Aligned has been granted a tax abatement for a planned data center campus in the Elk Grove area of Chicago, Illinois.
First reported by the Daily Herald, the Village of Elk Grove Village last week granted Aligned a tax break for a planned data center campus. The company was seeking a Cook County Class 6B property tax exemption.
The company aims to demolish existing office buildings located at 50, 100, 101, and 150 Northwest Point Boulevard and construct a data center campus with two two-story data center buildings.
Each building will comprise more than 1 million square feet (92,900 sqm) of leasable space. The $285 million campus will also feature an on-site substation.
The Class 6(b) program offers a 12-year reduction in real estate assessments from the standard Cook County industrial rate of 25 percent. Qualifying properties are assessed at 10 percent for the first 10 years, 15 percent for the 11th year, and 20 percent for the 12th year.
Aligned acquired 50 Northwest Point Boulevard in Elk Grove Village in March from Franklin Street Properties for $29 million last year. The five-story, 177,000 sq ft (16,450 sqm) office building, was built around 2000 and sits on 10 acres. Citicorp has been a major tenant in the building since 2006.
Aligned then bought two other office buildings on the same street – 101 and 141 Northwest Point Boulevard in Elk Grove Village – in two separate deals totaling $35 million later that year.
Previous reports suggested Aligned was planning for a five-building data center campus on the site, though details weren’t disclosed at the time.
An LLC managed by Brennan Investment Group chairman Michael Brennan was the seller of 101 Northwest Point Boulevard, according to Cook County public records. Sat on 7.5 acres, the two-story property is a 50,000 sq ft office building built in the 1980s.
Sat on 7.8 acres, 141 Northwest Point Boulevard is a three-story, 115,000-square-foot office building that was previously the headquarters for the American Academy of Pediatrics. The organization sold the building to Silver Oak Ventures LLC in 2017.
Aligned currently operates an 18.5-acre Chicago campus south of O’Hare Airport in the Northlake area of Illinois. It broke ground on the first building in April 2021 and began work on the second the following April. ORD-01 offers 220,000 square feet (20,450 sqm) of space and 48MW of capacity (expandable to 60MW). ORD-02 will offer around 300,000 sq ft (27,900 sqm) and 40MW of capacity.
Elk Grove is a major data center market within the Chicago area. The likes of Prime, T5, EdgeConneX, Skybox, CloudHQ, Microsoft, Stream, Digital Realty, and others all have a presence in and around Elk Grove.
