CHICAGO—Demand from tenants and investors for net leased product has significantly increased over the past year, especially from those looking for healthcare real estate. The Boulder Group, a net leased investment brokerage firm in suburban Chicago, for example, has just completed the sale of a single tenant net leased Northwestern Memorial Hospital property located at 350 S. Waukegan Rd. in Deerfield, an affluent north suburb, for $7,250,000.
Randy Blankstein and Jimmy Goodman of Boulder represented the seller, a Chicago-based real estate firm, in the transaction. The buyer was a high net worth individual located in California in a 1031 exchange.
“The market for net leased medical office in Chicago and other core markets remains robust as these assets are in high demand among 1031 exchange investors,” says Blankstein, president of Boulder.
Northwestern Memorial Hospital is the sole occupant of the 16,737-square-foot medical office building that was developed in 2013. The property includes a 1.87-acre parcel along I-94 in an affluent suburb. Northwestern has fourteen years of lease term remaining and 2.5% annual rental escalations. Northwestern Memorial Healthcare is an investment grade rated company with a Moody's rating of Aa2.
Goodman, a partner of Boulder, adds that “core market single tenant assets with solid real estate fundamentals continue to be in the greatest demand.”
Continue Reading for Free
Register and gain access to:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Brian J. Rogal
Brian J. Rogal is a Chicago-based freelance writer with years of experience as an investigative reporter and editor, most notably at The Chicago Reporter, where he concentrated on housing issues. He also has written extensively on alternative energy and the payments card industry for national trade publications.
