Amazon plans to expand its Chicago same-day delivery network with a new facility near Goose Island, after purchasing a vacant warehouse for $195 million. The center at 1237 W. Division St. is expected to open in late 2027 or early 2028 and create about 200 jobs, according to the Chicago Business Journal.
The building will be Amazon’s second same-day fulfillment center in Chicago, the report confirmed. It will store popular products, grocery staples and other everyday goods that customers may want delivered within hours rather than days, Block Club Chicago reported.
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A vacant warehouse gets a new role
Logistics Property Co. completed the multi-story facility in 2024 on a former Peoples Gas site, per Block Club Chicago. Built without a tenant secured in advance, the warehouse remained empty until Amazon acquired it Sept. 29. According to the Chicago Business Journal, the property includes about 571,000 square feet of warehouse space, 56 loading docks and parking decks designed to hold roughly 1,590 cars or 763 vans.
The facility is considered the first modern multi-story logistics building in the Midwest, the Chicago Business Journal said. Amazon will retrofit portions of the property, including adding refrigeration for grocery delivery, said Kyle DeGiulio, the company’s Midwest manager of economic development policy, Block Club Chicago confirmed.
“One area of growth for us is online grocery delivery,” DeGiulio told the Chicago Business Journal. He said the building’s size would give Amazon room to expand grocery operations, with deliveries handled by Amazon Flex drivers using their personal vehicles.
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Access to downtown and traffic concerns
According to Block Club, Amazon selected the location partly because it sits near the Kennedy Expressway and the Central Business District. DeGiulio said the site offers access to Chicago that the company cannot get from its other buildings.
The company operates a smaller same-day hub in Humboldt Park, along with distribution centers in Country Club Hills, Skokie and Winfield. Chicago Business Journal confirmed that a similar 575,000-square-foot facility is scheduled to open in Bolingbrook in November.
The Goose Island area has faced traffic congestion linked to bridge closures and construction. Amazon said most deliveries from the new center will use personal vehicles parked inside the property rather than lining up on nearby streets. Major delivery periods will also be scheduled outside rush hour, per Block Club Chicago.
DeGiulio said Amazon will continue seeking additional same-day delivery locations across Chicago and the greater metropolitan area.
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