It would be neat to have something downtown on State street. IKEA has stuff that isn't as big as say furniture, and could be hauled on the CTA.
However my thoughts were more along the lines of the very near suburbs, where there's a fair amount of vacant properties.
I don't know how well things are going at the Lincolnwood mall, on Touhy and McCormick Ave, just on the border of the city. Carson's just closed, and the Room Place furniture store has moved in. There are a handful of underperforming malls on the outskirts of the city, and it would putting an IKEA would definitely drive of traffic and make it more attractive.
Millennials value convenience a lot. I think they would consume more IKEA, and more furniture/decor in general, if there was an IKEA downtown. IKEA would really have to narrow down its SKUs for that to work though. Alternatively, they can take the approach you suggested (near suburb) but also use that IKEA as a warehouse-like hub for cheaper and faster deliveries to Chicago with a greater selection.
However my thoughts were more along the lines of the very near suburbs, where there's a fair amount of vacant properties.
I don't know how well things are going at the Lincolnwood mall, on Touhy and McCormick Ave, just on the border of the city. Carson's just closed, and the Room Place furniture store has moved in. There are a handful of underperforming malls on the outskirts of the city, and it would putting an IKEA would definitely drive of traffic and make it more attractive.