I-88 West Illinois Distribution
A prime location in the middle of major Midwestern urban core areas, I-88 West provides significant advantages for distribution industries in access to markets, distribution channels, infrastructure, labor market availability, inbound transportation and site and logistics costs.
I-88 West is a distribution center’s dream--just ask some of leading distribution industries, like WalMart or Spectrum/Rayovac.
- Wages and fringe benefits in the I-88 West region are considerably lower than that of South and Northwest Suburban Chicago offering cost advantages of up to $275,000 annually. A state of Illinois index was created by job title which depicts cost savings from 8% to 15% over Joliet and Elk Grove Village, IL; some of the most pertinent positions and their cost benefits are listed below:
- Warehouse manager wages in the I-88 West region are typically 13% lower than the state average while Joliet and Elk Grove Village, IL tend to be 1% and 2% above the state average respectively.
- Forklift operator wages in the I-88 West region are typically 6% lower than the state average while Joliet and Elk Grove Village, IL tend to be 5% and 3% above the state average respectively.
- Picker and packer wages in the I-88 West region are typically 9% lower than the state average while Joliet and Elk Grove Village, IL tend to be 4% and 3% above the state average respectively.
- Truck driver wages in the I-88 West region are typically 6% lower than the state average while Joliet and Elk Grove Village, IL tend to be 6% and 5% above the state average respectively.
- Inbound transportation costs are also advantageous offering up to $155,000 in savings annually.
- The I-88 West region offers its biggest cost advantage in sites and building costs. Site cost savings are any where from $1.8 million to $6.8 million and building cost savings are any where from $2.3 million to $3.25 million when compared to South Suburban Chicago and Northwest Suburban Chicago respectively.
- Occupancy Costs are also lower in the I-88 West region with savings ranging from $220,000 to $300,000.
- The I-88 West region also maintains an advantage in utilities. Below are the advantages in power and gas:
- Total electric power cost savings range from $600 to $10,000 annually over Northwest and South Suburban Chicago respectively.
- Total gas cost savings range from $2,000 to $5,500 annually over Northwest and South Suburban Chicago respectively.
HIGHWAYS
I-88 West has a prime location at the junction of two coast-to-coast highways (Interstates 90 and 80), joined by major north-south interstate I-39. In all, Illinois is served by 2,169 miles of interstate highways--only two states have more interstate miles. Augmenting the interstates are 16,000 miles of state highway systems across Illinois, making the interstate routes accessible across every region of the state. As a state, Illinois is among the top states in total value of truck shipments, with $858 billion, and is ranked fourth in number of shipments originating in the state, with $442 billion dollars of goods shipped annually.
RAIL
Illinois is the center of the nation’s rail system, with major hubs in Chicago and St. Louis. Positioned between these two major hubs, I-88 West is serviced by both Union Pacific and Burlington Northern. The recent addition of Union Pacific’s new Global III Intermodal Facility in nearby Rochelle is the industry’s state-of-the-art terminal, offering customers multiple business advantages including direct interstate highway routes with easy access to markets in every direction, efficient interchange of shipments to and from all rail connections, and expedited operations of over 25 trains and 3,000 containers daily.
AIR
Illinois’ central Midwest location makes it a hub for major air travel. I-88 West is located with easy access to four airports, including Chicago’s O’Hare International, one of the world’s busiest airports. In 2007, 1.7 million tons of cargo and 76.2 million travelers passed through O’Hare Airport.
WATER
Illinois’ waterways also contribute to the area’s superiority for warehousing and distribution centers, with 1,118 miles of navigable waterways providing the state with direct links between the Atlantic Ocean and the Gulf of Mexico, moving products globally. I-88 West has port access at the Mississippi barge in nearby Clinton.
In fact, I-88 is at the center of one of the nation’s largest logistics/distribution and manufacturing hubs:
- Manufacturers shipments, 2002 ($1000): 1,583,037
- Manufacturing jobs (percent of total): 19.0%
- Transportation and warehousing jobs (percent of total): 1.9%
