]

I wonder if it would help to have the Amtrak trains to Champaign have a stop in Hyde Park (presumably 57th Street).

[emathias]

Originally Posted by SIGSEGV

I wonder if it would help to have the Amtrak trains to Champaign have a stop in Hyde Park (presumably 57th Street).

It would require completely rerouting current trains, since Amtrak doesn't even pass through Hyde Park currently. Given the extra time it would likely take to route them via Hyde Park and the many millions it would take to even make the routing possible, I think it wouldn't be worth the effort.

It there were true HSR trains that were designed to do that from the get go then, yes, a Union Station->McCormick->Hyde Park->Champaign->Springfield->St Louis route might make sense then, but I'm not holding my breath

[SIGSEGV]

Originally Posted by emathias

It would require completely rerouting current trains, since Amtrak doesn't even pass through Hyde Park currently. Given the extra time it would likely take to route them via Hyde Park and the many millions it would take to even make the routing possible, I think it wouldn't be worth the effort.

It there were true HSR trains that were designed to do that from the get go then, yes, a Union Station->McCormick->Hyde Park->Champaign->Springfield->St Louis route might make sense then, but I'm not holding my breath

The Saluki/Illini/CoNO do go through Hyde Park (I've seen them!). They reverse onto the SCAL and then go down the CN line. They even stop in Homewood (so it's possible to go Hyde Park to Champaign via ME + Amtrak, but I'm not sure what the schedule looks like). I do think the plan is so reroute them when one of the rail improvement projects is over though.

[k1052]

Originally Posted by SIGSEGV

The Saluki/Illini/CoNO do go through Hyde Park (I've seen them!). They reverse onto the SCAL and then go down the CN line. They even stop in Homewood (so it's possible to go Hyde Park to Champaign via ME + Amtrak, but I'm not sure what the schedule looks like). I do think the plan is so reroute them when one of the rail improvement projects is over though.

Yes the proposed Grand Crossing project will shift those Amtrak services over to the NS line, eliminating the excruciating back up maneuvers. This is of course not yet funded however.

[emathias]

Originally Posted by SIGSEGV

The Saluki/Illini/CoNO do go through Hyde Park (I've seen them!). They reverse onto the SCAL and then go down the CN line. They even stop in Homewood (so it's possible to go Hyde Park to Champaign via ME + Amtrak, but I'm not sure what the schedule looks like). I do think the plan is so reroute them when one of the rail improvement projects is over though.

Interesting. I hadn't realized that there is a set of non-electric tracks along the South Lakefront.

[marothisu]

RE/MAX Luxury Report on Metro Chicago Real Estate: $1-Million-Plus Housing Market

https://www.prnewswire.com/news-rele...300739697.html

Powered by strong sales of both detached and attached homes in the City of Chicago, sales of $1-million-plus homes in the seven-county Chicago area rose +6.6% during the third quarter to 790 units, up from 741 units in the same period last year, according to the RE/MAX Luxury Report on Metro Chicago Real Estate, a quarterly analysis of $1million-plus home sales. The median sales price of luxury properties sold during the quarter rose slightly, gaining +0.8% to $1.32 million.

Average market time, which is the number of days from the date a property is listed until it goes under contract, dipped to 141 days from 162 days a year ago, and the inventory of luxury homes for sale declined -10.3% to 2,874 units, which represents a 10.9-month supply based on the pace of third-quarter sales.

..

Luxury residential sales in Chicago turned in an especially strong performance during the third quarter, gaining +19.1% to 424 units, and the median sales price edged up +0.2% to $1.34 million. For the first nine months of the year, city luxury sales were up +10.5% to 1,141 units. Average market time in the third quarter was 108 days, four days less than in the same quarter last year, and the inventory of luxury listings fell -5.2% to 1,105 units.

..

In the attached luxury market, the Near North Side retained its leadership position with 95 sales during the quarter, a gain of +10.5%, while the Near West Side continued its emergence as the city's hot new luxury attached market with 43 sales. In contrast, it had just 16 sales a year earlier and none five years ago. Luxury sales were little changed elsewhere, falling by four units in the Loop and two units in Lincoln Park, while gaining a single unit in both Lake View and the Near South Side.

In the detached category, luxury sales set records in Lake View at 40 units and Logan Square at 20 units. North Center tied its third-quarter high with 37 $1-million-plus sales. Detached luxury sales were also higher in Edgewater, Lincoln Square, the Near North Side and West Town, but were lower in Lincoln Park and Uptown.

Third-quarter sales of $1-million plus homes in the suburbs totaled 366 units, down -4.9% from the comparable 2017 total. The median sales price was $1.28 million, down -1.2%, and average market time fell to 180 days from 209 days last year. Sales for the first nine months of 2018 were 1,057 units, -1.5% less than the same period in 2017.

Winnetka returned to the top spot in suburban luxury sales, thanks to 51 transactions in the quarter, a gain of +6.3%, at a median price of $1.59 million. Hinsdale fell to second with 38 sales, down -13.6%, at a median price of $1.44 million, while Lake Forest was third with 34 sales at a median of $1.44 million. Other suburbs with at least 20 luxury sales were Wilmette, 23 units, Glencoe, 21 units, and Evanston, 20 units.

[Kenmore]

lol @ wisconsin

again, who didn't see this coming

https://www.newyorker.com/news/dispa...ace-to-foxconn

[k1052]

Rahm moving to set up some big TIF districts before he leaves:

In an interview, David Reifman, commissioner of the city’s Department of Planning & Development, said he hopes to win final approval by May of pacts involving the 62-acre vacant property that developer Related Midwest wants to build on along the east bank of the river from Roosevelt Road to Chinatown; the Lincoln Yards project developer Sterling Bay wants to build along the North Branch of the Chicago River between Lincoln Park and Bucktown, and the long vacant former site of the Michael Reese Medical Center on the east edge of the Bronzeville neighborhood. May is when Mayor Rahm Emanuel leaves office.

Emanuel also would like to see a deal involving Tribune Media's riverside parcel between Grand and Chicago Avenues — a project it has dubbed "the River District" — with work already under way on a less noticed NorthPoint industrial development at 120th Street and Avenue O, Reifman said.

https://www.chicagobusiness.com/greg...-tif-districts

[marothisu]

As others had predicted, Amazon is reportedly going to split HQ2 amongst 2 places.

My prediction is 1 on the East Coast and 1 in the central US. I think I'm that case it would be between Dallas and Chicago. Both have their pluses and minuses but I'd personally give Chicago that edge.

This would give them a large location in each of the 3 large regions of the country. Dallas has a bit going for it, but a few of those things that it does not have going for it is urbanity and public transit. If this is something important enough, is it something to push a decision one way or another?

[left of center]

^ I think Bezos might be looking pretty far into the future on where he locates HQ2 (or multiple HQ2's). I think climate change is, if not at the forefront, then definitely in the back of his mind. Dallas is probably going to suffer under the changing climate more than Chicago. Not just increased heat, but also lack of consistent water supply. The Great Plains are expected to receive substantial less rainfall in the future, while the upper Midwest will be getting a touch wetter. Being on the shores of 1/4 of the world's liquid freshwater also helps.

This is all conjecture of course. Who knows where this thing is going to land. (maybe the news leak on DC was right?)

[IrishIllini]

It doesn't seem like it's happening for us.

[lakeshoredrive]

Maybe it is for the best that Chicago does not get Amazon. This process has been so messy and over the top.

[marothisu]

Originally Posted by IrishIllini

It doesn't seem like it's happening for us.

Personal opinion on this is that people pay way too much attention to rumors. The fact that Chicago or about 16 other areas weren't mentioned in a few articles means nothing to me. They are all under NDA, and a few people were dumb enough to speak even though Amazon has been very adament the entire time about honoring the NDA.

A director of Global Economic Development from Amazon actually tweeted this out after the Crystal City news leaked:

Memo to the genius leaking info about Crystal City, VA as #HQ2 selection. You’re not doing Crystal City, VA any favors. And stop treating the NDA you signed like a used napkin.

I think a lot of cities, including Chicago, have been very tight lipped about this whole thing down to the the commercial real estate brokers. The news of "Chicago not negotiating" and not being mentioned in the articles, to me, could mean the following:

1) People in the Chicago camp from the city delegation to the commercial real estate side are actually treating the NDA very seriously and haven't said anything yet which is why these articles don't mention them. This is pretty obvious.

2) Chicago got HQ2 (one of the cities chosen at least) and is done negotiating. The WSJ article means that just because they aren't negotiating doesn't mean they're done.

3) Chicago did not get it and the city is still smart enough to honor the NDA.

4) Chicago did not get it, the city is smart enough to honor the NDA, and it's showing Amazon how tight lipped it can be in case they decide to go back on another city.

It is any one of these, but IMO it's too premature to count #1 and #2 out for Chicago. Not that it might not be the case, but there's not enough info to count Chicago out yet IMO. I find it interesting that the spokesperson for Chicago did not go all negative in their quote. They could have said something else, but they're not even saying that the phone went cold like some other cities said last month when work of more visits to NYC, Chicago, Miami, etc broke. Still sticking to the NDA better than a lot of other places:

As fun as it is to speculate on rumors, we're not playing that parlor game. We've led the nation in corporate relocations for five years in a row because of the strengths of Chicago's talent, transportation, training, technology and transparency.

[marothisu]

NY Times reporting tonight that they're close to a deal to put half in Long Island City in Queens and the other half in Crystal City near DC. Interesting if true - I would have guessed they would opt for one in the central US somewhere (aka Chicago or Dallas) and another on the East Coast if splitting.

We'll see though...

[left of center]

Originally Posted by marothisu

NY Times reporting tonight that they're close to a deal to put half in Long Island City in Queens and the other half in Crystal City near DC. Interesting if true - I would have guessed they would opt for one in the central US somewhere (aka Chicago or Dallas) and another on the East Coast if splitting.

We'll see though...

Apparently high property values aren't a concern for Amazon. Surprising, considering that's the issue that led them to find another location (or locations) to begin with...

[Kenmore]

Originally Posted by k1052

Rahm moving to set up some big TIF districts before he leaves:



https://www.chicagobusiness.com/greg...-tif-districts

yeah, more tax payer money funneled to wealthy developers, love it!

[marothisu]

Originally Posted by Kenmore

yeah, more tax payer money funneled to wealthy developers, love it!

One of the major reasons Amazon did this whole HQ2 was because they not only felt like they were kind of maxing out Seattle (especially from the perspective of how much they want to expand), but also because they were/are decently responsible for the stupid increase of property values there. There are a few reasons one of the requirements said the area has to have a minimum of 1 million people. One has to do with the actual labor pool and another has to do with property value increases.

If the reports are true, then I'm a bit surprised with the NYC pick from this angle. The site is in Long Island City and near Greenpoint, Astoria, etc but still more expensive than most cities. LIC has a bunch of stuff being built already (I think it added the most units of any neighborhood in all of NYC last year), but the 1 bedrooms in the already existing "luxury" high rises already range from $3100 to $4000 per month. This will increase and I'm sure will cause the other areas to increase. My girlfriend lived in Astoria until a little over a year ago. Her 2 bedroom was $2300/mo which was considered a good deal. Prices are rising there and other areas nearby like Elmhurst. These areas have become popular though..but I suspect a lot of the Amazon people would stick to LIC, Greenpoint, Manhattan, and parts of Williamsburg.

It makes more sense than Hudson Yards from these types of angles IMO, but again if the reports are true then I'm surprised that they would put both on the east coast and not one somewhere in the central US and another on the east coast after splitting. That seems more logical to me especially if you think about it as trying to anchor into a regional hub of talent. I'm not counting anything until the official announcement though.

[Kenmore]

hq2 has always been about power and influence, everything else was just a smoke screen

they are essentially printing money, costs aren't a concern when you're in line to suck up billions