Holliday Fenoglio Fowler, L.P., (HFF) is exclusively marketing for sale Tri-State International Office Center, a fully amenitized, five-building office portfolio totaling 559,204 rentable square feet and located in the Chicago-area community of Lincolnshire, Illinois. The portfolio features a balanced tenant roster with 7.8 years of remaining lease term and benefits from fantastic visibility and access from the adjacent Tri-State Tollway. Further, the commercial property for sale is proximate to the affluent North Shore communities, which are home to the Chicago area’s executives and decision makers.
The 79.3-percent-leased portfolio derives income stability from its anchor tenant, CDW, a Fortune 500 Company that recently relocated their headquarters to the property and fully occupies two buildings. Constructed between 1984 and 1989, Tri-State International Office Center comprises the CDW Center (the 25 and 75 Buildings) and the 100, 200 and 300 Buildings, which are all situated on 37.4 acres at the four-way interchange of the Tri-State Tollway (Interstate 94) and Half Day Road (Route 22), complemented by beautiful landscaping. The CDW Center, which totals 209,021 rentable square feet, or 37.4 percent of the portfolio, is fully leased until November 2028. The remaining 100, 200 and 300 Buildings, which total 350,183 rentable square feet, or 62.6 percent of the portfolio, currently have 115,652 rentable square feet of vacancy, which equals 20.7 percent of the portfolio. This offers a significant value-add component.
Tri-State International Office Center is newly upgraded with a conference center, 135-seat auditorium and amenity center in the 200 Building, and a fitness center and deli (currently undergoing renovations) in the 300 Building. A recently completed four-story parking structure was constructed for CDW’s employees and is immediately northeast of CDW Center, which contributes to the property’s above average 4.3 / 1,000 rentable square feet parking ratio.
Inclusive of the parking deck construction, current ownership has invested more than $15.1 million since 2013 to upgrade the amenities and to implement other substantial improvements to the building systems, parking lot, building lobbies and multi-tenant corridors and restrooms. Due to this recent capital infusion, a future investor is able to immediately capture new tenants seeking accessibility, visibility and Class A amenities, all while providing an economical alternative to competing buildings on Route 60 (Townline Road) or Lake Cook Road.
Investors are welcome to bid on the portfolio or CDW Center separate from the 100, 200 and 300 buildings. For more information on this office portfolio for sale or other investment sale listings near Chicago, please contact Bryan Rosenberg, Patrick Shields, Mark Katz, Jeffrey Bramson or Jaime Fink in HFF’s Chicago office. For a listing of national commercial real estate listings, please click here.