Joliet economic development staff report rising construction valuation, industrial pipeline

Paulina Martinez, economic development director, told the City of Joliet council that the city currently has "30 active internal projects in our pipeline," including downtown property redevelopments and work to lease space at Union Station.

The presentation on Oct. 6 summarized internal and external indicators the department uses to track local economic activity. Martinez said the department has conducted 129 business visits so far this year to assess needs and to build relationships with local businesses. She said the city is working with the Will County Center for Economic Development on 20 additional projects.

Martinez highlighted sector concentration and vacancy trends. "Of those, 15 are focused on ag tech or trucking distribution and logistics," she said. She told the council the city's overall vacancy rate is about 12 percent, driven largely by industrial vacancy, and that the city added roughly 1,000,000 to 1,100,000 square feet of industrial space in the past year. Martinez said office and retail vacancy remain low, in the low single digits, and that unemployment in Joliet is 4.9 percent as of Aug. 31, 2025 — lower than Joliet's usual rate of about 7 percent.

Martinez also reported a sharp increase in construction valuation for 2025, citing $441,000,000 in construction valuation year-to-date, which she said is 29 percent higher than the previous month and 38 percent higher than August of the prior year. She attributed the higher overall vacancy rate to rapid industrial construction rather than lack of demand, saying the city and developers expect that industrial space to be absorbed.

Emily Maguire, who joined Martinez for the presentation, listed recent grand openings and ribbon cuttings and noted the department's coordination with the Joliet Chamber of Commerce. Maguire reported new business licenses (65 new licenses reported, 53 net new businesses calculated) and highlighted retail wins such as a recent ribbon cutting for a Hollywood Casino location and local openings including Bridal Coop and T.O. Donuts.

Maguire also updated the council on a sales-tax agreement with World Automotive, noting facade improvements and the company's commitment to hire 23 workers over three years, with 25 percent targeted to be Joliet residents. "As of today," Maguire said, "four of those employees so far are already Joliet residents."

Martinez said the city is advancing a River's Edge redevelopment zone application through the state and expects to bring the final application to council within about a month. She described the River's Edge program as a state-level redevelopment incentive (application pending) and said the application could offer significant redevelopment incentives if approved.

Mayor Terry Darcy asked whether the pipeline includes projects of similar magnitude to the recently finished casino. Martinez said most near-term projects are industrial and offered to brief the mayor in more detail on the project tracker.

Why it matters: the indicators presented suggest a short-term construction and industrial development boom in Joliet, with municipal staff tracking business retention and workforce commitments as part of redevelopment agreements. The River's Edge application, if approved by the state, would provide incentives that could affect downtown redevelopment decisions and private-sector investment in coming months.