In yesterday's post, I reviewed the first year of Jones Lang LaSalle's contract with the CTA to handle concessions, parking and transit-oriented development. JLL recently put out an RFP to rent 29 concession locations at 25 rail stations. Please see the continuation for a list of the 29 locations.
The criteria for inclusion in the RFP was the location had to be "available, clean and dry," said Bill
Trumbull, the CTA's general manager for real estate and asset management. "We are very pleased with
Right now the CTA is sorting through those responses,
with a goal of bringing five or six of them to the November board
meeting for lease approval.
For Jones Lang LaSalle Vice
President Sandra Greene, the goal is to get "the largest number of
locations rented. We look at these concession locations not only for
the revenue potential, but also as a service to riders. We want to
combine the two and get as many rented as is reasonably possible."
this case, "reasonable" is defined by the location, the space available
and its visibility to the public. "People need to be able to see and
get around in the space easily," Greene said.
"The CTA certainly needs the revenue, but the rent has to be reasonable for the tenant and suit the needs of the community."
this point, Trumbull interjected a small dose of reality. "Renting
these spaces isn't going to be the cure-all to all the CTA's budget
woes." He also emphasized that he competes with other CTA units for for
very scarce capital budget dollars. "And of course the CTA needs to
focus on its core mission and competency of operating the trains and
buses. That's why we hired JLL -- they have the expertise in real
And just how many of those scarce capital
dollars would the CTA have to spend to make these space clean, dry and
available for rent? An investment of about $830,000 is needed to rehab
a total of 18 concession spaces at Granville ($340,000), Morse/Lunt
($370,000) and Jarvis ($120,000).
And remember, this investment would have to occur during the biggest economic downturn in more than 30 years.
See the continuation for the list of 29 locations.
6. Red-Howard/Howard St. Entrance
7. Red-Howard/Paulina St. Entrance
14. Pink-Central Park
18. Green-Cottage Grove/63rd
19. Green-King Dr.
23. Blue-Irving Park
24. Blue-Jackson (east)
25. Blue-Jackson (west)
27. Blue-Logan Square