CDW, Medline planning offices in Lincolnshire

  • Medline Industries purchased the former Aon Hewitt campus that's west of the Tri-State and north of Route 22, according to Lincolshire officials. The company has not detailed its plans for the site.

      Medline Industries purchased the former Aon Hewitt campus that's west of the Tri-State and north of Route 22, according to Lincolshire officials. The company has not detailed its plans for the site. Bob Chwedyk | Staff Photographer, file photo

  • Vernon Hills-based CDW plans to lease two, 5-story towers in the Tri-State International Office Center in Lincolnshire and move as many as 1,000 employees there by the end of the year, a village official said.

      Vernon Hills-based CDW plans to lease two, 5-story towers in the Tri-State International Office Center in Lincolnshire and move as many as 1,000 employees there by the end of the year, a village official said. Paul Valade | Staff Photographer, file photo

 
 
Updated 2/26/2015 12:08 PM

Two prominent Lake County companies plan to move some of their sizable staffs to Lincolnshire this year, village officials have confirmed.

CDW, the computer retail giant based in Vernon Hills, and Medline Industries, a medical supply company headquartered in Mundelein, are eying office space in Lincolnshire, said Steve McNellis, the village's director of community and economic development.

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Although both moves will result in more workers in Lincolnshire, neither is expected to bring additional sales tax to the village, McNellis said.

Still, he's excited that the employees will boost Lincolnshire's economy by spending money at local restaurants and stores.

"That's huge," McNellis said.

CDW is leasing two, 5-story towers in the Tri-State International Office Center, which is west of the Tri-State Tollway and south of Route 22, McNellis said.

The buildings are connected at the first floor and contain 209,000 square feet of space, he said.

McNellis believes employees from CDW's office in Mettawa will be moving to the buildings, but details are sketchy.

"We have been told they will have some sales force here, and it is likely they will have some executives here," McNellis said. "They're still determining what facets of the operation will move in."

                                                                                                                                                                                                                       
 

The impact on the company's headquarters in Vernon Hills was unclear Thursday, but it is expected to maintain a prominent presence along Route 21. In December, a sales tax rebate agreement between the village and the company was extended for 11 years to 2030. The maximum sales tax rebate was bumped to 56.3 percent from 50 percent as part of the pact.

"We knew that they were going through some location decisions," said Larry Nakrin, Vernon Hills' finance director. "The key elements of CDW -- their warehouse (and) their financial management -- are going to stay in Vernon Hills."

The company, which employs 7,200, also leases office space across the street from its headquarters. What might happen with that arrangement is unclear. Last year, the company reported $12 billion in net sales.

About 1,000 workers could set up in Lincolnshire, according to McNellis.

A massive renovation of the two office towers in Lincolnshire is planned, McNellis said. CDW officials have said they want to be moved in by the end of the year, he added.

                                                                                                                                                                                                                       
 

A CDW spokeswoman was not immediately available to talk about the Lincolnshire plans.

The village board already has given the company permission to build a four-story parking deck on the site. That project is in the permitting process now, McNellis said.

As for Medline, the company purchased the former Aon Hewitt campus that's west of the Tri-State and north of Route 22 in January, McNellis said.

The 38-acre site has 269,000 square feet of office space in three buildings. Aon Hewitt still operates a data center there and will continue to do so, McNellis said.

Medline is considering demolishing one of the buildings and remodeling at least one of the others. Occupancy is expected in late 2015, McNellis said.

Medline is saying little about its plans to move employees or corporate operations.

"It is too early in the planning stages to share details on the space," said Medline spokeswoman Vivika Panagiotakakos.

"We are excited about expanding our corporate footprint and bringing more good jobs to the area," she said.

The medical giant is committed to saying in Lake County. In exchange for a $17.5 million tax-incentive deal with state officials, Medline agreed late last year to expand operations in Lake County.

It also agreed to keep its headquarters in Illinois, to expand in Mundelein and to open another office in a new location in Lake County. That's the Lincolnshire site.

Medline is Mundelein's largest employer and one of the biggest in the suburbs. The firm has about 12,000 workers worldwide, including about 1,600 in Mundelein.

Before the state deal was inked, village officials offered Medline $1.8 million to stay in town.

Mundelein Mayor Steve Lentz isn't worried the company is abandoning the village.

"They're definitely keeping a significant presence in Mundelein," Lentz said.

• Staff writers Mick Zawislak and Kim Mikus contributed to this report.

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