Property details
Single Tenant Industrial Distribution, Great Lakes - Big Rivers Region
Property Description
Single Tenant Industrial Distribution
$998 000 base rent /NOI
6 years remaining
Prime location
Single Tenant, Class A Industrial Distribution Building
183,000 sf
Clear height 32 feet
Credit rated tenant / Food industry
Industrial asset located in a prime market in Illinois.
Class A distribution facility within minutes of the I-55 corridor.
The building provides excellent I-55 visibility and exposure to the more than 14,000 cars passing daily.
The state-of-the-art building boasts 32′ clear height throughout, 14 exterior docks with the ability to add positions, build-to-suit office space, 2 drive-in-doors, 20 trailer stalls, and 170 car parking capacity that is expandable.
Landlord responsible for structure plus replacement of parking lots and sidewalks provided that Tenant has not damaged them. Tenant pays fixed $0.15/PSF/annum towards roof maintenance, repairs and inspections regardless of actual cost. Landlord is responsible for roof replacement.
Rent increases: Initial Lease Term is 10 years and five months (i.e. 125 months commencing on 8/22/17 and ending on 1/21/28).
Remaining: Months 54 -65: $5.46/PSF
Months 66-77: $$5.60/PSF
Months 78-89: $5.74/PSF
Months 90-101 $89,608/PSF
Months 102-113 $6.00/PSF
Months 114-125: $6.00/PSF.
Therefore, on 1/22/22 there will be 6 years left on the Initial Lease Term.
After the Initial Lease Term, Tenant has two (2), five year renewal options.
The rent is for the first five years is fixed in the Lease at: $6.12/PSF (YR 1)
$6.24/PSF (YR 2)
$6.37/PSF (YR3)
$6.49 PSF (YR 4)
$6.62 PSF (YR 5).
If the Tenant then renews for the 2nd five year option term, the rent is again fixed at: $6.76/PSF (YR 1)
$6.89/PSF (YR 2)
$7.03/PSF (YR3)
$7.17 PSF (YR 4)
$7.31 PSF (YR 5).
The single tenant is a privately held Company and the largest producer of a specialty food product/ingredient in North America.
Total sales in 2020 of over $500 million.
Insulated tilt-up construction, 32' ceiling clear height, large bay spacing, ESFR sprinkler systems, corporate quality glass storefronts, ample dock loading, deep truck courts, trailer parking and the ability to demise the building for multiple tenants.
The tenant has a lot of expensive equipment that will be expensive to relocate so chances of a renewal is 90% says the current owner Chicago is one of the country's Tier-1 markets. With over 1.3 billion square feet of industrial inventory, it is a critical link in the U.S. supply chain.
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Highlights
- Status:
- Available
- Price:
- $23,500,000
- Cap Rate:
- 4.25%
- Rent Increases:
- Yes
Property Information
- Property Type:
- Net Lease
- Industry Type:
- Industrial
- Units/Spaces:
- 1
- Purchase Tenure:
- Fee Simple
Lease information
- Tenant:
- Single Tenant Industrial Distribution
- Lease Type:
- NN
- Lease Commencement:
- 08/17/2017
- Lease Expiration:
- 01/21/2028
- Lease Term:
- 11 years
- Lease Remaining:
- 3.2 years
- Landlord Responsibilities:
- Yes
- Options:
- Yes
Existing financing information
- N/A
The information contained herein contains confidential and/or privileged material. Any review, retransmission, dissemination or other use of, or taking of any action in reliance upon, this information by persons or entities other than the intended recipient will be prohibited. The information contained herein has been obtained from sources believed to be reliable. While we do not doubt its accuracy, we have not verified it and make no guarantee, warranty or representation about the accuracy or completeness of the information. As a buyer, it is your responsibility to independently confirm its accuracy and completeness. Any projections, opinions, assumptions or estimates used are for example only and do not represent the current or future performance of the property. The value of this property to you depends on factors which should be evaluated by your tax, financial and legal advisors. You and your advisors should conduct a careful, independent investigation of the property to determine to your satisfaction the suitability of the property for your needs. We have no knowledge of this offering other than the information received from Seller or their representatives. We are neither your agent or an agent for the seller. We will not participate in the negotiation of the purchase price or attend the showing of this property. As a buyer, you will be required to indemnify us and hold us harmless from any kind of claim, cost, expense, or liability arising out of your investigation and/or purchase of this property.