Net Lease Kindercare

www.bouldergroup.com

NET LEASED INVESTMENT OFFERINGNET LEASED INVESTMENT OFFERINGNET LEASED INVESTMENT OFFERINGNET LEASED INVESTMENT OFFERING

KinderCareKinderCareKinderCareKinderCare 790 North Lake Street790 North Lake Street790 North Lake Street790 North Lake Street

Grayslake, IL 60030 (Chicago MSA)Grayslake, IL 60030 (Chicago MSA)Grayslake, IL 60030 (Chicago MSA)Grayslake, IL 60030 (Chicago MSA)

NET LEASED INVESTMENT OFFERING


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Confidentiality & Disclaimer

Executive Summary

Property Overview

Aerial

Site Plan

Map

Tenant Profile

Demographic Comparison Report

Location Overview

Contact Information

TABLE OF CONTENTS

TABLE OF CONTENTSTABLE OF CONTENTSTABLE OF CONTENTSTABLE OF CONTENTS



The information contained in the following Offering Memorandum is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from The Boulder Group and should not be made available to any other person or entity without the written consent of The Boulder Group. This Offering Memorandum has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. The Boulder Group has not made any investigation, and makes no warranty or representation. The information contained in this Offering Memorandum has been obtained from sources we believe to be reliable; however, The Boulder Group has not verified, and will not verify, any of the information contained herein, nor has The Boulder Group conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein.

CONFIDENTIALITY & DISCLAIMER

CONCONCONCONFIDENTIALITY & DISCLAIMERFIDENTIALITY & DISCLAIMERFIDENTIALITY & DISCLAIMERFIDENTIALITY & DISCLAIMER



The Boulder Group is pleased to exclusively market for sale a single tenant net leased KinderCare property located in the

Chicago MSA. This is a proven location for KinderCare since 1999 as evidenced by the recent renewal and extension of the

existing lease. Additionally, the parking lot was recently resealed in July 2012. The lease is corporately guaranteed by

KinderCare, the largest for-profit childcare provider in the country with 1,900 locations nationwide. The 6,952 square foot

property was built in 1999 and has seven years of lease term remaining.

The property is located along Washington Street, a primary east-west thoroughfare, which experiences traffic volumes in

excess of 16,000 vehicles per day. The property is positioned on a hard corner of a signalized intersection creating

constant traffic flow at the site. Additionally, the property is benefited by its location in a dense residential area near

multiple large subdivisions and apartment communities. There are approximately 150,000 people living within five miles

of the property with above average household incomes in excess of $100,000 annually.

The original fifteen year lease term began in 1999 and KinderCare recently exercised their first option, which renewed the

lease term through April 2019. The lease features escalating rents in each of the three remaining option periods.

KinderCare is a privately owned company with over 1,900 locations across the United States. KinderCare is the largest for

profit childcare provider in the county.

• Located within the Chicago MSA

• Tenant recently exercised their first option to extend the lease term

• Approximately 150,000 people living within five miles of the property

• Average household income in excess of $100,000 within five miles of the property

• Parking lot was recently resealed in July 2012

• KinderCare is the largest for-profit child care provider in the country

• Located within one-half mile of a Metra Transportation Station

• Corporately guaranteed lease by KinderCare

INVESTMENT HIGHLIGHTS

EXECUTIVE SUMMARY

EXECUTIVE SUMMARYEXECUTIVE SUMMARYEXECUTIVE SUMMARYEXECUTIVE SUMMARY



Price: $1,490,000

Cap Rate: 9.07%

Net Operating Income: $135,152*

Renewal Options: Three 5-Year with rental escalations (Lesser of CPI or 10%)

Lease Commencement Date: June 7, 1999

Lease Expiration Date: April 30, 2019

Year Built: 1999

Tenant: KinderCare

Lease Type: NN

Rentable Square Feet: 6,952

Land Size: 1.05 acres

*Seller to escrow three months of rent at closing due to rental abatements in May 2013,

May 2014 and June 2014.

PROPERTY OVERVIEW

PROPERTY OVERVIEWPROPERTY OVERVIEWPROPERTY OVERVIEWPROPERTY OVERVIEW



AERIAL

AERIALAERIALAERIALAERIAL



SITE PLANSITE PLANSITE PLANSITE PLAN

SITE PLAN



MAP

MAPMAPMAPMAP



Website: www.kindercare.com

Number of Locations: 1,900

Employees: 33,000

KinderCare Learning Center was founded in 1969 and is an American operator of for-profit child care facilities. The company provides educational programs for children ages six weeks to twelve years old. Some 200,000 children are enrolled in more than 1,900 early childhood education community centers, 656 before-and-after school programs, and 123 employer-sponsored centers in 39 states. KinderCare was acquired in 2005 by the Knowledge Learning Corporation, a privately held education service firm. The deal was valued at over $1 billion and made Knowledge Learning Center the nation’s largest private child care and education provider. KinderCare is accredited by The National Association for the Education of Young Children (NAEYC).

TENANT PROFILE

TENANT PROFILETENANT PROFILETENANT PROFILETENANT PROFILE



PopulationPopulationPopulationPopulation

1111----mi.mi.mi.mi. 3333----mimimimi 5555----mimimimi

Total Population 12,818 67,140 149,057 Total Households 4,286 21,726 49,201

IncomeIncomeIncomeIncome

Median Household Income $99,143 $80,775 $83,373 Average Household Income $113,289 $93,099 $100,249

DEMOGRAPHIC COMPARISON REPORT

DEMOGRAPHIC COMPARISON REPORTDEMOGRAPHIC COMPARISON REPORTDEMOGRAPHIC COMPARISON REPORTDEMOGRAPHIC COMPARISON REPORT

The metro is also a major financial center in North America, and is home to the largest futures exchange in the United States, the CME Group. Chicago is third in the world on the Global Financial Centers Index which ranks thecompetitiveness of financial centers based on people, business environment, market access, infrastructure and general competitiveness.

www.cityofchicago.com

Grayslake Grayslake Grayslake Grayslake is located within Lake County, Illinois. At the time of the 2010 U.S. Census Grayslake had a population of 20,957. Lake County is located in the northeastern corner of Illinois and according to the 2010 census; Lake County had a population of 703,462.

Grayslake is located midway between the Chicago and Milwaukee metropolitan areas and approximately 40 minutes from O'Hare International Airport. Additionally, there are multiple Metra commuter rail lines which provide daily commuter service to Union Station in downtown Chicago. Grayslake is home to the College of Lake County, the University Center of Lake County and the Lake County Fairgrounds. The Grayslake community is served by three excellent public school districts, parochial and private schools, and a charter school dedicated to providing quality education to Grayslake community.

Chicago Chicago Chicago Chicago is the most populous city in the Midwestern United States and the third most populous city in the United States with 2,700,000 residents. Chicago is the county seat of Cook County, the second largest county in the United States. Ththird most populated metropolitan area in the United States with 9,580,567 residents. The MSA covers over 1,300 square miles and six counties. The Chicago metropolitan area is home to the corporate headquarters of 57 Fortune 1000 compaBoeing, McDonald's, Motorola, Discover Financial Services and United Airlines. Chicago is a major hub for industry, telecommunications and infrastructure and O'Hare International Airport is the second busiest airport in the world in terms o

The Grayslake community is within a fifteen mile radius of four excellent hospitals which offer skilled specialists and the best technology available. Condell Medical Center, Lake Forest Hospital, St. Therese Hospital, Victory Memorial Hospital and several of their satellite facilities in the Grayslake area provide care for the community.

www.villageofgrayslake.com/



LOCATION OVERVIEW

LOCATION OVERVIEWLOCATION OVERVIEWLOCATION OVERVIEWLOCATION OVERVIEW

The metro is also a major financial center in North America, and is home to the largest futures exchange in the United States, the CME Group. Chicago is third in the world on the Global Financial Centers Index which ranks thecompetitiveness of financial centers based on people, business environment, market access, infrastructure and

is located within Lake County, Illinois. At the time of the 2010 U.S. Census Grayslake had a population of 20,957. Lake County is located in the northeastern corner of Illinois and according to the 2010 census; Lake County had a population of 703,462.

yslake is located midway between the Chicago and Milwaukee metropolitan areas and approximately 40 minutes from O'Hare International Airport. Additionally, there are multiple Metra commuter rail lines which provide daily commuter service to Union Station n downtown Chicago. Grayslake is home to the College of Lake County, the University Center of Lake County and the Lake County Fairgrounds. The Grayslake community is served by three excellent public school districts, parochial and private schools, and a arter school dedicated to providing quality education to Grayslake community.

is the most populous city in the Midwestern United States and the third most populous city in the United States with 2,700,000 residents. Chicago is the county seat of Cook County, the second largest county in the United States. Ththird most populated metropolitan area in the United States with 9,580,567 residents. The MSA covers over 1,300 square miles and six counties. The Chicago metropolitan area is home to the corporate headquarters of 57 Fortune 1000 compaBoeing, McDonald's, Motorola, Discover Financial Services and United Airlines. Chicago is a major hub for industry, telecommunications and infrastructure and O'Hare International Airport is the second busiest airport in the world in terms of traffic movement.

The Grayslake community is within a fifteen mile radius of four excellent hospitals which offer skilled specialists and Medical Center, Lake Forest Hospital, St. Therese Hospital, Victory Memorial

Hospital and several of their satellite facilities in the Grayslake area provide care for the community.

LOCATION OVERVIEW

The metro is also a major financial center in North America, and is home to the largest futures exchange in the United States, the CME Group. Chicago is third in the world on the Global Financial Centers Index which ranks the competitiveness of financial centers based on people, business environment, market access, infrastructure and

is located within Lake County, Illinois. At the time of the 2010 U.S. Census Grayslake had a population of 20,957. Lake County is located in the northeastern corner of Illinois and according to the 2010 census; Lake County had a population of 703,462.

yslake is located midway between the Chicago and Milwaukee metropolitan areas and approximately 40 minutes from O'Hare International Airport. Additionally, there are multiple Metra commuter rail lines which provide daily commuter service to Union Station n downtown Chicago. Grayslake is home to the College of Lake County, the University Center of Lake County and the Lake County Fairgrounds. The Grayslake community is served by three excellent public school districts, parochial and private schools, and a arter school dedicated to providing quality education to Grayslake community.

is the most populous city in the Midwestern United States and the third most populous city in the United States with 2,700,000 residents. Chicago is the county seat of Cook County, the second largest county in the United States. The Chicago MSA is the third most populated metropolitan area in the United States with 9,580,567 residents. The MSA covers over 1,300 square miles and six counties. The Chicago metropolitan area is home to the corporate headquarters of 57 Fortune 1000 companies, including Boeing, McDonald's, Motorola, Discover Financial Services and United Airlines. Chicago is a major hub for industry, telecommunications and infrastructure and O'Hare International

f traffic movement.

The Grayslake community is within a fifteen mile radius of four excellent hospitals which offer skilled specialists and Medical Center, Lake Forest Hospital, St. Therese Hospital, Victory Memorial

Hospital and several of their satellite facilities in the Grayslake area provide care for the community.



666 Dundee Road Suite 1801 Northbrook, IL 60062

Randy Blankstein President 847.562.0003 [email protected]

Jimmy Goodman Partner 847.562.8500 [email protected]

CONTACT INFORMATION

CONTACT INFORMATIONCONTACT INFORMATIONCONTACT INFORMATIONCONTACT INFORMATION

Net Lease Kindercare

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