Medline is expanding its presence at the Merchandise Mart by 110,000 square feet, making it one of the largest tenants at Vornado’s 3.7-million-square-foot property in downtown Chicago.

Medline will more than triple its offices from 51,000 to 161,000 square feet as part of a single, contiguous space across the majority of the 12th floor, committing to a long-term lease with Vornado, which will run through 2036.

Medline was represented by J. Frank Franzese and Steven Bauer of Colliers. Vornado was represented by Andrea Saewitz, Wendy Katz and Ben Cleveland of Stream Realty. Headquartered in Northfield, Illinois, Medline is a medical-surgical product manufacturer, supply chain provider and clinical solutions partner.

“With its prime location and unrivaled amenity program, THE MART aligns perfectly with Medline’s needs and continues to be a major bright spot in the Chicago office market,” said Glen Weiss, Executive Vice President, Co-Head of Real Estate at Vornado. Vornado recently completed the final phase of more than $70 million in renovations at Merchandise Mart, including second-floor amenities and gathering space.

Online food ordering company Grubhub will move its headquarters to the Merchandise Mart and follow the ongoing trend of downsizing its office footprint along the way.

Grubhub will shrink its downtown office footprint by about 45 percent, finalizing a deal to sublease roughly 90,000 square feet from PayPal, reported Crain’s. If the deal is completed, Grubhub will relocate its main office from the Burnham Center at 111 W. Washington Street, where the company currently leases approximately 164,000 square feet.

The sublease follows Grubhub’s efforts to cut costs and recover its market share. In June of last year, the company laid off 400 employees or about 15 percent of its workforce. In 2021, Grubhub was acquired for $7.3 billion by Just Eat Takeaway, a rival company based in Amsterdam.

The Mart’s owner, Vornado, has embarked on an ambitious $40 million renovation of the landmark site, including revitalizations to the South Lobby and River Park. JLL was tapped to provide property management services for the updated property by Vornado.

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