In making the announcement Wednesday, Caterpillar CEO Jim Umpleby noted the Deerfield headquarters will be minutes from O'Hare International Airport and a convenient rail ride to Chicago.
According to the announcement, the heavy equipment maker has reached a leasing agreement at a Deerfield office park and expects to move relocated 100 employees there this year. About 300 people will be working at the new headquarters by mid-2018.
The company previously announced plans to build a new headquarters complex in Peoria. It cited a "challenging market conditions " in cancelling the plan.
The move to Deerfield comes as the company faces a weak equipment market that has been cutting into its bottom line. It has been cutting jobs and facilities over the last several years.