Net Lease: 2013

Friday, December 20, 2013

The Boulder Group Arranges Sale of a Wells Fargo Ground Lease in Houston, TX

The Boulder Group, a net leased investment brokerage firm specializing in single tenant assets, has completed the sale of a single tenant Wells Fargo ground lease located at 2005 Taylor Street, Houston, TX for $3,940,000.

Wells Fargo is the sole occupant of the 4,017 square foot retail building that was developed in 2006. The property is located on a 32,947 square foot parcel within a Super Target anchored retail trade area. The property is located approximately two miles northwest of downtown Houston in a dense area with over 168,000 people living within three miles of the property. The lease had thirteen years remaining at the time of sale and features multiple rental escalations in the primary term.

Wells Fargo is an investment grade rated company with a Standard & Poor’s rating of A+ and has over 9,000 locations. Wells Fargo has thirteen years of lease term remaining on an original twenty year triple net ground lease. Wells Fargo is a publicly traded company on the New York Stock Exchange (WFC), with a market capitalization of $230 billion.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the purchaser; a California based partnership in a 1031 Exchange. The seller was a Texas based real estate firm.

“The market for bank ground leases with investment grade tenants remains strong as investors are attracted to the typical long term leases with rental escalations.” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “Core market single tenant assets with solid real estate fundamentals continue to be in the greatest demand.”

About The Boulder Group

The Boulder Group is a boutique investment real estate service firm specializing in single tenant 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 over $1.6 billion of single tenant net lease real estate transactions. In 2011 and 2012, the firm was ranked in the top 10 companies in the nation for single tenant retail transactions by Real Capital Analytics. The Boulder Group is headquartered in suburban Chicago. The company’s website address is www.bouldergroup.com

Tuesday, December 17, 2013

The Boulder Group Arranges Sale of a Single Tenant Dollar General Portfolio

The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant net leased Dollar General portfolio consisting of three properties located throughout Kansas for $2,000,000. The properties are located in St. John, Meade, and Coldwater.

Each of the properties are fully leased to Dollar General with 5.5-6.5 years of lease term remaining. The portfolio offered investors the opportunity to obtain multiple assets with investment grade credit in one state. Dollar General is the sole occupant of the three properties, averaging 9,036 square feet. Two of the properties were constructed in 2009 while the other was built in 2010. All three properties are located on a one acre parcel. Each of the properties has three 5-year renewal option periods with 10% escalations. Dollar General is an investment grade rated company (S&P: BBB-) and is publicly traded on the New York Stock Exchange (DG) with a market capitalization in excess of $19 billion.

The portfolio included the following Dollar General properties:

1. 202 North US Highway 281, St. John, Kansas, 67576

2. 603 West Carthage Street, Meade, Kansas, 67864

3. 501 South Central Avenue, Coldwater, Kansas, 67029

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller; a private real estate investor in the Midwest. The buyer was a private individual.

“The Midwest net lease market remains strong for corporately guaranteed single tenant properties regardless of where they are located.” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “Cap rates for Dollar General properties are at an all-time low as their absolute dollar amount per property is attractive to multiple types of investors within the net lease sector.”

About The Boulder Group

The Boulder Group is a boutique investment real estate service firm specializing in single tenant 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 over $1.6 billion of single tenant net lease real estate transactions. In 2011 and 2012, the firm was ranked in the top 10 companies in the nation for single tenant retail transactions by Real Capital Analytics. The Boulder Group is headquartered in suburban Chicago.

www.bouldergroup.com

Thursday, December 12, 2013

The Boulder Group Arranges the Sale of a Single Tenant Net Leased Brunswick Zone XL Property in the Chicago MSA

The Boulder Group, a net leased investment brokerage firm specializing in single tenant assets, has completed the sale of a net leased Brunswick Zone XL property located at 1515 West Aurora, Naperville, Illinois for $3,866,500.

Brunswick Zone XL has operated at this location since 1997 and recently extended their lease through June 2018. The 80,425 square foot building is on a 6.9 acre parcel that benefits from its location within a primary retail trade area. The property is located one mile from Westfield Fox Valley regional mall which is anchored by Macy’s, JCPenney, Kohl’s, and Sears. There are many other national retailers in the immediate area including Walmart Supercenter, Sam’s Club, SuperTarget, Costco, Lowe’s, and Home Depot. Naperville is an affluent suburb where residents living within one mile of the property enjoy an average household income of approximately $120,000 annually. Brunswick Zone XL offers its customers 40 lanes of bowling, 16 billiards tables, event rooms, game zone arcade, laser tag, bumper cars, and a bar & grill.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller in the transaction; a private partnership based in Maryland. The buyer was based in a 1031 Exchange.

“The market for net leased properties in Chicago and other major markets are transacting as these assets are in high demand among private investors.” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “The market for single tenant properties with shorter term leases is active as investors are attracted to the high yield these properties generate.”

Monday, December 2, 2013

The Boulder Group Arranges Sale of a Net Leased Advance Auto Parts in Jenison, Michigan

The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant net leased Advanced Auto Parts property located at 600 Baldwin Street in Jenison, Michigan for $1,415,000.

Advance Auto Parts is the sole occupant of the 7,000 square foot retail building that was developed in 2005. The property is located on a 44,867 square foot parcel on Baldwin Street. Baldwin Street is a heavily trafficked roadway with 28,000 vehicles passing the site daily. The property is situated on a hard corner at the entrance to a Meijer. The property is fully leased to Advance Auto Parts with seven years of lease term remaining and the lease has a ten percent rental escalation in the in the primary term.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller, a Midwest based private individual, in the transaction. The buyer was an East Coast based high net worth individual.

Advance Auto Parts has seven years of lease term remaining on an original 15 year lease. Advance Auto Parts is a publicly traded company on the New York Stock Exchange (AAP), with a market capitalization of $7 billion. Advance Auto Parts is an investment grade rated company with a Standard & Poor’s rating of BBB- and has over 3,900 locations nationwide.

“Properties leased to investment grade rated tenants with scheduled rental escalations like this Advanced Auto Parts, will continue to be sought after as a hedge against inflation.” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “Properties that are valued below $2 million are receiving the most activity in the private buyer and 1031 exchange sectors.”

Friday, November 22, 2013

The Boulder Group Arranges Sale of a Net Leased 7-Eleven Property in Chicago, Illinois

The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant net leased 7-Eleven property located at 3005 North Pulaski Road in Chicago, IL for $1,623,500.

7-Eleven is the sole occupant of the 3,200 square foot retail building that was developed in 2013. The property is located on an 11,389 square foot parcel at the northeast corner of North Pulaski Road and Wellington Avenue in Chicago, IL. Interstate 94 is located one mile east of the property and experiences traffic counts in excess of 273,000 vehicles per day. The property is fully leased to 7-Eleven with ten years of lease term remaining and a 10% rental escalation in 2018.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller; a Midwest based developer, in the transaction. The buyer was a in a 1031 exchange.

7-Eleven has ten years of lease term remaining on a brand new lease that commenced October 2013. 7-Eleven is an investment grade rated company with a Standard & Poor’s rating of AA- and has over 8,600 locations nationwide and over 50,000 locations worldwide.

“The market for properties occupied by investment grade rated companies with rental escalations in the lease remain in the highest demand amongst all types of investors” 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.”

Wednesday, November 20, 2013

Randy Blankstein, President of the Boulder Group, to Speak at ICSC N3 Triple Net Lease Conference

Randy Blankstein, President of national net lease advisory firm The Boulder Group, will be a featured speaker at the ICSC N3 Triple Net Lease Conference in Dallas on March 4th, 2014.

He will be moderating a panel discussing the Single Tenant Net Lease Market Overview and Forecast. The panel will be a wide ranging macro level discussion by the industries foremost leaders to explain where the single tenant net lease industry stands and how it will change the commercial real estate investment landscape moving forward. The panel will cover cap rate trends, industry consolidation and the fundraising environment for the net lease sector.

Friday, November 15, 2013

The Boulder Group Arranges Sale of a Net Leased CVS Property in Dunkirk, New York

The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant net leased CVS property located at 175 East 4^th Street in Dunkirk, NY for $3,485,000.

CVS is the sole occupant of the 10,125 square foot retail building that was developed in 2000. The property is located on a 35,980 square foot parcel at the corner of East 4^th Street and Main Street in Dunkirk, NY. The property is located less than two miles north of Interstate 90 along one of the area’s primary thoroughfares. The property is fully leased to CVS with 25 years of lease term remaining. There are four 5-year renewal options remaining.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the buyer in the transaction, a private individual based in the Midwest. The seller was a Texas based investment firm.

CVS has 25 years of lease term remaining on their recently extended lease. CVS is a publicly traded company on the New York Stock Exchange (CVS), with a market capitalization of $77 billion. CVS is an investment grade rated company with a Standard & Poor’s rating of BBB+ and has over 7,500 locations nationwide.

“The market for net leased CVS properties with over 20 years of lease term remaining remains robust as these assets are in high demand among private investors.” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “Cap rates remain at historically low levels for single tenant pharmacy assets leased to Walgreens and CVS with twenty or more years of lease term.”

Thursday, November 7, 2013

The Boulder Group Arranges Sale of a Net Leased Best Buy Property in Fredericksburg, Virginia

The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant net leased Best Buy property located at 1541 Carl D Silver Parkway in Fredericksburg, Virginia for $6,300,000.

Best Buy is the sole occupant of the 46,457 square foot retail building that is located within the Washington D.C. MSA. The property is located on a 4.1 acre parcel in a primary retail trade area that is densely populated with many of the nation’s largest big-box retailers. The property backs up to Interstate 95 and has signage that is visible to the 141,000+ vehicles that pass per day. The property is fully leased to Best Buy with three and a half years of lease term remaining. There are three 5-year renewal options.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the both parties in the transaction. The seller is a private real estate firm based in Chicago. The buyer was an investment firm based in the southwest.

Best Buy has over three years of lease term remaining at a low rent. Best Buy is a publicly traded company on the New York Stock Exchange (BBY), with a market capitalization of $15 billion. Best Buy employees over 145,000 people and has over 1,400 locations in the United States.

“The market for net leased properties with shorter term leases remains active as investors are attracted to the higher yield these assets generate” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “Real estate fundamentals like low rental rates in core areas play an important role in evaluating short-term leased properties.”

Monday, November 4, 2013

The Boulder Group Arranges Sale of an AutoZone Ground Lease in Milwaukee, WI

The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant AutoZone ground lease located at 6015 West Forest Home Avenue in Milwaukee, Wisconsin for $925,000.

AutoZone is the sole occupant of the property that was developed in 2004. The property is located on a 27,007 square foot parcel at the southwest corner of the signalized intersection of West Forest Home Avenue and South 60^th Street in Milwaukee. The property is located one mile north of Interstate 894/43, which experiences traffic volumes in excess of 115,000 vehicles per day. The property is fully leased to AutoZone with eleven years of lease term remaining and has two 10% rental escalations remaining during the primary term of the lease.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller, a private partnership based in the Midwest. The buyer was a high net worth individual in a 1031 exchange.

AutoZone has eleven years of lease term remaining on an original 20 year ground lease. AutoZone is a publicly traded company on the New York Stock Exchange (AZO), with a market capitalization of $15 billion. AutoZone is an investment grade rated company with a Standard & Poor’s rating of BBB and has over 5,000 locations nationwide.

“The market for ground leases with investment grade tenants remains strong as investors are attracted to the typical long term leases with rental escalations.” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “High net worth individuals are attracted to net leased assets as they offer a more favorable return then most financial securities.”

Wednesday, October 30, 2013

The Boulder Group Publishes Net Lease Drug Store Research Report

The Boulder Group’s Research Department has released a new research report providing comprehensive numbers and analysis of the activity in the National Net Lease Drug Store Market.

Highlights from the report are as follows:

A significant decrease in cap rates for Walgreens, CVS and Rite Aid
The supply of Walgreens and CVS properties on the market increased by 76%
New construction Walgreens and CVS assets experienced cap rate compression of 25 basis points.

The full report can be viewed online at http://www.bouldergroup.com/NLDS.pdf

About The Boulder Group

The Boulder Group is a boutique investment real estate service firm specializing in single tenant 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 $1.4 billion of net lease real estate transactions through several real estate cycles. In 2011 and 2012, the firm was ranked in the top 10 companies in the nation for single tenant retail transactions by Real Capital Analytics. The Boulder Group is headquartered in suburban Chicago. More information on the firm can be found on The Boulder Group’s website at www.bouldergroup.com

Tuesday, October 22, 2013

The Boulder Group Arranges Sale of a Net Leased Walgreens Property in McAllen, Texas

The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant net leased Walgreens property located at 2300 Pecan Boulevard in McAllen, TX for $2,284,000.

Walgreens is the sole occupant of the 13,029 square foot retail building that was developed in 1993. The property is located on a 1.57 acre parcel at the northwest corner of Pecan Boulevard and North 23^rd Street in McAllen, TX. The property is located one-half of a mile from South Texas College (31,000 students). The property is fully leased to Walgreens with five years of lease term remaining and five 5-year renewal options remaining.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller, an East Coast institution, in the transaction. The buyer was a private Midwest based investor.

Walgreens has five years of lease term remaining on an original twenty-five year lease. Walgreens is a publicly traded company on the New York Stock Exchange (WAG), with a market capitalization of $51 billion. Walgreens is an investment grade rated company with a Standard & Poor’s rating of BBB and has over 8,500 locations nationwide.

“The market for net leased Walgreens properties with shorter term leases and strong sales remains active as investors are attracted to the higher yield these assets generate” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “Investors seeking higher yields are focusing on short term leased properties with investment grade rated tenants.”

About The Boulder Group
The Boulder Group is a boutique investment real estate service firm specializing in single tenant 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 over $1.6 billion of single tenant net lease real estate transactions. In 2011 and 2012, the firm was ranked in the top 10 companies in the nation for single tenant retail transactions by Real Capital Analytics. The Boulder Group is headquartered in suburban Chicago.

Tuesday, October 8, 2013

The Boulder Group Arranges Sale of a Net Leased CVS Property in Bluffton, Indiana

The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant net leased CVS property located at 1203 South Main Street in Bluffton, Indiana for $3,100,000.

CVS is the sole occupant of the 10,125 square foot retail building that was developed in 1999. The property is located within the Fort Wayne MSA on the southeast corner of Main Street and Spring Street in Bluffton, Indiana. The property is positioned along the primary north-south thoroughfare of the area on a hard corner of a signalized intersection. The CVS has a drive-thru and is a strong performing store with a low rent to sales ratio. The property is fully leased to CVS with over seven years of primary lease term remaining and there is a rental escalation in 2014.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller, a private partnership based in the Midwest, in the transaction. The buyer was a high net worth individual in a 1031 Exchange.

CVS had seven years remaining on the initial lease term at the point of sale. CVS is a publicly traded company on the New York Stock Exchange (CVS), with a market capitalization of $71 billion. CVS is an investment grade rated company with a Standard & Poor’s rating of BBB+ that has over 7,400 stores nationwide.

“The market for CVS properties with shorter term leases remains active as investors are attracted to investment grade rated companies at higher yields” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “Single tenant properties below $5,000,000 are in the greatest demand amongst private investors and 1031 buyers.”

About The Boulder Group

Wednesday, October 2, 2013

The Boulder Group Arranges Sale of a Triple Net Leased Walgreens Property in the San Francisco MSA

The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant triple net leased Walgreens property located at 4520 Balfour Road in Brentwood, California for $7,000,000.

Walgreens is the sole occupant of the 14,490 square foot retail building that was developed in 2003. The property is located on over two acres at the southeast corner of Balfour Road and Walnut Boulevard in Brentwood, California. This signalized intersection experiences traffic volumes in excess of 30,000 vehicles per day. The property is located within an affluent area and is positioned in a strong retail corridor directly across from a Food Maxx grocery anchored center. The property is fully leased to Walgreens with fifteen years of primary lease term remaining as well as ten five-year renewal options.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller, a family partnership based on the West Coast, in the transaction. The buyer was a high net worth individual located in California in a 1031 exchange.

Walgreens has fifteen years of lease term remaining on an original twenty-five year lease. Walgreens is a publicly traded company on the New York Stock Exchange (WAG), with a market capitalization of $51 billion. Walgreens is an investment grade rated company with a Standard & Poor’s rating of BBB and has over 8,500 locations nationwide.

“The market for Walgreens properties remains active as investors are attracted to investment grade rated companies with long term 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 San Francisco, are at the forefront of investor demand.”

Tuesday, October 1, 2013

The Boulder Group Publishes 3rd Quarter Net Lease Market Research Report

The Boulder Group’s Research Department has released a new research report providing comprehensive numbers and analysis of the 3rd quarter activity in the National Net Lease Market.

Highlights from the report are as follows:

Cap rates for net lease retail and office properties experienced moderate increases for the first time in nearly two years
Overall property supply of net lease assets decreased by more than 9% compared to last quarter
Median national asking vs. closed cap rate spread narrows.

The full report can be viewed online at http://www.bouldergroup.com/NLQ3.pdf

About The Boulder Group

Monday, September 30, 2013

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

The Boulder Group, a net leased investment brokerage firm specializing in single tenant assets, has completed the sale of a single tenant Bank of America located at 2163 North Clybourn Avenue in the Lincoln Park neighborhood of Chicago, Illinois for $6,940,000.

Bank of America is the sole occupant of the 9,471 square foot retail building that was developed in 2004. The property is located within the Clybourn Corridor, a densely populated and dominant retail area located in Chicago’s north side neighborhood of Lincoln Park. Residents living with one mile of the property enjoy household incomes of approximately $120,000 annually. Bank of America is located near the intersection of Clybourn Avenue and Southport Avenue less than one-half mile east of Interstate 90. Retailers located nearby the subject property in the Clybourn Corridor include Costco, Dominick’s, Target, Home Depot, Menard’s, T.J. Maxx, Kohl’s, Best Buy, Marshalls, and Sports Authority. The property features a 24-car parking lot, a rare feature for an infill Chicago asset. The lease had twelve years remaining at the time of sale and features multiple rental escalations in the primary term and in the option periods.

Bank of America is an investment grade rated company with a Standard & Poor’s rating of A- and has over 2,600 stores nationwide. Bank of America has twelve years of lease term remaining on an original twenty year net lease. Bank of America is a publicly traded company on the New York Stock Exchange (BAC), with a market capitalization of $157 billion.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the buyer and seller in the transaction. The seller was a high net-worth individual based in the Midwest. The buyer was a Miami based private individual in a 1031 exchange.

“The market for bank properties with investment grade tenants remains strong as investors are attracted to long term leases with rental escalations.” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “Core market single tenant assets with solid real estate fundamentals continue to be in the greatest demand.”

The Boulder Group Arranges Sale of a Net Leased Walgreens Property in Houston, Texas

The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant net leased Walgreens property located at 9350 Highway 6 South in Houston, Texas for $5,150,000.

Walgreens is the sole occupant of the 15,020 square foot retail building that was developed in 2001. The property is located on a 1.92 acre parcel at the northeast corner of Bissonnet Street and Highway 6 South in Houston. Highway 6 South is a major thoroughfare in the area and experiences traffic counts in excess of 56,400 vehicles per day. The property benefits from its position on a hard corner of a signalized intersection across the street from a Kroger anchored shopping center. Additionally, the immediate area includes Home Depot and LA Fitness. The property is fully leased to Walgreens with over seventeen years remaining on the primary lease term.

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

Walgreens has over seventeen years of lease term remaining on the primary term of the lease. Walgreens is a publicly traded company on the New York Stock Exchange (WAG), with a market capitalization of $51 billion. Walgreens is an investment grade rated company with a Standard & Poor’s rating of BBB and has over 8,500 locations nationwide.

“The market for Walgreens properties remains active as investors are attracted to investment grade rated companies with long term 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 Houston, are at the forefront of investor demand.”

Wednesday, September 18, 2013

The Boulder Group Arranges Sale of a Net Leased Kroger Property in Ottawa, Illinois

The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant net leased Kroger property located at 2701 Columbus Street in Ottawa, Illinois for $2,712,000.

The 44,038 square foot property was built in 1982 and is located in the primary retail trade area of Ottawa. The property is located along Columbus Street, a primary thoroughfare in the area, which experiences traffic volumes in excess of 18,000 vehicles per day. There are multiple signalized points of ingress and egress along Columbus Street, which provides consistent traffic at the site. Kroger is located within the regional trade area which features a Wal-Mart Supercenter and a site that Menard’s has targeted for a future location. Ottawa is located 80 miles southwest of downtown Chicago. Ottawa is home to Starved Rock Park, an Illinois State Park, which experiences more than two million visitors annually.

This is a proven location for Kroger since 1982 and they are committed to the area as evidenced by the recent execution of their second renewal option. The building is leased to Kroger on a triple net basis with four years remaining. Kroger is a publicly traded company on the New York Stock Exchange (KR) with a market capitalization of $13 billion. Kroger is an investment grade rated company with a Standard & Poor’s rating of BBB.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller; an Illinois limited partnership, in the transaction. The buyer was a California limited liability company.

“The market for net leased properties with shorter term leases remains active as investors are attracted to the higher yield these assets generate” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “Single tenant grocery stores with proven sales are in high demand.”

Friday, September 6, 2013

The Boulder Group Arranges the Sale of a Single Tenant McDonald’s Ground Lease in Springfield, IL

The Boulder Group, a net leased investment brokerage firm specializing in single tenant assets, has completed the sale of a single tenant McDonald’s ground lease located at the intersection of Wabash Avenue & Archer Elevator Road in Springfield, Illinois for $978,260.

McDonald’s property is located on a 1.26 acre parcel and the building was constructed in 2013. The property is located along Wabash Avenue, a primary east-west thoroughfare in the area, which has a direct access interchange with Interstate 72 less than one mile from the property. Nearby retailers include AMC Theaters, Buffalo Wild Wings, and multiple car dealerships. Residents living within three miles of the property have annual household income in excess of $87,000.

McDonald’s has a new twenty year ground lease with rental escalations throughout the lease term. McDonald’s is a publicly traded company on the New York Stock Exchange (MCD) with a market capitalization of $100 billion. McDonald’s is an investment grade rate company with a Standard & Poor’s rating of A and has over 33,000 restaurants nationwide.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the purchaser in the transaction; an east coast based high net worth individual. The seller was an Illinois based developer.

“The market for McDonald’s ground leases remains active as investors are attracted to investment grade tenanted properties with long term leases under $2 million dollars.” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “The lack of newly developed single tenant properties has caused cap rates to decrease for assets similar to this particular McDonald’s transaction.”

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 $1.6 billion of net lease real estate transactions through several real estate cycles. In 2011 and 2012, the firm was ranked in the top 10 companies in the nation for single tenant retail transactions by Real Capital Analytics. The Boulder Group is headquartered in suburban Chicago. The company’s website address is www.bouldergroup.com

Tuesday, September 3, 2013

The Boulder Group Arranges Sale of a Net Leased Aaron’s (NYSE: AAN) Property in Hutchinson, KS

The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant Aaron’s property located at 1418 East 4^th Avenue in Hutchinson, Kansas for $1,241,000.

Aaron’s is the sole occupant of the 7,200 square foot retail building that was developed in 2011. The lease was corporately guaranteed by Aaron’s Inc., an investment grade rated company with a NAIC 2 rating. The property is positioned at a signalized intersection along the primary thoroughfare in the area. Hutchinson is the largest city within Reno County and serves as a retail trade destination for surrounding cities. The Hutchinson Mall, anchored by JCPenney, Dillard’s and Jo-Ann Fabrics, is located less than one mile from the property. Other nearby retailers include Wal-Mart Supercenter, Target, Home Depot, Lowe’s and the Mall 8 Theater. The property is leased to Aaron’s Inc. on a net lease basis with approximately thirteen years of lease term remaining. The lease features 7.5% rental escalations every five years.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller in the transaction; a private investment firm based in the Midwest. The buyer was a Texas based investment partnership.

Aaron’s had thirteen years remaining on the initial lease term at the point of sale. Aaron’s is a publicly traded company on the New York Stock Exchange (AAN), with a market capitalization over $2 billion. Aaron’s is an investment grade rated company with a NAIC 2 rating.

“The market for net leased properties like this Aaron’s remains strong as investors are attracted to long term leases with rental escalations to investment grade tenants” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “While the majority of single tenant investment activity is focused on core markets, we are starting to see investors focus primarily on the quality of the tenant rather than the top tier locations.”

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 $1.6 billion of net lease real estate transactions through several real estate cycles. The firm was ranked in the Top 10 companies in the nation for single tenant retail transactions in 2012 by Real Capital Analytics. The Boulder Group is headquartered in suburban Chicago. The company’s website address is www.bouldergroup.com

Monday, August 26, 2013

Randy Blankstein, President of the Boulder Group, to Speak at Interface Net Lease Conference

Randy Blankstein, President of national net lease advisory firm The Boulder Group, will be a featured speaker at the Interface Net Lease Conference in New York City on September 12th, 2013.

He will be speaking on a panel discussing the net lease investment market and how the continued supply shortage is impacting cap rates and transaction velocity.

About The Boulder Group

The Boulder Group is a boutique investment real estate service firm specializing in single tenant 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 over $1.6 billion of single tenant net lease real estate transactions. In 2012, the firm was ranked in the top 10 companies in the nation for single tenant retail transactions by Real Capital Analytics. The Boulder Group is headquartered in suburban Chicago. The firm’s website is www.bouldergroup.com

Thursday, August 15, 2013

The Boulder Group Arranges Sale of a Net Leased CVS Property in Orlando, FL

The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant CVS property located at 1201 E Colonial Drive, Orlando, Florida for $2,675,000.

CVS is the sole occupant of the 10,767 square foot retail building that was developed in 1996. The property is positioned at a signalized intersection which experiences traffic volumes in excess of 73,500 vehicles per day. The property is located within close proximity to downtown Orlando in a dense area with over 260,000 people living within five miles. CVS benefits from its location in a retail trade area anchored by three retail power centers; Orlando Fashion Square, Colonial Plaza and Colonial Marketplace. Nearby retailers include Target, Publix, Macy’s, Dillard’s, Bed Bath & Beyond, and LA Fitness. The CVS has a drive-thru and is a strong performing store with a low rent to sales ratio.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the both parties in the transaction; the seller was a private individual based in the Midwest and the buyer was private individual based on the East Coast.

CVS had four years remaining on the initial lease term at the point of sale. CVS is a publicly traded company on the New York Stock Exchange (CVS), with a market capitalization of $76 billion. CVS is an investment grade rated company with a Standard & Poor’s rating of BBB+ that has over 7,400 stores nationwide.

“The market for net leased CVS properties with shorter term leases and strong sales remains active as investors are attracted to the higher yield these assets generate.” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “Core market single tenant assets with solid real estate fundamentals continue to be in the greatest 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 $1.6 billion of net lease real estate transactions through several real estate cycles. The firm was ranked in the Top 10 companies in the nation for single tenant retail transactions in 2012 by Real Capital Analytics. The Boulder Group is headquartered in suburban Chicago. The company’s website address is www.bouldergroup.com