Net Lease: May 2012

Wednesday, May 23, 2012

The Boulder Group Arranges Sale of a Triple Net Leased Bank of America Property in Chicago, Illinois

The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant triple net leased Bank of America property located at 3010 South Kedzie Avenue in Chicago, IL for $3,875,000.

Bank of America is the sole occupant of the 6,500 square foot retail building that was developed in 2003. The property is located on a 35,000 square foot parcel at the southwest corner of Kedzie Avenue and West 30^th Street in Chicago, IL. The property is located three-quarters of a mile north of Interstate 55 in a densely populated area. The property is fully leased to Bank of America with eleven years of lease term remaining and has two rental escalations remaining in the primary term of the lease.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller, a Midwest developer, in the transaction. The buyer was a high net worth individual located in California in a 1031 exchange.

Bank of America has eleven years of lease term remaining on an original 20 year lease. Bank of America is a publicly traded company on the New York Stock Exchange (BAC), with a market capitalization of $79 Billion. Bank of America is an investment grade rated company with a Standard & Poor’s rating of A- and has over 2,600 locations nationwide.

“The market for properties occupied by major banks remains active as investors are attracted to investment grade rated companies with rental escalations in the leases” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “While single tenant properties are selling in all types of locations; core markets, like Chicago, are at the forefront of investor demand.”

About The Boulder Group

The Boulder Group is a boutique investment real estate service firm specializing in net lease properties. The firm provides a full range of brokerage, advisory, and financing services nationwide to a substantial and diversified client base, which includes high net worth individuals, developers, REITs, partnerships and institutional investment funds. Founded in 1997, the firm has arranged the acquisition and disposition of more than $1.2 billion of net lease real estate transactions through several real estate cycles. The Boulder Group is headquartered in suburban Chicago. The company’s website address is www.bouldergroup.com

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Thursday, May 10, 2012

The Boulder Group Arranges Sale of a Single Tenant Net Leased Walgreens Property in Alexandria, Minnesota

The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant net leased Walgreens property located at 910 Broadway Street in Alexandria, MN for $5,075,000.

Walgreens is the sole occupant of the 14,820 square foot retail building that was developed in 2008. The property is located on a 1.49 acre parcel at the northeast corner of Broadway Street and 10th Avenue in Alexandria, MN. The property is located two and one-half miles north of Interstate 94 and two hours northwest of Minneapolis. The property is leased to Walgreens with 21 years of lease term remaining and is located on the hard corner of a signalized intersection.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller, a Midwest family trust, in the transaction. The buyer was a Chicago based investment firm.

Walgreens has twenty one years of lease term remaining on an original 25 year triple net lease. Walgreens is a publicly traded company on the New York Stock Exchange (WAG), with a market capitalization of $39.9 Billion. Walgreens is an investment grade rated company with a Standard & Poor’s rating of A and has over 7,700 stores nationwide.

“The market for long term net leased Walgreens remains strong as investors are attracted to investment grade tenanted properties that can be financed via multiple loan products” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “There are few tenants that consistently engage in lease over 20 years, therefore there continues to be high demand for Walgreens related properties.”

Tuesday, May 8, 2012

The Boulder Group Arranges Sale of a Triple Net Leased Dollar General Property in Kansas City, Kansas

The Boulder Group, a net leased investment brokerage firm specializing in single tenant assets, has completed the sale of a triple net leased Dollar General property located at 2272 Quindaro Blvd in Kansas City, KS for $1,174,000.

The 9,100 square foot Dollar General was built in 2012 and is located in the northwest portion of the Kansas City MSA. The building is situated on a 1.03 acre parcel and is leased for 15 years to Dollar General on a net lease basis. Dollar General is an investment grade rated company with a Standard & Poor’s rating of BBB- and has over 9,300 stores nationwide.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the buyer, a Chicago high net worth individual investor, in the transaction. The seller was a Midwest based developer.

“The market for newly developed triple net leased Dollar Generals is robust as investor demand for long term leased properties in the under two million price point exceeds the supply.” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “Expect activity for single tenant leased Dollar General properties to increase as they are developing a considerable amount of stores and their Standard and Poor’s rating was recently increased to BBB-.”