In brief: Foreclosure suit | Mart leases | Bill postponed
Foreclosure suit hits site of planned indoor golf range
Norridge-based Plaza Bank is suing to collect more than $3.7 million from a little-known Chicago developer who was planning a 140,000-square-foot indoor golf driving range and fitness center at 401 N. Ogden Ave. on the Near West Side. Plaza Bank sued June 1 to foreclose on more than an acre of land in the Kinzie Industrial Corridor owned by Alex Nakonechny, who rezoned the property from industrial to commercial in January. The bank alleges that the loan went into default in when it matured in April and was left unpaid. Mr. Nakonechny did not return a message left with his lawyer. Related story: Driving range planned for Near West Side
Mart signs short-term deals in advance of NeoCon
The Merchandise Mart has signed seven new leases — six of them long-term — totaling 14,300 square feet on the three floors primarily used by manufacturers to display commercial furniture and related products. The new leases bring the contract furnishings floors, to full occupancy, a Mart spokeswoman says. The leases come in time for the NeoCon World's Trade Fair, a trade show, which starts next week. The contract floors make up about 600,000 square feet in the almost 3.5 million-square-foot, 22-story building The largest new tenants are contemporary furniture manufacturer Allermuir, indoor and outdoor furniture maker Janus et Cie and restaurant chair distributor Sandler Seating.
Bill to limit holdbacks postponed
A bill that would limit how much money a developer could hold back from contractors and subcontractors pending completion of a project was postponed in an Illinois Senate committee. The bill, which would limit the amount to 5% of the project cost and 2.5% after a project is half done, passed the House 112 to 1 in February. Developers customarily hold back 10% of the cost pending completion. Joshua Glazov, a partner in law firm DLA Piper's construction group, says the fact that developers and their lenders can still privately negotiate the amount held back will be "one less obstacle to getting construction finished." Related story: In brief: Pilsen lease | Office condo sale | Green Courte deal
Distribution firm moves, expands local space
A Long Beach, Calif.-based distribution company has relocated its local warehouse, expanding its space by 75% here, leasing a 374,460-square-foot building in Joliet. California Cartage Co. LLC signed a three-year lease at 251 Laraway Road, expanding from its previous location in the 213,977-square-foot building at 27143 Baseline Road in the CenterPoint Intermodal Center in Elwood. The new location in the Laraway Crossings business park, had been vacant about two years, according to Steve Connolly of Oakbrook Terrace-based NAI Hiffman. He represented the owner, Minneapolis-based Ryan Cos., along with Eric Tresslar.
