Net Leased Dollar Tree Sold

The Boulder Group, a net leased investment brokerage firm, completed the sale of a single tenant Dollar Tree store located at 9341 S Ashland Avenue in Chicago, Illinois for $1,517,000.

The 12,253 square foot property underwent a full renovation in 2015 and is strategically positioned on S Ashland Ave (22,100 VPD), just 2 miles west of the Dan Ryan Expressway (257,400 VPD). The asset benefits from strong demographics, with an average household income of $98,167 within a 1-mile radius and a population of over 600,000 within a 5-mile radius. Nearby retailers include Jewel-Osco, Walgreens, Starbucks, Taco Bell, Burger King, Dunkin’, Subway, and Octopharma Plasma.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller in the transaction. The seller is an Ohio based real estate fund and the buyer was a 1031 tax exchange investor based in California.

Dollar Tree recently signed a lease extension through August 2028. The lease features a rare 35% rent increase in the first 5-year renewal option and $0.50/SF increases in the second and third renewal options. Dollar Tree is an investment grade tenant headquartered in Chesapeake, Virginia with a Standard & Poor’s rating of BBB. Dollar Tree is a Fortune 500 company and operates more than 15,000 stores throughout the United States and Canada.

“Properties leased to Fortune 500 companies located in major cities remain attractive assets to investors” said Randy Blankstein, President of The Boulder Group. Jimmy Goodman of The Boulder Group, added, “The market for net leased dollar stores is still attracting 1031 exchange investors.”

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