Net Leased Chick-fil-A Sold

The Boulder Group, a net leased investment brokerage firm, completed the sale of a single tenant net leased Chick-fil-A property located at 11301 S Corliss Avenue in Chicago, Illinois for $3,300,000.

The newly constructed Chick-fil-A drive-thru is operating under a 15-year ground lease with 10% rental escalations every 5 years and eight 5-year renewal options.

The property is strategically positioned directly west of Interstate 94 (155,000 VPD). The property benefits from its location at the southeast corner of the newly revitalized Pullman Park development, which encompasses 180 acres. Since 2020, nearly 800,000 square feet of industrial space has been built or leased to prominent companies such as Amazon, Whole Foods, and SC Johnson, generating over 1,500 jobs for the area. Major retailers nearby include Walmart, Ross Dress for Less, Planet Fitness, Culver’s, McDonald’s, Potbelly, Wingstop, and US Bank. Nearby attractions include Harborside International Golf Course and the Pullman National Historic Park, which has over 60,000 annual visitors. The surrounding area has a robust population of 393,746 people living within a 5-mile radius, with an average household income of $75,972.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller in the transaction. The buyer is a local private investor and the seller is a real estate developer in Chicago.

Founded in Georgia in 1946 as “Dwarf House”, Chick-fil-A is one of America’s most iconic fast food restaurant brands with a famously dedicated following. Initially only a staple in the Southeast, Chick-fil-A has grown their brand nationally, with stores reaching from California to New York City. Today the chain has nearly 3,000 locations across 48 states, Canada, and Puerto Rico. The company’s methodical, patient approach to growth and dedication to a limited, high-quality menu has cemented Chick-fil-A’s position at the top of the fast-food industry. In 2023, Chick-fil-A was once again ranked as America’s favorite restaurant by the American Customer Satisfaction Index (ACSI) for the ninth consecutive year. With an impressive score of 85, Chick-fil-A continues to lead all restaurants in customer satisfaction, thanks to its focus on food quality, service, and technological efficiency. Chick-Fil-A is the industry leader in store sales, with average annual unit-level sales of over $9.4 million. Chick-Fil-A achieved $21.6 billion in systemwide sales in 2023, a 14.9% increase from the $18.8 billion achieved in 2022. The chain has since grown to over 3,000 locations and continues to be the most highly sought restaurant brand in the net lease space.

“New construction Chick-fil-A assets garner significant investor interest due to their passive investment nature”, said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, “QSR properties with lower rents are of significant interest to 1031 exchange investors.”

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