Rebounding Claire’s leases industrial facility outside Chicago

The company that saved tween retailer Claire's from liquidation has leased a warehouse outside of Chicago for the chain, which is bolstering its distribution network as it attempts a rebound.

Private equity firm Ames Watson, based in Columbia, Maryland, signed a lease for a 248,400-square-foot industrial facility at 1100 Tollgate Road in Elgin, Illinois. It will serve as part of the supply chain for Claire's, whose headquarters is also in the Chicago suburbs, in Hoffman Estates, Illinois. The retailer is best known for attracting female tweens and teens with its ear-piercing services and inexpensive fashion accessories.

The company that Ames Watson retained as a strategic adviser, RCS Real Estate Advisors, co-brokered the lease. RCS partner Spence Mehl worked alongside JLL on the deal, which aims to strengthen Claire’s speed-to-store delivery and omnichannel fulfillment.

Claire's filed for Chapter 11 protection in August last year, its second time in bankruptcy court, and was planning to shut down its fleet of about 1,500 stores. But a few weeks after filing, Claire's announced a sale agreement with Ames Watson — which also has ownership in retailers such as Lids and South Moon Under.

Last September, Ames Watson said it would keep as many as 950 Claire's stores open. Ames Watson didn't respond to an email from CoStar News on Wednesday seeking comment.

But in a statement, RCS said the lease "marks a significant investment in Claire’s supply-chain infrastructure" as the chain "continues its operational resurgence under Ames Watson’s leadership."

The warehouse, owned and developed by High Street Logistics Properties, was built to modern industrial specifications and is along one of Chicago key logistics corridors, providing strategic access to major transportation routes and urban population hubs.

“Retail transformations begin and end at the storefront, extending deep into the supply chain,” Mehl said. “This lease positions Claire’s with the distribution infrastructure required to support its next phase of growth, and we’re proud to help guide the real estate strategy behind that progress.”

The Elgin facility, located roughly 40 miles northwest of downtown Chicago, is designed for large-scale distribution operations and supports Claire’s broader efforts to modernize its logistics network, according to RCS.