The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant Bank of America property located at 4200 South Ashland Avenue in Chicago, IL for $5,150,000.
The Bank of America property is located at the signalized intersection of South Ashland Avenue and West 42nd Street. South Ashland Avenue is a primary north-south thoroughfare with traffic counts in excess of 23,000 vehicles per day. The Bank of America is located in a densely populated part of Chicago with over 30,000 people living within a one mile radius and over 875,000 people living within a five mile radius. The building features rare qualities for an urban Chicago bank property such as five drive-thru lanes and 44 designated parking spaces. There are ten years remaining on the Bank of America lease that expires October 31, 2014.
Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller in the transaction; a Midwest based real estate developer. The purchaser was a Canadian based investor.
Bank of America has ten years remaining on their net lease that expires on October 31, 2024. The lease features 10% rental escalations every five years throughout the primary term and renewal option periods. Bank of America is an investment grade rated company (S&P: A-) and is publicly traded with a market capitalization in excess of $165 billion.
“The market for properties occupied by major banks remains active as investors are attracted to investment grade rated companies” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “Core market single tenant assets with solid real estate fundamentals continue to be in the greatest demand.”
