Citigroup signs for nearly 50,000 SF to become largest tenant at office complex in Northwest Suburban Chicago

Chicago-based Glenstar Properties, a national commercial real estate developer, owner and property manager, today announced it executed 12 office leases during the first half of 2023 totaling over 150,000 square feet at its Schaumburg Corporate Center, a three-building, 1 million-square-foot office complex located at 1475, 1501 and 1515 E. Woodfield Road at the corner of Meacham and Higgins roads in Schaumburg, Ill. These lease signings include 89,000 square feet of new leases and 65,000 square feet of renewals.

In June, Glenstar executed a lease with global banking firm Citigroup for 49,400 square feet spanning two floors at 1515 E. Woodfield. Tenant buildouts of the space are underway, and Citigroup will move there from its current Northwest suburban office location in January 2024.

A data analytics company will also be relocating to 1515 E. Woodfield. In March, Glenstar signed a lease with the undisclosed firm for 24,700 square feet. Approximately 125 employees will be working in the space once the tenant takes occupancy in November.

“These leases are indicative of the broader trend of companies moving to fully amenitized, trophy buildings in desirable suburbs,” said Michael Klein, principal of Glenstar. “Across our office portfolio, we are focused on creating the type of new, modern spaces that are in demand by companies as they return to the office and want as many employees as possible to embrace the move.”

According to CBRE, Chicago suburban office absorption improved in Q2 with roughly 150,000 square feet of net negative absorption, compared to the 800,000 square feet of net negative absorption posted in Q1. Also, results from CBRE’s Spring 2023 U.S. Office Occupier Sentiment Survey show 45% of respondents now support a mostly or full office culture, up from 37% in 2022.

Glenstar completed 10 additional office leases at Schaumburg Corporate Center in the first half of 2023. Those leases ranged in size from 834 to 27,000 square feet and total more than 80,000 square feet.

Approximately 76 businesses are located at Schaumburg Corporate Center. Some large tenants include Misumi USA, a provider of components for the manufacturing industry; American Agricultural Insurance Company, a reinsurance company; Pronto Finance, a provider of auto loan financing; and Munich RE Specialty Group N.A., Inc., provider of insurance and surety solutions for transportation and logistics service providers.

In 2018, Glenstar completed a $30 million renovation at Schaumburg Corporate Center that included updating a 17,000-square-foot glass and steel,sunlit atrium that hosts live music once a week, offers abundant seating areas and houses five live trees. Additional upgrades included creating a tenant lounge with an outdoor seating area and state-of-the-art conference center along with renovated fitness center, restrooms, corridors and other common areas. In 2023, Glenstar added a new private dog park on the property — the first such amenity for office pups in the suburban Chicago office market.

“From the atrium to our dog park for tenants, all of our capital improvements and innovative amenity offerings are paying off,” said Bill Saviski, Glenstar managing director of leasing. “It’s also a nice mix of tenants that are signing for space in this location. We’re seeing equal interest from regional offices of global corporations and entrepreneurial companies.”

Since early 2020, Glenstar has completed 314,000 square feet of new leases and 260,000 square feet of renewals at Schaumburg Corporate Center.

Saviski and Christian Domin, managing director of Glenstar, represented ownership in the Citigroup lease, while Gary Fazzio and James Otto of CBRE represented the tenant. For the lease to a data analytics company, Saviski represented ownership, and Fazzio and Paul Diederich of CBRE represented the tenant.

About Glenstar:

Glenstar Properties is a Chicago-based national commercial real estate firm specializing in industrial development, reimagined office and multifamily properties. Founded in 2004 by Michael Klein, along with Rand Diamond, Glenstar has successfully developed or redeveloped more than $2 billion in commercial space comprising 10 million square feet across the U.S. Its nimble, tenant-focused approach and vertically integrated structure allow Glenstar not only to pursue and execute opportunistic projects, but also to oversee and manage them seamlessly.