The 66,437 square foot Jewel-Osco building in Shorewood, IL, was sold for $13.15 million.
CHICAGO—No matter what troubles shake the retail world, investors jump at the chance to pick up grocery stores, especially ones in relatively affluent areas. The Boulder Group, a net leased investment brokerage firm, recently completed the sale of a single tenant net leased Jewel-Osco property located at 199 Brook Forest Ave., in suburban Shorewood, for $13.15 million.
And CBRE just brokered the sale of a Mariano's Fresh Market in Arlington Heights. Located at 802 E. Northwest Hwy., that 66,393-square foot property was sold by an affiliate of Inland Private Capital for $25.5 million. Christian Williams and Michael Kaider of CBRE's Oak Brook office represented the seller.
Mariano's stores, a relatively new brand that seized a big share of the Chicago-area market, have been especially popular. CBRE recently arranged sales of six Mariano's Fresh Market properties including deals in Palatine, Hoffman Estates, Frankfort, Lake Zurich, and Harwood Heights.
“Groceries remain popular and interest in still growing as most investors view them as largely e-commerce resistant and recession proof,” Randy Blankstein, president of Boulder, tells GlobeSt.com. “Everyone from family offices to insurance companies likes the sector at the moment.”
Located at 802 E. Northwest Hwy., this 66,393-square foot Mariano's property was sold by an affiliate of Inland Private Capital for $25.5 million.
The 66,437 square foot Jewel-Osco building sits on a 14.55-acre parcel less than one-half mile from I-55 at the signalized intersection of Brook Forest Ave. and Jefferson St. National retailers located in the area include Walmart Supercenter, Target, The Home Depot, Party City, Staples and a number of national banks, auto shops and quick service restaurants.
Blankstein and Jimmy Goodman, a partner of Boulder, represented the seller in the transaction; a private real estate investment company based in the southwest. The buyer was a 1031 investor based in CA.
“The market for standalone grocery properties remains active due to their built-in customer base,” Blankstein says. Goodman adds that “investors pay a premium for twenty year net leased assets which are in limited supply.”
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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.
