Elk Grove Village Industrial Vacancy Rate Reaches New Record Low
Colliers International recently released its 2018 first quarter industrial vacancy report for the O’Hare Industrial Market and reported that that Elk Grove Village’s current vacancy rate is 2.87% This is a new record low for Elk Grove Village, breaking the previous record of 3.17% set just last year in the 3rd quarter of 2017.
A vacancy rate of 5% is considered essentially full, taking into account natural vacancies for businesses that are moving in and out of properties. Elk Grove Village has now sustained a vacancy rate below 5% for over two years.
Along with this unprecedented vacancy rate, the Village has seen significant private investment in upgrades and new construction in our Business Park. In 2017, the Village experienced over $292 million in private sector construction activity, more than double the construction value from the previous year. A big part of this investment has been in an emerging sector for the country--data centers. In 2017 alone, the Village experienced $175 million in construction on new and existing data centers and over 600,000 square feet of new data center construction.
The Village anticipates more exciting growth in our business community this year, including the ground-breaking for the new Elk Grove Technology Park. At the end of last year, the Village approved annexation and development agreements to pave the way for a new 85-acre development. The Technology Park is planned to include over 1 million square feet of clean, high-tech industrial, such as robotics and data centers, with an estimated investment in the development of over $1 billion.
The Village continues to invest in critical infrastructure to support the continued success of our Business Park. Just last year, the Village launched Elk Grove 2025, an ambitious long-range infrastructure plan with over $125 million investment back into the community. Elk Grove 2025 include unprecedented investment in infrastructure--including major construction on 4 facilities, road reconstruction and resurfacing, streetscaping enhancements, street lighting, drainage projects, and bicycle and pedestrian improvements. This investment will serve the community into the next generation and beyond.