The Boulder Group completed the sale of a single-tenant net-leased PNC Bank ground lease at 12821 W. Bluemound Road in Brookfield, Wisconsin, for $2.5 million.
The property is located along Bluemound Road, a primary east-west thoroughfare that experiences traffic volumes in excess of 41,000 vehicles a day. The property is positioned at the signalized entrance to the recently developed Underwood Crossing. Underwood Crossing features a recently developed Target, Trader Joe’s and Children’s Hospital of Wisconsin, which are major traffic generators for the area.
Adjacent to the PNC is a newly constructed strip center featuring Starbucks and Great Clips. Directly west of the property along Bluemound Road, a new mixed-used development is being built with retailers including Life Time Fitness, Dick’s Sporting Goods, AT&T and Portillo’s. Brookfield is a well-populated area with more than 240,000 people living within five miles of the property. Residents living within one mile of the subject property enjoy average household income in excess of $107,000 annually.
Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller in the transaction. The seller is a real estate investor in the northeast. The buyer was in a 1031 exchange based in the Midwest.
The original 20-year ground lease commenced Nov. 3, 2012, and has about 13 years remaining in the primary term. The lease features 10 percent rental escalations in the primary term and in each of the five 10-year renewal options.