Food 4 Less Portfolio
Sale Leaseback
3 properties in Chicago MSA
Ownership Type:
Fee Simple
Renewal Options:
4, 5 Year or 2, 10 Year Options
Rent Increases:
2.00% Annually
Investment Highlights
- Recognized Brand with Long Term History: Food 4 Less operates as a premier warehouse-style discount grocery store with an established footprint in Chicago. The stores are located in dense, urban Chicago neighborhoods and comprise a total of 197,156 SF across three stores.
- Strategic Infill Positioning: Encompasses three high-performing locations in Chicago (Englewood), Alsip, and Dolton, tapping into dense, high-demand trade areas ideal for the operator’s discount grocery model.
- Long Term Leases with Below Market Rents: At closing, the tenant will sign 15 year absolute NNN leases with 2.00% annual rent increases, providing long term, passive ownership with strong rent growth throughout the term. The rents are strategically set at below market rates to ensure long term stability and performance.
- Platform Rent Coverage: 3.40x LTM Rent Coverage across the overall platform.
- Consolidated Platform Performance: Strong financial foundation anchored by $302M in LTM Revenue across the consolidated platform.
- High Daily Traffic Exposure: Strategically positioned along prominent, high-visibility commercial corridors carrying heavy traffic volumes in excess of 29,000 vehicles per day (VPD).
- Inflation Protection: Built-in rent escalations serve as an ongoing hedge against inflation over the 15-year term.
Ownership Type:
Fee Simple
Renewal Options:
4, 5 Year or 2, 10 Year Options
Rent Increases:
2.00% Annually
