Shallow bay industrial portfolio in Chicago, IL sold to Westmount Realty Capital

CHICAGO, Feb. 10, 2025 – JLL Capital Markets announced today the sale of the Chicago Shallow-Bay Portfolio, a nine-building, 390,779-square-foot light industrial portfolio located across high-performing infill submarkets in the Chicago, Illinois metropolitan area.

JLL represented the seller, Unilev Capital and their partner, an Palladius Capital Management affiliate, Mandalay Industrial. Westmount Realty Capital and Global Gate Capital acquired the assets.

The portfolio consists of shallow-bay industrial buildings ranging from 26,500 to 84,058 square feet, with an average size of 55,826 square feet. The properties feature 16.2% office space, 20-foot average clear heights and 40 total suites with an average size of 9,673 square feet. Currently 91% leased, the portfolio features a diverse tenant lineup and meaningful upside potential through successful leasing.

Located in the I-55 Corridor, North DuPage County, Fox Valley and North Cook County submarkets, the portfolio benefits from Chicago's central location and extensive transportation infrastructure. The properties offer strategic access to O'Hare International Airport, major interstates and rail networks, serving a metro population of nine million within one of the world's largest economies.

The JLL Capital Markets Investment Sales and Advisory team was led by Managing Director Kurt Sarbaugh and Senior Managing Director Sean Devaney. Financing was supported by JLL’s Debt Advisory team, including Senior Managing Director Jeff Sause and Senior Director Brian Walsh.

"This portfolio presented an excellent opportunity for investors to acquire a diversified set of shallow-bay industrial assets in some of Chicago's most desirable submarkets," said Sarbaugh. "We continue to see strong investor appetite for well-located shallow-bay product in major logistics hubs such as Chicago, particularly as these assets face less supply-side pressure compared to bulk industrial space."

The Unilev team was led by Chief Investment Officer Ian Konowitch, Vice President of Investments Peter Berges and Managing Principal Raymond Levy.

"We are grateful to Kurt and the entire JLL team for their support in executing another successful investment within our shallow bay industrial strategy," added Ian Konowitch. "Following the aggregation of these assets — through both on- and off-market transactions — our team was able to execute our plan and create significant value over our hold period, despite a challenging interest rate environment. With the launch of our new fund alongside Palladius’ affiliate, Mandalay Industrial in 2025, we look forward to continuing to acquire high-quality shallow bay industrial assets."

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.

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Co-Founded in 1993 by Raymond Levy, Unilev Capital Corporation is a privately held real estate investment firm that specializes in the acquisition of well-located, income producing commercial properties in the United States. Unilev is an operator focused on core-plus to value-add return profiles depending on the deal. Unilev Capital acquires properties through off-market and market-negotiated transactions that have ultimately resulted in an impressive track record for itself and its investors.

Unilev’s current primary investment focus is on multi-tenant shallow-bay industrial assets nationwide.

Unilev Management Corporation is a full-service management company providing integrated due diligence, asset management, property management, accounting and engineering services. Unilev is headquartered in Beverly Hills, California, with affiliated offices in Texas, Colorado and Minnesota. For additional information, visit unilev.com.

Palladius is a diversified real estate investment manager that leverages institutional best practices, technology and operational expertise to drive value creation for institutional and individual investors through private wealth channels. Led by a team of commercial real estate, finance, and corporate operations veterans, Palladius pursues value-add and core-plus strategies targeting multifamily, student housing, hospitality and other thematic investment strategies through its affiliates. Palladius also originates debt investments and acquires whole loans through its private REIT, Palladius Income Fund. Based in Austin, TX, Palladius, through its affiliates, manages and operates approximately $950 million of real estate across the U.S. and is focused on building a highly progressive platform that promotes diversity and inclusion. To learn more, visit www.palladius.com.

Westmount Realty Capital, LLC is a time-tested, privately held, Dallas-based commercial real estate company that has achieved exceptional performance, with a core team in place, for 40 years. Westmount is seen as an innovator and leading-edge company in the industry and is a relationship-driven trusted operating partner of numerous U.S. and foreign institutional and private capital sources. The company is active within the U.S., specializing in value add and opportunistic investments, and has navigated successfully through multiple market cycles. For additional information, contact www.westmountrc.com.

Global Gate Capital is an international investment firm that invests its own capital as well as that of its clients in various assets worldwide, including real estate, private equity, credit, and publicly traded securities. The company also offers corporate advisory services and insurance products to its clientele. Since its inception in 2013, Global Gate Capital has grown its assets under management to over $5 billion, with offices in London, Geneva, New York, and Dubai. To learn more, visit www.globalgatecapital.com.