Current Construction Activity & Trends in Chicago

While some worry about a real estate glut, construction starts in Chicago remain strong. Demand for apartments and industrial space remain strong and developers are moving forward with a number of projects throughout the city and suburbs to support it. Office and retail development have been more restrained. However, there are a number of major projects in Chicago’s most popular submarkets which are nearing completion.

Company Relocations Drive New Development

Many companies are relocating to  Chicago, driving new demand for commercial and residential space in a number of neighborhoods. Although a few neighborhoods such as Pilsen, Logan Square and the West Loop garner most of the attention, commercial and residential development starts are active throughout many neighborhoods and the suburbs.

Opportunity Zones – How They Will Impact the Chicago Real Estate Market

Opportunity zones were created to assist economically disadvantaged neighborhoods through the 2017 Tax Cuts and Jobs Act. These zones are designed to stimulate private investment in the community by offering significant tax advantages to investors. To gain the tax benefits of investing in an Opportunity Zone, owners need to invest, rehab or redevelop properties and hold them for some time.

Opportunity zones in the Chicago area are driving the revitalization of some areas and increasing real estate investments. . Commercial and apartment properties are eligible with certain stipulations; however, the intention is to improve the quality of the properties located in these areas and they will require capital investment. Additionally, Opportunity Zone areas are seeing a significant increase in demand and property values as buyers look to invest. 

There are many rules and regulations that must be met to receive the maximum benefits in Opportunity Zones. We recommend that you seek the advice of a professional real estate broker with experience in Opportunity Zone Investment. Before investing, we recommend that you get expert guidance on opportunity zone areas and regulations.

Let the Experts Guide You

Commercial real estate brokers at Millennium Properties know the Chicago area neighborhoods and work with investors, owners, buyers, sellers, and tenants to negotiate the best deals on behalf of our clients. Our knowledge and experience in these neighborhoods gives you an advantage when you look to invest. Contact us today to find out more about how our brokers can help you lease a space, sell your building, buy a new property or to request a property valuation.