CVS Caremark has just renewed and expanded its long-term lease at 800 Biermann Court, a former warehouse building in suburban Mount Prospect that was largely converted to office use more than 10 years ago. CVS will now occupy 123,115-square-feet, a 21,000-square-foot expansion.
“We looked at other options,” John Conerty, senior managing director of commercial real estate services firm Studley in Chicago, tells GlobeSt.com. “But CVS decided to stay as it was relatively easy to phase in the construction; we were also able to move another tenant into another nearby building about a year ago,” opening up the necessary space.
Conerty and John Goodman, executive vice president and branch manager, represented CVS Caremark and negotiated the transaction along with John Gledhill of CBRE, who represented the landlord, Principal Financial.
"It wasn’t a total gut and rehab deal,” Conerty adds, but the transaction was somewhat different from a simple expansion, as the owner has also agreed to demolish about 68,000-square-feet of remaining warehouse space in the 191,000-square-foot building at the Kensington Business Center, first built by Opus in the 1980s, and significantly expand CVS Caremark’s supply of parking spaces from 500 to 850.
Studley began working on this deal a couple of years ago when it became apparent that the Specialty Pharmacy Group, one of the CVS divisions housed at 800 Biermann, was ready to expand its workforce and needed additional office space and parking. The need for a high ratio of parking spaces to employees meant a suburban office was still the company’s best bet. CVS has a major presence in other northwest suburbs, with about 350,000-square-feet in Northbrook and about 140,000-square-feet in Buffalo Grove.CVS Caremark Expands in Mount Prospect
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