Goldman Sachs Sells Chicagoland Industrial Asset

Venture One Real Estate has bought a 218,617-square-foot industrial asset in Waukegan, Ill, through its VK Industrial VII acquisition fund. Goldman Sachs Asset Management previously owned the facility, according to CommercialEdge data. Cushman & Wakefield brokered the transaction on behalf of the seller, while CBRE represented the buyer.

Goldman Sachs had acquired a controlling interest in the asset in 2020, as part of a 6.3 million-square-foot portfolio deal encompassing 46 properties, the same source shows. Bank of America issued $322.5 million in financing for that deal.

Venture One set out to raise $300 million for VK Industrial VII last February, with Kovitz Investment Group serving as co-sponsor, according to SEC filings. Venture One also used the investment vehicle for another metro Chicago purchase, involving a 421,638-square-foot portfolio.

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Located on nearly 12 acres at 2431 N. Delany Road, the Waukegan property is some 45 miles northwest of downtown Chicago. Waukegan National Airport operates about 3 miles away, while U.S. Route 41 and Interstate 94 are within 6 miles. The facility came online in 2014 and features 30-foot clear heights, 28 exterior docks and four drive-in doors, as well as 250 parking spots.

Cushman & Wakefield Executive Managing Directors Eric Fischer and Brett Kroner, together with Vice Chair Keith Puritz and Director Marc Samuels, represented the seller. CBRE Senior Vice President Whit Heitman and Senior Associate Jack Fitzpatrick negotiated on behalf of Venture One.

Chicago’s industrial investment retains momentum

Great Chicago’s industrial investment volume totaled nearly $3.1 billion in 2024, according to the latest CommercialEdge report. The metro outshined all the other Midwestern markets, including Twin Cities ($1.5 billion) and Columbus, Ohio ($989 million).

Despite the significant sales volume, Chicagoland industrial assets traded for $92 per square foot, substantially below the national average of $129 per square foot, the same source shows. The figure ranked second in the Midwest, after the average sale price of Twin Cities assets—$95 per square foot.

Investor demand retained momentum going into 2025, especially for shallow-bay industrial assets. In one of this year’s deals, Westmount Realty Capital purchased nine such properties throughout Greater Chicago. Unilev Capital and Mandalay Industrial sold the 390,781-square-foot collection.