1. NET LEASED INVESTMENT OFFERING
Lot)
Walgreens Ground Lease (Parking Lot)
3136 West 55th Street
Chicago, IL 60629
www.bouldergroup.com
2. TABLE OF CONTENTS
NET LEASED INVESTMENT OFFERING
TABLE OF CONTENTS
1) Confidentiality & Disclaimer
2) Executive Summary
3) Property Overview
4) Aerial
5) Site Plan
6) Map
7) Tenant Profile
8) Demographic Comparison Report
9) Location Overview
10) Contact Information
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3. CONFIDENTIALITY & DISCLAIMER
NET LEASED INVESTMENT OFFERING
CONFIDENTIALITY
CONFIDENTIALITY & DISCLAIMER
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.
www.bouldergroup.com
4. EXECUTIVE SUMMARY
NET LEASED INVESTMENT OFFERING
EXECUTIVE SUMMARY
The Boulder Group is pleased to exclusively offer for sale a rare Walgreens ground lease located in Chicago, Illinois. The
subject property is an expanded portion of the existing Walgreens parking lot with 13 years of lease term remaining. The
property is located less than ten miles southwest of downtown Chicago and three miles from Midway International Airport.
The ground lease is located adjacent to the existing Walgreens building. The existing property is a strong performing store
as evidenced by an extensive renovation to the property in 2011 and the need for additional parking at this location.
The adjacent Walgreens is located on 55th Street and Kedzie Avenue directly west of the ground leased parking lot. This
Walgreens was built in 1999 and was extensively renovated in 2011 with $1 million worth of renovations performed on
the property. This is a strong performing 24 Hour location for Walgreens. Walgreens is committed to this location as
evidenced by ground leasing the additional parking lot longer than the primary duration of the building lease. The current
parking lot has become overcrowded due to the Walgreens popularity, hence the expansion of the additional parking area.
The parking lot is located at the signalized intersection of heavily trafficked 55th Street and Kedzie Avenue. This
intersection has average daily traffic volumes in excess of 53,000 vehicles. 55th Street also has direct full interchange with
Interstate 90/94 (282,500 vehicles per day) and Interstate 55 (150,000 vehicles per day). 55th Street is the primary east-
west thoroughfare in this neighborhood.
The new ground rent commences October 2012. Walgreens has an absolute net (NNN) ground lease until March 31, 2025
with thirty-five years of renewal options. Walgreens is a publicly traded company on the New York Stock Exchange (WAG),
with a market capitalization of $25 billion. Walgreens is an investment grade rated company with a Standard & Poor’s
rating of A.
INVESTMENT HIGHLIGHTS
• Rare long term Walgreens ground lease
• Located in a dense infill area Chicago at a signalized intersection
• Low absolute dollar amount for a Walgreens property
• Walgreens performed $1 million dollars of renovations at this
location in 2011
• Investment grade tenant (S&P: A)
• Long term ground lease with 13 years remaining
• No landlord responsibilities
• Average daily traffic counts over 53,000 at intersection of 55th &
Kedzie
• Significant barriers to entry
• Over 870,000 people living within five miles of the property
• Strong performing Walgreens location
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5. PROPERTY OVERVIEW
NET LEASED INVESTMENT OFFERING
PROPERTY OVERVIEW
Price: $1,190,000
Cap Rate: 6.26%
Net Operating Income: $74,544
Rental Escalations: None
Lease Commencement Date: October 1, 2012
Lease Expiration Date: March 31, 2025
Tenant: Walgreens
Credit Rating: A
Lease Type: Ground Lease - NNN
Land Acreage: 10,890 square feet
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9. TENANT PROFILE
NET LEASED INVESTMENT OFFERING
TENANT PROFILE
Walgreens is engaged in retail drugstore business. As of November 30, 2011, the Company operated 8,261
locations in all 50 states, the District of Columbia, Puerto Rico and Guam. The company also operates worksite
health centers, home care facilities, and specialty and mail service pharmacies. Its Take Care Health Systems
subsidiary manages more than 715 in-store convenient care clinics and worksite health and wellness centers. The
Company’s drugstores are engaged in the retail sale of prescription and non-prescription drugs and general
merchandise. General merchandise includes, among other things, household items, personal care, convenience
foods, beauty care, photofinishing, candy, and seasonal items. Walgreens offers customers the choice to have
prescriptions filled at the drugstore counter, as well as through the mail, by telephone, and through the Internet. In
March 2011, Walgreens announced that it has completed the acquisition Drugstore.com.
Website: www.walgreens.com
Number of Locations: 8,261
Stock Symbol: WAG : NYSE
Standard & Poor’s Rating: A
Market Capitalization: $25 Billion
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10. DEMOGRAPHIC COMPARISON REPORT
NET LEASED INVESTMENT OFFERING
DEMOGRAPHIC COMPARISON REPORT
Population 1-mi. 3-mi 5-mi
Total Population 62,037 335,446 871,486
Total Households 14,470 90,864 256,792
Income
Median Household Income $51,384 $48,175 $46,290
Average Household Income $59,058 $56,119 $54,974
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11. LOCATION OVERVIEW
NET LEASED INVESTMENT OFFERING
LOCATION OVERVIEW
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. The Chicago
MSA is the third most populated metropolitan area in the United States with
populated
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
Motorola,
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 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 general competitiveness.
www.cityofchicago.com
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12. CONTACT INFORMATION
NET LEASED INVESTMENT OFFERING
CONTACT INFORMATION
666 Dundee Road Suite 1801
Northbrook, IL 60062
Randy Blankstein Jimmy Goodman
President Partner
847.562.0003 847.562.8500
rblank@bouldergroup.com jimmy@bouldergroup.com
www.bouldergroup.com
