Post on 05-Dec-2014
description
NET LEASED INVESTMENT OFFERING
www.bouldergroup.com
WalgreensSEC of West 95th Street & South Pulaski RoadEvergreen Park, Illinois 60805 (Chicago MSA)
Representative Image
NET LEASED INVESTMENT OFFERING
www.bouldergroup.com
1) Confidentiality&Disclaimer
2) ExecutiveSummary
3) InvestmentHighlights
4) PropertyOverview
5) Aerial
6) SitePlan
7) Maps
8) TenantProfile
9) DemographicComparisonReport
10) LocationOverview
11) ContactInformation
TABLE OF CONTENTS
TABLE OF CONTENTS
NET LEASED INVESTMENT OFFERING
www.bouldergroup.com
TheinformationcontainedinthefollowingOfferingMemorandumisproprietaryandstrictlyconfidential.ItisintendedtobereviewedonlybythepartyreceivingitfromTheBoulderGroupandshouldnotbemadeavailabletoanyotherpersonorentitywithoutthewrittenconsentofTheBoulderGroup.ThisOfferingMemorandumhasbeenpreparedtoprovidesummary,unverifiedinformationtoprospectivepurchasers,andtoestablishonlyapreliminarylevelofinterestinthesubjectproperty.Theinformationcontainedhereinisnotasubstituteforathoroughduediligenceinvestigation.TheBoulderGrouphasnotmadeanyinvestigation,andmakesnowarrantyorrepresentation.TheinformationcontainedinthisOfferingMemorandumhasbeenobtainedfromsourceswebelievetobereliable;however,TheBoulderGrouphasnotverified,andwillnotverify,anyoftheinformationcontainedherein,norhasTheBoulderGroupconductedanyinvestigationregardingthesemattersandmakesnowarrantyorrepresentationwhatsoeverregardingtheaccuracyorcompletenessoftheinformationprovided.Allpotentialbuyersmusttakeappropriatemeasurestoverifyalloftheinformationsetforthherein.
CONFIDENTIALITY & DISCLAIMER
CONFIDENTITALITY & DISCLAIMER
NET LEASED INVESTMENT OFFERING
www.bouldergroup.com
TheBoulderGroupispleasedtoexclusivelymarketforsaleanewconstructionsingletenantnetleasedWalgreenspropertylocatedintheChicagoMSAapproximately12milesfromdowntownChicago.The14,820squarefootWalgreensisscheduledtoopeninJune2014.Thispropertyreplacesapreviouslysuccessfulmid-blockWalgreenslocationwithstrongstoresales,furthersolidifyingWalgreens’commitmenttothisneighborhood.TheWalgreensfeaturesalongtermabsolutenetleasewith20yearsofleasetermremaininguponcommencementandelevenfive-yearrenewaloptions.Theleasealsofeaturesrarerentalescalationseverytenyearsthroughouttheprimarytermandineachrenewaloptionperiod.ThepropertyislocatedinadenselypopulatedareaatthesignalizedintersectionoftwoprimaryChicagothoroughfareswithintheEvergreenParkneighborhood.
ThesubjectpropertyislocatedatthesignalizedintersectionofWest95thStreetandSouthPulaskiRoad,whichexperiencesacombinedtrafficcountinexcessof69,000vehiclesperday.TheWalgreensisaccessiblebytraffictravelingonbothWest95thStreetandSouthPulaskiAvenue.Theareaisdenselypopulatedwithapproximately200,000peoplelivingwithinthreemilesofthesubjectpropertyearninganaveragehouseholdincomeof$75,000.TheAdvocateChristMedicalCenter,atop100hospitalnationallywith694beds,islocatedhalfamilewestoftheWalgreensproperty.
ThepropertyiscentrallylocatedwithinamajorretailcorridoracrossthestreetfromaTarget,HomeDepot,andJewel-Oscoanchoredshoppingcenter.A450,000squarefootMeijerandMenardsanchoredshoppingcenteranda92,512squarefootMariano’sFreshMarketanchoredshoppingcenterarebothbeingdevelopedapproximatelyonemileeastofthesubjectproperty.Thesenewandrareurbaninfillprojectswill furtherenhance95thStreetasthedominantretailcorridorinthearea.OtherretailerslocatedwithintheimmediateareaincludeBankofAmerica,ChaseBank,Binny’s,ChuckE.Cheese’s,StandardBank&Trust,FirstNationalBankofEvergreenPark,BurgerKing,andLonghornSteakhouse.
TherentisestimatedtocommenceJune2014andthenetleasehasaprimarytermoftwentyyearswithelevenfive-yearrenewaloptionperiods.Theleasefeaturesrarerentalescalationseverytenyearsthroughouttheprimarytermandrenewaloptionperiods.WalgreensisapubliclytradedcompanyontheNewYorkStockExchange(WAG),withamarketcapitalizationinexcessof$56billion.WalgreensisaninvestmentgradecompanywithaStandard&Poor’sratingofBBB.
EXECUTIVE SUMMARY
EXECUTIVE SUMMARY
Representative Image
NET LEASED INVESTMENT OFFERING
www.bouldergroup.com
INVESTMENT HIGHLIGHTS
INVESTMENT HIGHLIGHTS
• LocatedwithintheChicagoMSA(12Milesfromdowntown)
• Leasefeaturesrarerentalescalationsintheprimarytermandrenewaloptionperiods
• Relocationofapreviouslysuccessfulmid-blockstorewithexcellentstoresales
• Longtermleasewith20yearsremaininguponcommencement
• Investmentgradetenant(S&P:BBB)
• Highbarrierstoentryduetodensityofthesurroundingarea
• Positionedonthehardcornerofasignalizedintersection
• Brandnewconstruction(June2014)
• Elevenfive-yearrenewaloptions
• Zerolandlordresponsibilities
• IntersectionofWest95thStreet&SouthPulaskiRoadhastrafficcountsinexcessof69,000VPD
• Centrallylocatedinthedominant95thstreetretailcorridor
• Locatedonemileeastfromtwoseparategroceryanchoreddevelopmentstotalingover540,00squarefeet
• LocatedacrossthestreetfromaTarget,HomeDepotandJewel-Oscoanchoredshoppingcenter
• Locatedone-halfmilefromapremier694-bedhospital
• Denselypopulatedareawithover555,000peoplelivingwithinfivemiles
• Averagehouseholdincomewithinthreemilesofthepropertyisinexcessof$75,000
NET LEASED INVESTMENT OFFERING
www.bouldergroup.com
Price: $11,142,857
CapRate: 5.25%
RentSchedule: NOI EscalationDate
$585,000$600,000 6/1/2024 $616,500 6/1/2034 $634,650 6/1/2044$654,650 6/1/2054$676,572 6/1/2064$700,730 6/1/2074 $727,303 6/1/2084
LeaseCommencementDate: June1,2014(Estimated)
LeaseExpirationDate: June31,2034(Estimated)
RenewalOptions: Eleven5-Year
Tenant: Walgreens
CreditRating: BBB(Standard&Poor’s)
YearBuilt: 2014
LandlordObligations: None
RentableSquareFeet: 14,820
LandSize: 1.43acres
PROPERTY OVERVIEW
PROPERTY OVERVIEW
NET LEASED INVESTMENT OFFERING
www.bouldergroup.com
AERIAL
AERIAL
N
29,600 VPD
39,500 VPD
S. PULASKI RO
PAD
W. 95TH STREET
NET LEASED INVESTMENT OFFERING
www.bouldergroup.com
SITE PLAN
SITE PLAN
N
W. 95TH STREET
S. PULASKI ROAD
S. HAR
DIN
G R
OAD
DRIVE-THRU
NET LEASED INVESTMENT OFFERING
www.bouldergroup.com
MAPS
MAPS
NET LEASED INVESTMENT OFFERING
www.bouldergroup.com
Walgreensisengagedinretaildrugstorebusiness.Thecompanyoperates8,560locationsinall50states,theDistrictofColumbia,PuertoRicoandGuam.Thecompanyalsooperatesworksitehealthcenters,homecarefacilities,andspecialtyandmailservicepharmacies.ItsTakeCareHealthSystemssubsidiarymanagesmorethan715in-storeconvenientcareclinicsandworksitehealthandwellnesscenters.TheCompany’sdrugstoresareengaged intheretailsaleofprescriptionandnon-prescriptiondrugsandgeneralmerchandise.Generalmerchandiseincludes,amongotherthings,householditems,personalcare,conveniencefoods,beautycare,photofinishing,candy,andseasonalitems.Walgreensofferscustomersthechoicetohaveprescriptionsfilledatthedrugstorecounter,aswellasthroughthemail,bytelephone,andthroughtheInternet.InSeptember2013,WalgreensannouncedthatitsacquisitionofKerrDrugandits76locations.
Website: www.walgreens.comNumberofLocations: 8,560StockSymbol: WAG:NYSEStandard&Poor’sRating: BBBMarketCapitalization: $56billion
TENANT PROFILE
TENANT PROFILE
NET LEASED INVESTMENT OFFERING
www.bouldergroup.com
Population 1-mi 3-mi 5-mi
TotalPopulation 19,823 198,891 555,946TotalHouseholds 7,802 69,300 188,418
Income
MedianHouseholdIncome $55,246 $58,462 $46,532AverageHouseholdIncome $68,975 $74,720 $60,946
DEMOGRAPHIC COMPARISON REPORT
DEMOGRAPHIC COMPARISON REPORT
NET LEASED INVESTMENT OFFERING
www.bouldergroup.com
Evergreen Park isavillageinCookCountywithapopulationof20,000.ThesuburbissurroundedbythecityofChicagoonthreeofitssidesandbordersOakLawnandHometowntoits’west.Thetotalareaofthevillageis3.16miles.
www.evergreenpark-il.com
ChicagoisthemostpopulouscityintheMidwesternUnitedStatesandthethirdmostpopulouscityintheUnitedStateswith2,700,000residents.ChicagoisthecountyseatofCookCounty,thesecondlargestcountyintheUnitedStates.TheChicagoMSAisthethirdmostpopulatedmetropolitanareaintheUnitedStateswith9,580,567residents.TheMSAcoversover1,300square miles and six counties. The Chicago metropolitan area is home to the corporateheadquarters of 57 Fortune 1000 companies, including Boeing, McDonald’s, Motorola,
DiscoverFinancialServicesandUnitedAirlines.Chicagoisamajorhubforindustry,telecommunicationsandinfrastructureandO’HareInternationalAirportisthesecondbusiestairportintheworldintermsofvolume.
Themetro isamajor financial center inNorthAmerica,and ishome to the largest futuresexchange in theUnitedStates,theCMEGroup.ChicagoisthirdintheworldontheGlobalFinancialCentersIndexwhichranksthecompetitivenessoffinancialcentersbasedonpeople,businessenvironment,marketaccess,infrastructureandgeneralcompetitiveness.
www.cityofchicago.org
LOCATION OVERVIEW
LOCATION OVERVIEW
NET LEASED INVESTMENT OFFERING
www.bouldergroup.com
666DundeeRoad,Suite1801Northbrook,IL60062
Randy BlanksteinPresident847.562.0003rblank@bouldergroup.com
Jimmy GoodmanPartner847.562.8500jimmy@bouldergroup.com
CONTACT INFORMATION
CONTACT INFORMATION
N
W. 95TH STREET
S. PULASKI ROAD
S. HAR
DIN
G R
OAD
DRIVE-THRU
Representative Image