CHICAGO—As reported in GlobeSt.com, investors have come to seedrug stores as one of the most attractive net lease investments. The cap ratesfor the top brands have hit historic lows, and no brand has moreappeal than Walgreens.
Colliers International, for example, has justcompleted the $6.68 million sale of the 14,660-square-footWalgreens property located at 3153 W. Irving Park Rd. in Chicago.Justin Kaufmann, senior associate with Colliers'Chicago-based Investment Services Group, alongwith Brad Teitelbaum, formerly of Colliers andcurrently with Baum Realty Group, handled thetransaction. Kaufmann and Teitelbaum represented both the seller, alocal partnership, and the buyer, a California-based equityfund.
Cap rates for CVS and Rite Aidproperties recently sank to 5.75% and 7.4%, respectively, accordingto a recent study by the Boulder Group, acommercial real estate services firm located in suburbanNorthbrook, IL. And the rate for Walgreens properties now stands at5.6%.
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Brian J. Rogal
Brian J. Rogal is a Chicago-based freelance writer with years of experience as an investigative reporter and editor, most notably at The Chicago Reporter, where he concentrated on housing issues. He also has written extensively on alternative energy and the payments card industry for national trade publications.
